The Basics Of How To Start An Ice Block Business In Nigeria

Ice Block Business In Nigeria

If you are looking to start an ice block business in Nigeria but you don’t know if it is profitable or not, or you don’t know how to go about it, you’ve arrived at the right place.

One of the major problems Nigeria is suffering from today is the epileptic power supply. Unlike other countries where there is constant electricity, the case is different in Nigeria, as such, people who need electricity to freeze their products are always on the lookout for alternatives. One such alternative is the use of an Ice block.

The ice block-making business is a kind of business that requires one to produce ice blocks and sell in wholesale to retailers who would then sell them to customers, or sell them in retail directly to customers. These customers range from roadside drink sellers to bars, restaurants, and eateries, to mention a few.

In situations where electricity is not constant, these customers will need ice blocks to make their drinks cold so that the average Nigerian who is suffering from the country’s hot environment would patronize them. This is where you come in as an ice block producer.

To run a successful ice block-making business in Nigeria you need to follow certain steps. All of them have been listed and explained to you in this article.

What Are The Advantages And Disadvantages Of Starting An Ice Block Business In Nigeria?

Every business has its respective advantages and disadvantages and the ice block business in Nigeria is not an exception. Here are some of the good side and bad side of starting an ice block business in Nigeria:

Advantages

1. Epileptic power supply: The power supply in Nigeria is not constant, as such, people are always in need of ice blocks for their businesses. However, this is an advantage to anyone interested in starting an ice block business.

2. Hot weather condition: The weather condition in Nigeria is so hot that people are always in need of cold water or drinks. The fact that electricity in the country is not constant means people who sell these drinks and water will want to purchase ice blocks to freeze them. This too is an advantage for you as an ice block business owner.

3. Easy to start up: Ice block business is very easy to start in Nigeria. All you have to do is select a good location, rent a shop or space, get the necessary equipment, and start producing ice blocks.

4. Longevity: Electricity has not been constant in Nigeria in the past and with the current state of development in the country, there is no assurance it will be constant in years to come. This means people who venture into the ice block business in the country today will still be making a profit from it for years to come.

5. No damage: Ice blocks are not perishable products. So even if you don’t make enough sales from them in a day, when they melt, you can still refreeze and sell them the following day. Compared to some other businesses, you stand less chance of suffering from risk with an ice block business.

Disadvantages

1. Cold weather condition: While hot weather condition is an advantage for ice block business owners because of the high demand for cold drinks and water, in cold weather, the reverse is the case. As an ice block business owner, you might struggle to make sales during the rainy season or harmattan when people won’t need cold water or drinks.

2. Cost of fuel: The epileptic power supply in Nigeria means you would have to rely more on a generator set to run your ice block business. This in turn means you will have to spend more on fuel. With the high cost of fuel in Nigeria today, if care is not taken, you might be at a loss running your ice block business.

Can I Use Deep Freezer For Ice Block Business?

Yes. You can use a deep freezer for ice block business. Ice block business in Nigeria can be done on a small scale or a large scale. If you are the type that wants to start yours on a small scale, then you are good to go with a deep freezer.

However, if you intend to do it on a large scale, you will have to opt for something bigger like an ice block machine.

How Much Does An Ice Block Cost In Nigeria?

There is no fixed price for ice blocks in Nigeria. Prices of ice blocks depend on their sizes and usually range from ₦200 naira to ₦1000 naira.

How Profitable Is Ice Block Business In Nigeria?

Ice block business in Nigeria is very profitable. This is a result of two reasons; the epileptic power supply in the country and the hot weather conditions.

The poor supply of electricity in Nigeria has made restaurants, beer parlors, drink hawkers, and event caterers, among others, resort to using ice blocks as an alternative. Other than that, the hot weather condition in the country makes chilled water and drinks a priority for most people and since there is not constant electricity to provide them, people opt for ice blocks.

As a result of these two factors, there is a high demand for ice blocks in Nigeria which makes it a profitable business anyone can venture into.

What Are The Materials And Equipment Needed To Start An Ice Block Business?

Here’s a list of some of the materials and equipment you would need to start your own ice block business in Nigeria:

1. Water: While this might not necessarily be considered as equipment or material, you would need water to start your ice block business. Water in its solid state is what is sold for profit in any ice block business.

To get water for your ice block business, you can either construct a borehole or get a water supplier who would constantly supply you with water for your business.

2. Deep freezer/ice block machine: These are equipment you will use to freeze the water before you sell them off as ice blocks. If you are looking to start your ice block business on a small scale, you can opt for a deep freezer since it is a bit affordable.

On the other hand, if you want to start on a large scale, you can opt for an ice block machine since you would be producing ice blocks in large quantities, something you might not be able to achieve with a deep freezer.

3. Packaging items: These would serve the purpose of packaging ice blocks after they have been frozen with a deep freezer or ice block machine. In most cases, transparent polythene nylons are used for wrapping and packaging ice blocks.

4. Generator set: One of the major motivations to start an ice block business in Nigeria is the epileptic power supply in the country. So you can’t bank on that same epileptic power supply to run your ice block business too. This is why you would need a generator set.

5. Delivery vans: If your ice block business would require you to supply ice blocks to customers instead of them coming to buy from you, then you would need a van to make deliveries.

How Much Does It Cost To Start An Ice Block Business In Nigeria?

The cost of starting an ice block business in Nigeria depends on whether it will be done on a large scale or small scale.

For a large-scale ice block business, you would need around ₦3 million to ₦5 million naira while for a small-scale ice block business, you would need around ₦500,000 naira.

How Do I Start An Ice Block Business In Nigeria?

1. Formulate a business plan: If you want to start an ice block business in Nigeria, the first thing to do is to create a business plan. One major mistake most business owners in Nigeria make is that they just jump right into a business without making any business plan and end up failing.

A business plan will give you an insight into how you want to run your business and guide you through each stage of managing it. This is why it is important to have one before doing any other thing.

Also, formulating a business plan will help you outline the different paths to take to generate revenue for your ice block business as well as provisions for expanding it if need be. It will also help you make plans for funding the business as well as for bringing in new partners as the ice block business progresses.

2. Select a location for your business: Ice block business might not thrive in every location in Nigeria as a result of the fact that there are still certain places in the country where people enjoy constant or almost constant electricity. Starting an ice block business in any of these places will be bad for business as you will likely witness low patronage. This is why the selection of a good location is a very important step to take when starting your ice block business.

Locations where you can easily thrive as an ice block business owner are locations where there are a lot of vendors selling drinks as well as locations where people struggle to get constant electricity.

3. Get the needed capital: No business thrives or survives for long without capital. So after you have created your business plan and have found a good location to set up your business, the next thing you should do is to get funding for the business.

4. Rent a shop/space and purchase equipment: With your capital in place, you can now go ahead to rent a shop or space in a good location you’ve selected and also buy the equipment you would be needing to run your ice block business.

As mentioned already, some of the equipment you would need to start an ice block business in Nigeria include water, a deep freezer, an ice block machine, packaging items, a generator set, a delivery van, etc.

5. Market your business: Just like in every other kind of business, you are likely to fail as a business owner if you don’t have customers. This is where marketing comes in. With everything in place already, make attempts to market your ice block business to people around you so you can get patronage from them.

You can share flyers in the neighborhood advertising the opening of your new ice block business or meet with restaurant and beer parlor owners in the area to inform them that you produce ice blocks and would like them to patronize you.

Ambassador Victor Chidera
Ambassador Victor ChideraAmbassador Victor Chidera is a business consultant, writer and a blogger. He provides lots of professional and expert advice to small businesses, entrepreneurs and organizations. He has many years of experience in business, teaching field, and research work. And his aim is to provide business articles that matters to you both nationally and internationally.
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