How to Start a Palm Oil Processing Company?


Are you interested in starting a palm oil processing company? Do you need a sample palm oil processing company plan? Then, let us discuss an in-depth plan on how to start palm oil production business.

palm oil processing company
Large Scale Palm Oil Processing Plant - Turnkey Project

Feel free to contact us if you are willing for a customized palm oil processing plan! Just tell us your situation such as location, factory size, planned cost, capacity requirements and so on. Then we can offer you the best tailor-made solution for your business.

Processed palm oil is used for cooking. it is used in every American home for this purpose. Indonesia and Malaysia are the leading exporters of palm oil while India, China, United States, European Union and Pakistan are the primary importers of this product. It is also used as a major ingredient in processed food, detergent, soap and cosmetic. All you need is just the basic knowledge and training in palm oil processing technology which you can easily obtain by searching on the Internet and consulting a veteran in the field. (Hot Pose: Palm Oil Processing Machine for Sale in Nigeria >>)

Make a Palm Oil Mill Strategy

palm oil business flowMaking a good business strategy is the first step in starting a company or oil mill. Study the requirements of palm oil processing business in terms of technology, capital, market, and competition. Visit websites to get knowledge on the economic scope and statistics of the industry in your region. Study the operation of established industries to be aware of their working process.

Make a strategy including a proposed location, target market, start-up capital, operational cost, and other finances. Obtain the necessary financing for your business,for instance, as of the year 2016 a 20TPD capacity palm oil processing plant which can process 400~500kg palm fruit, costs around $70,000. Before choosing a location for your palm oil processing plant, you will need to consider the market, availability of the raw material and mode of transport. A good location will be very close to the target market and the source of raw material. For instance, a palm tree or kernel nut field so as to reduce the supply and transportation cost.

Complete Palm Oil Extraction Unit

Our integrated palm oil extraction line is composed of all necessary machines for oil extraction which have solid and durable structures, fine properties and good adaptability. The plant is featured of safe, reasonable cost, excellent quality, high level of automation, continuous operation, and advanced technology.

The global consumption of palm oil is rising, due to its low price and efficient commodity with many different uses. Palm oil extracting from fresh fruit bunches (FFB) is now the world’s most used vegetable oil, making the plantation of oil palm tree and the extraction of palm oil great investment projects. Below is one of the most common use process of palm oil processing.


palm oil extraction process
palm oil extraction process

Description of the Above Palm Oil Extraction Process

1. Delivery of Fruit Bunches    2. Unloading Hoppers    3. Sterilizer Cage    4. Sterilizer    5. Stripper    6. Digester    7. Screw Palm Oil Press    8. Nut/Fiber Separator    9. Fiber Cyclone    10. Boiler    11. Nut Dryer    12. Nut Cracker    13. Shell Cyclone    14. Winnower    15. Palm Kernel Dryer    16. Vibrating Screen    17. Clarification Tank    18. Oil Purifier    19. Vacuum Dryer    20. Storage Oil Tank    21. Desander    22. Sand Trap    23. Decanter

A. Fresh Fruit Bunches    B. Empty Bunchs    C. Fruits    D. Press Liquor    E. Press Cake    F. Nuts    G. Fiber    H. Boiler Fuel    I. Dry Shell    J. Dry Palm Kernel    K. Coarse Solids    L. Crude Palm Oil    M. Top Oil    N. Waste Water    O. Dirt    P. Oil    Q. Clean Palm Oil    R. Sand    S. Desander Overflow    T. Recovered    U. Sludge    V. Waste Water

Palm Oil Manfuacturing Process

Palm oil processing include bunches reception and threshing of the kernel nut, sterilization of the bunches, palm oil extraction and clarify of the oil, storage and recovery. As all of these processes require the use of machines, you will have to buy the good quality machines for each process.

A good quality palm oil processing machine will save you a lot of time and money in the long term. So it is necessary that you choose the machines carefully. For effective running of your palm oil processing plant, you will need to hire competent employees. Advertise vacancies for candidates experienced in the field of palm oil processing industry. You will need to hire a technician, an assistant, a storekeeper, from about 5 to 10 other staff members, a quality control official, sales, administrative and security officials.

Starting a palm oil business is a big achievement for any entrepreneur, but maintaining one is another issue. There are many challenges that face every entrepreneur when starting a palm oil mill. However, with determination and careful planning, you can overcome all of these problems.

Challenges and Solutions of Palm Oil Company

palm oil companyDue to the rising economic difficulty in 2016, it can be difficult for you to find a financial institution that will finance your project. Palm oil processing is a highly capital intensive industry. So you have to think about alternative financial sources.

  • Starting a business is like a roller coaster ride, filled with the rise and falls. Palm oil processing is also labor and management intensive industry.
  • Getting a perfect location for your oil mill plant is very difficult.
  • Because of the location, you will also face problems with means of transport and power supply. So you would have to set up your own generators. This will increase the cost.
  • The supply of raw material will also be a problem during scarcity season. The best way to deal with this problem is to have your own palm tree farm.
  • You will also experience difficulty in transporting bunches of palm tree from the farm to the plant. The same problem may also arise when transporting the oil from plant to the market.
  • How do I start a small plant of palm oil, kernel & refinery? Please include the cost.
  • Good day, dear. We can offer complete equipment for palm oil & palm kernel oil extracting, refining, fractionation, etc. Please tell us your expected capacity, so we can offer the customized plan and price list for your reference.
  • I am interested in starting a palm oil mill in Cameroon. Please advise on how to proceed.
  • Hello, sir. Palm oil processing business is profitable in the world. Before starting it, you should have basic knowledge of palm oil processing, enough financial and technical supports and so on. We have successful projects and have send some for your reference.

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