How to Start Potato Chips Business in Nigeria (2022)

In this article, you will learn how to start a potato chips business in Nigeria. You will learn everything about the business from whether potato business is profitable or not, capital needed to start potato chips business, ingredients and equipment needed to start potato chips business in Nigeria and more.

With the cost of plantain making plantain chips is expensive in Nigeria. Many Nigerians that consume snacks are now buying potato chips instead of plantain chips. This is why going into the potato chips business in Nigeria is now very profitable more than before.

However, if you are really serious about the business, especially because you are investing a huge amount of capital into it, you will need a business plan. There are two types of potato chips in Nigeria. 

Therefore depending on the kind of potato chips business you will either need a potato chips business plan or an Irish potato chips business plan. You can also go into the two potato chip businesses. It depends on you and the demand for each snacks.

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Table of Contents

Is Potato Chips Business Profitable?

Potato chip business is a profitable business especially when you are going into the production aspect. This is where the real profits come into play. You can go into potato chips productions in Nigeria and distribute your potato chips around Nigeria.

Nigerians love snacks. All snacks are loved because they serve different purposes and they all have their unique taste. To become a potato chips producer you need to buy a sweet potato chips cutter or small potato chips machine. It depends on whether you want to go into Irish potato chips or sweet potato chips.

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Capital Needed to Start Potato Chips Business

The cost of starting a potato chips business in Nigeria depends on some factors. It depends on whether you want to go into the business as a producer buying the machine needed for large scale production or simply be a wholesaler. This mostly determines the capital you will need. 

To start a potato chips business in Nigeria you will need a capital of #500,000 – #1,000,000. This is if you are going into potato chips production business in Nigeria as this money will be used to buy the potato chips machine. This machine will help you fry your fry chips crispy. You will also use capital to rent a room for the production.

There are also ingredients used in making potato chips. In Nigeria, most potato chip producers use ingredients like sweet potato or Irish potato, pepper, vegetable oil, and salt. But potatoes are the most important ingredient.

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How to Start Potato Chips Business in Nigeria

Here are steps on how to start a potato chips business in Nigeria.

1. Write a Potato Chips Business Plan

The first step to start a potato chips business in Nigeria is to write a potato chips business plan. Especially if you are going into potato chips production you need a business plan. The business plan will help you to understand the potato chips business and how you can make profits despite being new to the business.

A potato chips business plan might cost you thousands of naira. This is because it is not easy to write business plans. If you cannot afford to buy the business plan, you can simply click the link below to write your own potato chips business plan yourself.

With the guide you will be able to write the perfect business plan despite being a newbie into the business world. I often advise my readers that want to go into any business that demands high capital to get the business plans of that business.

This is to make sure that you know the requirements to start the business, how to distribute the products and most important different ways on how to make profits from the business.

Read also: How to Write Business Plan in Nigeria

2. Get Capital Needed

Capital is very important if you are going into potato chips business on a large scale because you need money to do a lot. You need money to buy potato chip making machines, packaging nylons and boxes, ingredients and more.

Even if you have a house to produce your potato chips snacks, and you have a farm where you grow potatoes, others do not come for free. You need to buy all this. This is where your capital comes in. The capital I mentioned above should be enough to start your potato chip business. However, depending on some factors like inflation it might be more as time goes by.

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3. Buy Equipment and Ingredients

Equipment is very important in potato chips production except you are just interested in the distribution or selling of the potato chips. You also need ingredients and I will advise you buy them wholesale especially your potatoes whether Irish or sweet potatoes.

You can import your potato chips machine from abroad, especially china or simply buy tokunbo or Nigerian use. It depends on what you can afford at the beginning of the business. You will need a store to keep all your foodstuffs aside from where you produce your potato chips too.

Read also: How to Start Fried Fish Business in Nigeria

4. Rent Store/Room for Production

Except you are starting your potato chips business from home. You need to rent a store for the business. If you are renting a store make sure it is big enough to contain both the foodstuffs and the production part of your potato chips.

If you are using a room you need to also make sure the room is big enough and conducive to contain your machine and foodstuffs. You will need a generator to power your equipment.

5. Employ Workers/Staff

You need to hire staff for your potato chips business in Nigeria. The staff you will be hiring will be based on experience not qualifications. A worker that has once worked in any snacks production company is more beneficial than a graduate as they learn faster and teach others easily.

They also charge lower wages or salaries than graduates. You will need at least 2 to 3 workers in your potato chips business.

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6. Potato Chips Production

After getting a location, buying your equipment and ingredients, hiring staff, you need to brand and register your potato chips business. For the branding you will need a professional graphic artist. 

As for the registration under Corporate Affairs Commission (CAC) and NAFDAC you will need to get an agent that can process it for you easily. The registration of your potato chips business as a company under the CAC is faster now. 

It can be done within a week while the one of NAFDAC will take 2 – 3 months because they need to inspect your production premises before they can give you the go ahead into the production.

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7. Selling Potato Chips

Knowing how to make potato chips for sale in Nigeria is very crucial so that you do not make losses from the beginning of the snacks business. For example, you need to know portion control for the prices of your potato chips if you are selling them ₦100 each or ₦200.

Distribution is also important in your potato chips business in Nigeria. To do this easily you can approach provision stores around you offering to give your potato chips for free to taste and to sell for you. With this tip they will be willing to sell the snacks for you without complaints or pressure.

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Potato chip business in Nigeria is lucrative just like plantain chips or any other snacks business. You just need to study and understand the business very well before going into it. You can visit other potato chip production companies in your area for a practical view on the business. 

That is all in this article. As usual, let me know if I missed any part of this article. Also, let me know if there are topics you want me to write about on the blog or talk about on our YouTube Channel or maybe our podcast.

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About theinfoworth

Ralph Bamigboye is the brain behind blog and Finance Naija YouTube Channel. He has helped many individuals to start their businesses and make money online.
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