How To Start A Lucrative Sesame Oil Production Business In Nigeria: A Step-By-Step Guide
Recent awareness of healthy eating has significantly boosted the demand for sesame seeds and its by-products all across the world. As a whole seed ingredient, sesame is a key ingredient of bakery products, snacks, and toppings. It plays a higher role in the confections market than several other seeds such as pumpkin, chia and poppy seed.
Due to this, the sesame seed market has witnessed a major boost. The global production of sesame seeds was 4.6 million metric tonnes in 2017 with an expected CAGR of 1.3% between 2018 and 2023. The market also enjoys healthy competition as far as demands are concerned. Sudan ($367m), India ($326m), Nigeria ($163m), Burma ($96.6m) and Tanzania ($82.8m) are some of the biggest exporters of sesame seeds and its by-products. On the other hand, the top importers are China ($413m), Japan ($152m), Turkey ($134m), South Korea ($111m) and Iran ($62.9m). Europe is fast emerging as another market for sesame seeds with growing health awareness and change in diet pattern among European consumers. Europe has a steady stream of demands for sesame products, which are mainly fulfilled by India and African and Latin American countries.
The rising demand for sesame seed for toppings on sushi, confectionery, and health foods, is likely to enhance future production in countries including Nigeria. Production of the sesame seeds grew up to 40% in Nigeria in 2017 – 18. Sesame seed was Nigeria’s leading agricultural export product during the first quarter of 2018, with an export value of N26.5 billion. As at the end of the year, Nigeria’s annual production of sesame seeds stood at 450,000 metric tonnes.
However, there are not many sesame seeds processing in the country, and this makes the sector a fertile business venture with lots of prospects. One of the highly lucrative sectors of sesame business is sesame oil production. If you’re looking to start a sesame oil production business in Nigeria or any other part of Africa, here is a detailed guide to help you start on the right foot.
What Is Sesame Oil?
Sesame oil is an edible oil obtained from sesame seeds (Sesamum indicum) through cold-pressing and filtering. The oil contains mostly unsaturated fats (glycerides of oleic acid of about 36% – 54% and linoleic acid of 38 – 49%) and small amounts of saturated fats (fatty acids, palmitic acid stearic acid and some other fatty acids).
What Is Sesame Oil Processing?
Sesame oil processing is the entire process of transforming sesame seeds into edible oil. The process includes cleaning, pressing and packaging, among others.
Business Opportunities Associated With The Sesame Oil Production Business In Nigeria And Across The World
1). Food Production:
Sesame oil has a robust flavour that makes it suitable as a substitute for vegetable cooking oil. More so, it’s often added in the last stage of cooking or used to sauté meats and vegetables or added to salad dressings. It is also used in baking, as a topping or sauce. Generally, the food and snack production industry use sesame oil as an added cooking oil.
2). Cosmetics Production:
The sesame oil is full of Vitamin E and, anti-inflammatory and antibacterial components which are, in general, a great addition to the skincare industry. Sesame oil also keeps the hair shiny and the scalp hydrated. Not only does it feel good and relaxing, but the vitamins and minerals present in the oil keep the hair and scalp nourished. Sesame oil is a useful material for the production of cosmetics, thanks to its rich natural skincare resources.
3). Medical Care Services:
Another vital sector where sesame oil is essential is the health care industry. Sesame oil is often taken by mouth and has been claimed to help the treatment of high blood pressure diabetes, high cholesterol, heart disease, and many other conditions. However, there is no profound scientific research to support these other uses.
Facts And Benefits Of Sesame Oil
- Application of sesame oil may reduce oxidative stress, which can lead to cell or tissue damage.
- Sesame oil aids in the healing of second-degree burn wounds.
- Sesame oil, when used as a massage oil, can significantly reduce pain associated with limb trauma among emergency room patients.
- Sesame oil contains antioxidants that fight damage by free radicals or unstable molecules that can harm the cellular structure of the skin.
- It also contains antimicrobial. A chemical component that can kill harmful microorganisms or stop their growth.
- It contains anti-inflammatory substances that can reduce inflammation and swelling.
- Sesame oil has a low rating on the comedogenic scale.
- Sesame oil has been known to help with sleep.
- Because of the high zinc content in sesame oil, it can help boost collagen and keep your skin more elastic, which typically translates to fewer wrinkles! It is also a fantastic makeup remover.
- Sesame oil serves as a sunscreen.
- It may reduce bacteria in your mouth and keep teeth and gums healthy.
- Sesame seed contains fibre that aid in digestion.
- It is a good source of protein.
- Sudan, India, Nigeria, Burma and Tanzania are some of the biggest exporters of sesame seeds and its by-products.
Types Of Sesame Oil
1). Toasted Sesame Oil:
Also known as dark sesame oil, the toasted oil is made from toasted sesame seeds. The colour ranges from golden to brown and it has a pronounced nutty flavour. It’s used only for seasoning and not cooking. It boosts the taste in a dish, and a little can go a long way.
2). Light Sesame Oil:
The lighter version is made with untoasted seeds. It often used as a flavouring, though the flavour is mild. It’s more suitable for cooking than toasted sesame oil.
How To Start A Sesame Oil Production Business In Nigeria: A Step-By-Step Guide
1). Sesame Cleaning:
After the seeds are brought from the farm or supplier, they are cleaned thoroughly using the cleaning machine. The purpose is to remove impure and immature sesame seeds.
2). Dry Roasting:
The sesame seeds are then dried via roasting. Afterwards, they are heated and ready for crushing. Heating is done to remove excess water that was accumulated during the cleaning process.
3). Sesame Oil Pressing:
Once the seeds have been completely dried, they are ready for crushing or pressing by a mechanical oil expeller. After the oil has been pressed, leave for some time to allow it to settle.
After the above steps, the oil is processed but also may contain impurities. So, it has to be filtered to get pure sesame oil.
5). Sesame Oil Refining:
Filtration doesn’t mean that the oil is ready to be packaged and sold. There is one final step before the oil is packed, which is refining. The refining process ensures that the oil is pure and does not have any oil cakes in it.
After the oil is refined, it is packed into either drums or bottles by an oil filling line and is ready to be transported to the market for sale or distributed to retailers. They can also be sold to other companies that use oil to manufacture other products.
Challenges Of Starting A Lucrative Sesame Oil Production Business In Nigeria
- Lack of mechanized and modern equipment
- As most seeds are processed manually in the country, manual sorting and processing of these seeds are inefficient and tasking.
- Unstable pricing systems.
- The demand for sesame oil is high, but the supply is low.
- Multiple taxations
- Inadequate crop processing equipment.
- Sesame oil processing could be a tasking effort
To Sum It Up
Sesame oil production at the moment is a very lucrative endeavour with enough room for new investors. Although Nigeria remains one of the biggest exporters of sesame seeds and its by-products, the country’s production rate still cannot meet up to the local and international demands for sesame oil. There is a need for more agro-investors and businesspersons in the sector. The sesame oil production business in Nigeria can be a lucrative and profitable venture to start-up, due to its vast market demand and on your ability to build a wide network. If you’re looking for a lucrative business to venture into, the sesame oil production business in Nigeria is a great option to explore.
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