Malawi Groundnut Farmers Coming Out of Their Business Shell.


Posted June 25, 2015

Groundnut shellers becoming feasable business opportunity

June 24, 2015
Leonard Minoff has traveled a long way with his harvest. Coming all the way from Santhe, Kasungu to Lilongwe, he has paid significant costs to transport his small groundnut yield. His motivation for making the journey is twofold. As a cash crop farmer Leonard expects to enjoy better prices in Lilongwe for his groundnuts, though his other motivation for the journey stems from a much more practical reason.
 
Leonard needs his groundnuts shelled if he is able to sell them at market, and to do so by hand would take weeks of work – quite literally. However, in Lilongwe he can find mechanized groundnut shellers who will remove the tough husks of the legumes in less than a few hours, and at similar costs when compared to doing it by hand.
 
That groundnut shellers are inexpensive to purchase, easy to use, but still not available in Kasungu is not lost on Leonard. ‘Yes, it would be great to have one of these available in Santhe, I am thinking seriously about how I can purchase one to start doing business there’, he reflects. Coincidentally, UK Aid is currently supporting a project that works to facilitate greater collaboration between sheller fabricators and groundnut farmers.
 
At a reasonable price of roughly MK40,000 minimum per basic sheller, to MK95,000 for a more sophisticated version, with a lifespan of between 3 to 5 years, the purchase of this hand-driven piece of equipment makes very good business sense for a budding entrepreneur. And at a very conservative estimate of MK2,000 profits per day, it is not hard to understand why. Within a month a basic groundnut sheller can pay for itself, with estimated yearly profits somewhere around MK200,000 after expenses and taxes. Moreover, according to Leonard, a genuine need for shellers exists virtually everywhere outside of Lilongwe.
 
A further advantage of investing in groundnut shelling is that it is a business without a lot of excessive management. Traditionally groundnut farmers pay laborers to do the actual shelling, while also paying to ‘rent’ the machine as it is being used. Thus no difficulties arise as a result of managing employees. Only oversight and security are required management from the sheller’s owner.
 
So, as the groundnut industry in Malawi continues to expand, real business opportunities are on the rise. Groundnut shelling appears to be a relatively risk free business, with great potential for profit. For farmers like Leonard, real opportunity exists to not only make his groundnut yields more efficiently processed, but to also make his pocketbook more effectively filled. All it will take is an investment, some hard work, and groundnuts of course.

For more information about groundnut shellers in Malawi, contact any of the following fabricators:

For Shellers, the fabricators are

Mr Naveya
Mgona Market
0998 612 030
 
Mr Spencer Chikwati
Mgona Market
0995 164 070
 
C to C
Mr Lameck Makutu
Kanengo
0888 307 754/ 01 710 136
ctoc@malawi.net

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