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The growth and development of the economy of any community/nation/country is dependent on the volume of trade that is also done. At the same time Nigeria is a country that is heavily import dependent. With both the foreign and indigenous vessel owners operating in the coastal regions though the upper hand going to the foreign operators, there is a high demand for bunker to keep them in business irrespective of the type of vessel that they operate be they containerized, RORO vessels, oil and chemical tankers, barges, fishing trawlers, tug boats etc.
The only solution for vessel owners then to stay in business is to make adequate arrangements and provisions of bunker fuel for their vessels so that they can remain in business, create employment, profits to keep them in business. Bunker trading on the other hand unlike other trades can be done in small quantities ranging from 500 tons to 2,500 tons with little margins but the secret is however, volume driven of which you can make a mighty ocean and in turn enhance your cash flow. The amazing thing is you can start little even with little or no capital but connections and knowledge are compulsory.
Bunker fuels powers vessels, tankers, barges, fishing trawlers and tug boats.There are three types which include marine diesel oil, gasoil and fuel oil and there are also varying grades of diesel oil, gasoil and fuel oil:
(1) Marine diesel oil
(2) Marine Gasoil
(3) Marine Fuel Oil
There are also types of fuel oils for example IFO 180 and 380 respectively all depending on what your buyer is interested in buying so this is paramount that you clarify what your buyer wants before sourcing the product.
The project sourcing of bunker from bunker traders, refineries, other major players and supplying to vessels depending on agreed terms and conditions that are stipulated in the contractual agreement. In this project there must be an agreed load port where the bunker fuel will be delivered and the terms of delivery. Depending on your financial strength you can either do the physical delivery or get another company do so on your behalf and you broker the transaction making your continuous, steady form of income generation.
The return on investment on bunker fuel trading ranges from 30% - 50% per transaction and could even go higher if you are experienced.
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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.
You can order our detailed feasibility report on bunker fuel trading in Nigeri by clicking on the link below.
Report Title: BUNKER FUEL TRADING IN NIGERIA AND AFRICA; THE FEASIBILITY REPORT.
Report Code: FORA/010/2012/06674
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