Thursday, May 24, 2012

SAWDUST BRIQUETTE EXPORT IN NIGERIA; NON-OIL EXPORT OPPORTUNITY SERIES.


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One major achievement of the present civilian administration in the past twelve (12) years has been the revival and growth of the non-oil export market in Nigeria. Non-oil export has recorded a tremendous increase of 112.4 % in nine years spanning 2001 to 2010 with annual average growth figure of 10.34 %.

Hardwood charcoal is one of the key export commodities in Nigeria. Though a viable export commodity but the rate at which new entrant are coming into the business is increasing depleting the rate of return on investment of the business hence the need to diversify to a product with less competition and good rate of return on investment.

Sawdust briquette is compressed sawdust and just like hardwood charcoal is used as fuel. It has a greater advantage over charcoal and firewood because it is smokeless and combusts for longer hours. The export market for sawdust is also large, sustainable and expanding.

A briquette (or briquette) is a block of flammable matter used as fuel to start and maintain a fire.  They are produced from dry sawdust and the resulting compressed dust comes out in a solid and cylindrical shape. It can also be in different shapes. The conversation is done through the briquetting machine and the briquette does not require any binding agent or chemical adhesive.

They are used as cooking fuel in hotels, boarding school/hostels, eateries and factories where boilers are been used.

The product is marketed according to the grading briefly as follows:-

Grade "A"- void of cracks, hard with metallic sound when rolled and lengthy (not more than 4 pcs in a length of 390mm).
Grade "B"- with minimum cracks, hard and not less than 75mm in length.
Grade "C"- as "B" except the length is not less than 50mm in length.

During the era of late Gen. Sanni Abacha, sawdust ranked amongst the leading cooking fuel in Nigeria, due to the scarcity of kerosene. Sawdust, the chief raw material in the production of sawdust briquette, is produced as waste product in the processing and production of woods.

The market for sawdust briquette is both local and international though the international market is more developed than the local market.

The growing world population continues to fuel the demand for cooking fuel around the world and due to increasing awareness on global warming and its effects on the ecosystem, sawdust briquette is cheaper, faster and better than the regular firewood, natural gas, charcoal and kerosene. Opportunities exist in the production, sales and export of the product.

The exportable nature of this product makes it a goldmine for investors who wish to go into the export of the product or for existing exporters of charcoal to make greater profit as the demand is hot abroad.
The return on investment in the export of sawdust briquette is between 25% - 35%.

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SAWDUST BRIQUETTE EXPORT IN NIGERIA; NON-OIL EXPORT OPPORTUNITY SERIES.




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Can you supply sawdust briquette from Nigeria and you are seeking for export contract? Then use our business process outsourcing service. Contact us with the details given below with the subject line as SAWDUST BRIQUETTE EXPORT IN NIGERIA: SAWDUST BRIQUETTE EXPORT CONTRACT.

At Foraminifera Market Research {www.foramfera.com}, we provide bespoke and up to date market research reports for beginners and exporters already in the commodity export market.
Our reports are designed to assist start-ups to understand the legal and financial requirements of starting the business, the market trends vis-a-vis demand and supply, competition, risk identification and mitigation strategies. 

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Report Code: FORA/07/2012/05

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