Fruit Juice Packaging business provides delectable fruit juice products made from choice fruits to the delight, entertainment, health and nutrition of consumers. Even as you read this piece, you might be sipping a packaged juice product right now.
Start-up cost as low as N1 million or more depending on the size of investment. Can be jointly carried out with packaged water as the machines for both businesses are almost similar. It can also be done on a cooperative level
Potential first year earnings: N24 million
Breakeven time from initial investment: very rapid (can be between 1 to 2 years)
Future growth potential: very high
Dynamic, fast-growing industry
Possible for Small business or Cooperative-based organisations
Not much staffing required especially at the beginning
The interesting world of fruit juice business is a whole breadth of product lines ranging from blackberry, apple, orange, pineapple, tangerine, banana, guava, mango, lemon, grape, coconut flavours/products, and others, or a combination of two or more of these fruits.
Background to Fruit Juice Business in Nigeria
Nigeria is blessed with fruits of various shades, colours, names, multiple nutritional values, tastes, and health composition. However, we have not been able as a nation and peoples to exploit our fruit juice industry to the maximum. My colleague and his mother visited their village in the eastern part of the country recently and when he visited the grandmother’s orchard, which had been abandoned by the woman’s children, since every one of them now resides in the city, the orchard was littered with ripe but rotting fruit wasting away on the ground. Fortunately, he and his mother were able to salvage some ripe ones on some of the trees which they brought back to Lagos. The story is the same everywhere. We are wasting resources as a nation in every sphere of our human life. From Benue (which is incidentally the Food Basket of the Nation) to Bayelsa, Aba to Abeokuta, our fruits are wasting away and denying us of the monetary and nutritional values they would have given us as a nation, industry and peoples. Fruit juice business therefore is an investors’ haven as there are still untapped markets and opportunities in that industry.
The Fruit Juice Products Market
This market consists of three often overlapping product classifications: (1) storage method, (2) flavour, and (3) juice content. The storage method classification includes refrigerated, shelf-stable bottled, frozen concentrate, aseptic, canned, frozen fruit juice bars, and shelf-stable liquid concentrate. The flavour classification includes orange juice, fruit drink, apple juice, fruit juice blends, grapefruit juice (including 100% grapefruit juice and grapefruit juice cocktails), tomato/vegetable juice, lemonade (including limeade), and grape juice. The juice content classification includes 100% fruit juices and fruit drinks.
The Packaged Fruit Market
The packaged fruit market consists of four product categories: (1) canned and bottled fruit; (2) dried fruit; (3) frozen fruit; and 4) maraschino cherries. The canned and bottled category includes applesauce, peaches, pineapple, mixed fruit, pears, cranberry sauce, and citrus. The dried fruit category includes raisins, other mixed fruit, prunes, dates, and glazed fruit.
The Fruit Confectionary Market
The fruit confectionary market also consists of four product categories: (1) jams, jellies, and preserves; (2) fruit rolls, bars, and snacks; (3) pie fillings; and (4) fruit butter.
Liquid Fruit Juice Drinks
These come in four different forms:
1. Frozen concentrate: This is diluted with water after purchase.
2. Dry concentrate: This is also diluted with water after purchase.
3. Reconstituted liquid: This has been concentrated but is diluted prior to sale.
4. Unconcentrated beverage called Not From Concentrate (NFC).
The latter two types are also known as Ready To Drink (RTD) juices.
The Manufacturing Process – The process is as follows:
Byproducts from fruit juice production come from the rind and pulp that is created as waste. Products made with these materials include dehydrated feed for livestock, pectin for use in making jellies, citric acid, essential oils, molasses, and candied peel. Certain fractions of orange oil, for instance, known as d-limonene, have excellent solvent properties and are sold for use in industrial cleaners.
Quality is checked throughout the production process. Inspectors grade the fruit before the juice is extracted. After extraction and concentration, the product is checked to ensure it meets a number of the nation’s quality control standards.
Target Market for Packaged Fruit Juice Products
A. Individual consumers
· School children
· Adults e.g. Young adults, nursing mothers, working professionals, etc.
B. Corporate Consumers
· Business organisations
· Worship centres
· Eateries, posh and local restaurants
· Formal gatherings and events
· Parties and celebrations
Technical and Other Requirements
NAFCDAC registration is important and inevitable to operate in this industry. Some manufacturers of bottling water machines have made the machines in such a way it can be used for both water and fruit juice production. But this has to be done under stringent supervision and care to avoid contamination of both products.
Source: Daily Trust Nigeria