Business Plan for Starting Bulk Petroleum Business Operations in Tanzania and East Africa

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BOHUS ENERGY is an emerging indigenous petroleum products marketing and trading company in Tanzania. Bohus energy’s grand entry into the oil and gas sector was with the drive and commitment to meet Tanzanians’ energy needs by enhancing access to high-quality petroleum products.

As an emerging leader in the downstream sector, Bohus Energy specializes in the importation, storage, trading, supply, sales, and marketing of petroleum products to consumers across the country and other neighboring countries. With a strong brand, distinguished by quality and service, our company can draw on our much strength to create added service value.

Through the company’s extensive logistical and storage capacity and comprehensive product coverage, we have been able to supply petroleum products to our esteemed customers to even the most remote of client locations and sites.

BOHUS ENERGY  is owned and managed by the consolidation of young professional  Tanzanians with expertise that cuts across the various energy sub-sector sectors. With a team of experienced personnel having vast knowledge about the industry, we have our vision and mission statements written out, aiming to become one of the household names in the oil and Gas downstream sector and expand our global market presence.

BOHUS ENERGY  has a business mindset that promotes profitability, efficiency, and best practice in our business processes. We are focused on the highest standards of health and safety procedures during our operations. BOHUS has rigorous policies and procedures in place to ensure that it complies with all relevant national and international

legislation and regulation.

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In the full version, you will have access to the following table of contents:

Executive Summary                                                    `

  • Introduction
    • Background of the Business
    • Company Description
    • Strategic Priorities
    • Objective the Business Plan
  • Products and Services
  • Market Research
    • Global & Regional Context
    • East and African Regional Context
    • National Context
    • Estimated Market Potential for Synergy Power
    • Target Customer Groups
    • Competition Analysis
    • SWOT ANALYSIS
    • Comparison of the Products and Services with the Competitor’s
  • Marketing Strategy
    • Sales Plan
  • Technical and Operational Plan
  • Location and Layout of the Depot
    • Land Procurement, Buildings and Civil Infrastructure
    • Plant and Equipment
    • Installed Depot Capacity
    • Requirements of Distribution Trucks and Patrol Services
    • Repair and Maintenance
    • Costs Associated with Oil Sector Regulators and Stakeholders
    • Regulatory Compliance, Temperature Monitoring, Security and Safety:
      • Requirements and Costs
    • OWNERSHIP, MANAGEMENT AND STAFFING PLAN
      • Ownership Structure
      • Organizational and Management Structure
    • Strategic Plan
      • Training Requirements
      • Operational Policies and Procedures
    • Project Financial Plan and Viability
      • Assumptions

8.2 Capital Expenditure

8.3 Financial Analysis

The charge for this detailed business plan for bulk petroleum operation is USD 1500. If you are interested with this study contact us via +255(0)655376543 or email us via info@tanzaniapetroleum.com so that we can discuss your best payment option.

 

 

 

 

 

 

 

Business Plan for Starting Dairy Processing Business In Tanzania

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Market Outlook 

Dairy processing around the world is growing rapidly to meet milk and daily product for an ever-growing population. The dairy process is an industry that involves harvesting or processing milk from milk-producing animals for human consumption.

The structure of the dairy processing industry varies from country, while in developing and major milk-produced country most of them are sold on a wholesale basis, milk is an easily digestible and highly nutritious human food, that is consumed daily either direct or in any other dairy product forms.

Dairy products contain different kinds of vitamins, proteins, minerals, minerals, fat, and sugar contents in liberal quantity India stands third after America and Russia in the world milk product. Being one of the top milk producers, the distribution of milk across the population spread out in the nation is made to equate as there are united milk processing plants.

 The distribution and supply of processing milk are adequate to reach children expectant and nursing mothers across the nation. This can only be achieved by improving milk production through setting up new processing plants to produce and market milk and various dairy products.

Our feasibility study reveals that diary processing plants that produce short shelf-life products such as s yogurt, soft, cheese, and creams tend to be located in urban regions close to customers. But the producer of longer shelf dairy products such as utter cheese, and milk powders’ are located in rural areas close to milk

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Business Description

KAGERA MILK LIMITED will be a newly established milk processing company located in Kagera, Tanzania. The company is looking to capitalize on the growing opportunities in food processing by producing numerous types of dairy products in Tanzania and Africa

At KAGERA MILK LIMITED we know that dairy processing is a highly competitive business and a good production plan is needed to ensure the success of the business. Offring fresh products and employing trained staff is our biggest competitive advantage.

As a dairy processor, we recognize that our customers are the most important people in our business, so the only way we can survive in this competitive market is to ensure customers are satisfied with the products and services we offer to them.

Our Mission

To offer high quality processed dairy products  

Our Key to Success

  • Our location has sufficient raw materials and milk
  • Offering fresh products
  • Proper staff training to ensure a uniformly high product quality

Our Target Customers

  1. Domestic retail customers.  The potential customer in this segment are households, small shops supermarkets, young people, travelers, etc
  2. Institutional Customers. This market includes sales to schools, colleges, army, prisons 
  3. Commercial customers. This segment includes hotels, restaurants, bakeries, and food businesses. We know that product quality, reliability of supply, and relationship are key to winning this market.

 

Our Services

We will not only produce milk and other dairy product for commercial purposes, but the company also aims to provide various cattle-related products and services to its customers. The main service incorporated in the new dairy product business plan is as follows. 

  • Product of milk butter, cheese, yogurts, cream, cheese, and other cultured dairy food.
  • Production of conned beef
  • Farmer and shearing services

Management, team and Role of Staff

Owner and Managing Director Richard Kasimila: He is the owner of the plant. He is a businessman in  Dar es salaam. He will be involved in all the key decisions that go in his factory. He will employ the following position to help him with the daily operation of the factory.

Accountant: To keep all financial records

Secretary: Takes orders from products

Production Manager: To process milk and other products

Quality assurance person: He will be responsible for testing.

Marketing Manager: To deliver products and promote products to customers

 

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In the full version, you will have access to the following table of contents:

Market Analysis of dairy products

Cost for setting up a dairy processing plant

Startup expenditure and projects

Expected profitability of the project

The production process of dairy products

Production plan

Marketing and sales strategy

Business Plan for Starting Sunflower Oil Production Business In Tanzania

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Opportunity

Sunflower oil production business is a subset of the margarine and cooking oil processing industry and players in this industry process a variety of oilseeds including canola seeds, sunflower seeds, flaxseed, sunflower seeds, and mastered seeds.

Recently the price of oil seeds declined leading revenue for the margarine and cooking oil processing industry to fall. On the other hand, the revenue generated in this industry a captured to return over the five years to 2022 as cell seed prices stabilize.

Besides, the growing acceptance and adoption of vegetable oils will continue to help improve demand from us consumers. 

Befoul production will also increase and it is antiapartheid to generate steady demand to oilseed as part of the reviewable fuels program. Through low price as a result of overproduction in the past will likely make industry operators weary of overplanting over the rust five years.

A rent report released by IBIS world shows that the margarine and cooking oil process industry experienced significant revenue volatility over the last five years due to fluctuation in the price of inputs such as soybeans, oilseed.

Over the sunflower oil production line of business is a profitable industry and it is open for any aspiring entrepreneurs to come in and establish his or her business and now we choose to start on a small scale service a community or in a large scale with several distribution outlets in key parties all around Tanzania.

Executive Summary

Kagera Production Company is a licensed vegetable oil production company that will be located in an industrial area in Bagamoyo we have been able to secure a long-term renewal on the agreed team and conditions that are favorable to us.

The facility has government approval for the kind it’s easily accessible and we are deliberate about that to facility easy movement of raw materials (Sunflower and other oil seeds) and finished product well-packaged sunflower aim vegetable oil).

 We are in the sunflower oil production line of business to produce edible vegetable/sunflower all in commercial quantities for retail outlet fool business and household. 

We are also in business to make profits and sometimes give our customers value for their money we want to give people and businesses who patronize us the opportunity to be part of the success story.

 We ensured that our facility is easy to locate and we have mapped out plans to develop a wide distribution network for wholesales all around Tanzania East Africa. 

Much more than producing quality and heart-friendly sunflower oil in commercial qua entities our customer care is going to be secondary to none. We know that our customers are the reason why we will go the extra mile to get them satisfied when they visit or purchase our product.

We will be engaged in the production of.

  • Sunflower oil 
  • Eanola oil 
  • Flaxseed oil
  • Mustard seed oil
  • Sunflower oil
  • Peanuts oil.

Mission and Vision 

Our vision is to establish a standard company whose products will be not only be sold in Tanzania and Africa

 Our Business Structure.

Because of that, we have decided to hire qualified and competent hands to occupy the following position.

  • Chief Executive officer owner plant manager. Human Resource and Admin Manager
  • Sales and marketing manager information Technologist Accountable/cashiers cleaners.
  • Job Roles and responsibilities chief Executive officer to (dewier) 

Distribution truck drivers transport finished goods and raw material over land to and from manufacturing plants.

Sunflower oil is are of the three main edible us in the international market. The production of sunflower oil ranks behind perm oil, soybeans oil, and canola oil. Africa is the main producing area of sunflower seeds in the world. 

The global production of sunflower seeds is 605,000 tons of which Africa accounts for 94.3% of the total production, and other regions account for 5.7% of the global production.

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In the full version, you will have access to the in-depth description and  analysis of sunflower oil production in Tanzania, sales projection, start up costs, raw material costs etc

Business Plan For Fruits and Vegetable Processing Factory

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Executive Summary
Kagera Co fruit processing is a licensed fruit and vegetable process company that will be based in  Dar es Salaam in Tanzania, we have carried out market research and feasibility studies and were convinced about the economic potential of the fruit and vegetable processing business in Tanzania. We were able to secure a hundred hectares of land to start our fruit processing plant. Our fruit process plant is going to be of standard hence will be involved in cultivating fruits, processes, and marketing fruits and vegetable products in Tanzania and Africa at large.

We are in the fruit and vegetable processing industry because we want to leverage the vast opportunities available in the industry to contribute our quota in the growing Tanzania economy in exporting processed fruits to other countries and to make a profit.

We have put processes and strategies in place that will help us employ best practices when it comes to the fruiting process our customer’s best interests will always come first and everything we do will be guided by our values and professional ethics. We will ensure that we hold ourselves accountable to the highest standards by meeting our clients’ needs precisely and completely.

We understand that many people are going into this business so we will target the right market and sustain it through constant innovation and adhering to strict quality assurance.

Before starting the processing company will do some of the leading work with experts in Tanzania who have ten years of experience in the food processing industry .

Our product over services.
Kagera fruit processing company is committed to producing processing and packaging fruits and vegetable for both Tanzania and the global market. We are in the industry to make a profit and we are giving to do all we can to achieve business goals, and objectives, here are our offerings.

  • Fruit & vegetables
  • Fruit & vegetable juices
  • Ketchup and other tomato-based success.
  • Dehydrated fruits and vegetables (used as fruit flavors)

Our Mission.
Our mission is to become not just is the leading fruit and vegetable process Company not just in Tanzania, but also Africa.

Business structure.
Kagera fruit process Company is a private coined business that intends to start small in Tanzania. But hope to grow is in order to compete with leading processing companies in the industry both in Tanzania and Africa.

We are aware of the importance of building a solid business structure that can support the picture of the kind of world closes business we want to own. This is why we are committed to only hiring the best hands within our area of operation.

We will ensure that we hire qualified  people, hardworking creative, results-driven customs and are ready to work to help us build a prosperous business that will benefit all our stakeholders for many generations to come.

The profit-sharing arrangement will be made available to all our senior management staff and it will be based on their performance for ten years on more and agreed by the company given the above we have decided to hire qualified and competent hands to occupy the following:

  • Chief operating officer
  • Fruit and vegetable process plant manage
  • Human resources and Admin manage
  • Accountant/cashier
  • Sales and market executive
  • Plant workers/field workers
  • Front desk officer.

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In the full version, you will have access to the following table of contents:

  • Market outlook for fruit and vegetable processing industry
  • Target customers
  • Budget for the project and start-up costs
  • Factory building requirement and costs
  • Sales and marketing strategies
  • Sales projection

Business Plan for Starting Construction Company In Tanzania

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Executive Summary 

KIZY contractor limited intends to start a small-scale construction business on a small scale in Tanzania.  

Our company will specialize in the construction of bridge stadiums, roads, offices, and schools.

We want to build a reputation in the marketplace for delivering high-quality services on time and within budget.

Global creativity, excellence, and timely completion of construction projects will be our signature.

Presence in any party of the world that our clients want us to work. We hope to achieve this feat within the first 10 years of launching the company.

Our goal is to exceed our customer expectations and become a preferred construction brand in Tanzania an n Africa

We have perfected plans and strategies that will enable us to work with our clients in delivering projects that can be favorable complete with the best in the industries at an affordable and reasonable price within the stipulated completion date burning any unforeseen circumstance.

KIZZY contractor ltd is fully aware that starting a construction business requires a huge capital base. This is why we have perfected plans for a steady flow of cash through Public-private – partnership (PPP) through sharing product agreement (PSA) or private investors who are interested in working with us.

 We can confidently say that we have a robust financial standing and we are ready to take on any construction project that comes our way, as long as the project is daily commissioned by the required authority.  

And we also have plans in the pipeline to sell the shares of the company in the nearest future to interested investors who would want to be part owners of the company.

  • Vision and Mission

 

Our vision is to build a first-class construction company that will have an active presence in Africa.

 

Our mission and values are to help governments, the private sector, and individuals in Tanzania and Africa and through the world realize their dreams of building a world-class structure that can compete on a global stage with the best in the construction industry. 

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In the full version, you will have access to the following table of contents:

  • Executive summary
  • Vision and Mission
  • Products and Services
  • Tanzania construction industry outlook 
  • Our target market
  • Sales and Market Strategy
  • SWOT analysis
  • Source of income
  • Start-up capital and expenditure
  • Sales forecast.
  • Management, team, and business structure

Feasibility Study For Starting Cement Production Plant In Tanzania.

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Out of food and beverages and the broads agro-processing segment. The manufacture sector is support primary by element manufacturing with the counting’s cement capacity expanding rapidly in recent years, most significantly after the 2015 market entry of Tanzania.

 

Although supply has risen substantially increased competition has resulted in narrower margins exacerbated by broader industrial issues, including chronic fuel and electricity shortages.

Despite this, the outlook for cement demand is bullish, with expectations of a steady rise on the back of new construction activity although the near term challenges will likely continue to weigh on growth and profit in 2018.

Cement Industry Growth In Tanzania.

Cement production has expanded sharply since the early 2000s supported by robust macroeconomic growth and rising contraction activity According to AIB capital, output reached a compound annual growth rate of 9.7% between 2001 and 2015, starting the period at 900,000 tones. The ministry of finance and planning reported that output rose by 4.3% in 2011 to 2.4m tones, against 2.3m tones in 2010, production.

Increased by 7.1% in 2012 to 2.6m tones, although it moderated in 2013, to 2.4m tones, before growth by 18.1% in 2014 to 2.8m tones. 

AIB capital found that total installed capacity stood at 3.7m tones, in 2015, with production averaging 3.3m tones. Compared to 6.5m. Tones in Kenya, 2.1m tones in Uganda and 800,000 tones in Rwanda.

TPCC and Tanga cement are two of the largest Tanzania cement production, with market capitalization of 84bll and 81.1 bil, respectively, in 2016, while Germany’s Heidelberg cement, Switzerland’s, LafargeHolcim and South Africans Africasam Investment Holdings also operate units in the country TPCC held at 35% market share at the end of 2015, with 1.9m tones per annual (Tpa) of productions, following by Tanga cement cement, with 1.2m (TPA).

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  • Cement plant operation expenses
    The cement market analysis in Tanzania
    Equipment required to produce cement and their prices
    Demand for cement in Tanzania
    Production of cement in Tanzania
    Challenges
    Investment cost of the project and its breakdown

Feasibility Report and Business Plan for Lubricant Oil Blending and Manufacturing Plant in Tanzania

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Introduction
Lubricants are substance normally in a liquefied form that is introduced between two moving parties to reduce the friction between them, thereby improving efficiency and reducing friction.
Friction is what you get when you rub your hands together. Your hands get warmed when you rub them because of friction.
There’s always friction when the two objects in contact rub against each other. But there are a lot of parts moving over each other in an engine, and the rest of an automobile, so there’s a lot of friction, a lot of wear, a lot of heat.

The key characteristics of good lubricants are:
Lubrication is the ability of lubricants to lubricant moving parts and reduce friction.
And Viscosity: Viscosity is the resistance of a fluid to flow.

A lubricant manufacturing plant is a facility that produces and package and distribute numerous type of lubricants oil products including greases, brake fluids, engine oil, etc.

Market Outlook
The lubricant oil sector divided into two main segments including an automotive and industrial segment
The automotive sub-market of the lubricant oil industry holds the 60% market share, and the industrial sub sector holds 40% broadly, the lube market is segmented into five regions. These areas are Tanzania, Asia Pacific, Europe, North, America, The Middle East & Africa, and South America. The Asia Pacific is the largest market for lube followed by Europe.

The industry project that India’s automobile lube oil market will reach $ 9.6 billion by 2022 in the future also, the growing consumer awareness regarding the use and advantages of engine oils and other lubricates is another major reason.
In the automotive segment, cars, two-wheeler, and three-wheeler segments account for 40% of the markets however, diesel operates engines, trucks and other heavy vehicles have the bulk share of the rest 60%.

The increasing number of passenger and commercial vehicles in the region is fueling the growth of the lube market hence, starting a lubricates manufacture business is a highly lucrative business for entrepreneurs who want to start a business in the growing lubricant industry in Tanzania and Africa.

Problem
There is a shortage of lubricant oils production plants in Tanzania. Local market production of lubricants is very few in the country. This led to the importation of substandard lubricants, mainly in Arab countries, South Africa, and Kenya. In turn, it results in the proliferation of the dealers who supply
the substandard oils in the maker and causing damage to cars and machinery that drive significant losses to consumers.

The project describes the investment cost and benefits of setting up a small-scale lube oil blending plant in Tanzania.
The proposed plant can also be established anywhere in the country as its end product is consumed widely and generally in Tanzania.
The unit will be using modern semi-automated machinery for all the processes, ensuring quality checks.
There is not the specific time required for the entry time in the sector. As the need is increasing day by day due to the increase in population and industrialization, investment can be made any time during the year.

Project Indicators:

Plant Capacity: 300,000 liters

Project investment cost:  USD 3 million

Profit after tax in the first year:  USD 2.5 mil in the first year

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In the full version, you will have access to the following table of contents:

  • Overview
  • Market outlook
  • Market analysis for lubricant market in Tanzania
  • Regulation, Permit and Licenses to start lubricant plant in Tanzania
  • Production plan.
  • Production process
  • Raw material requirement
  • Land size requirement
  • Management and business structure
  • Working capital requirement
  • Operation costs of the plant (Including salaries for employees, warehouses, land, etc)

 

Business Plan For Starting Biorefinery In Tanzania and Africa

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EXECUTIVE  SUMMARY

Currently, the majority of chemicals and energy are produced from finite fossil fuel-based resources. The world’s societies and commercial markets are dependent on these depleting fossil fuels for the production of approximately 80% of its energy and 85% of its chemicals. (Fernando et al 2016). The large-scale production and use of these fossil fuels have contributed to negatively impacting the environment due to the emission of harmful greenhouse gases and toxic materials. With a growing population, the demand for energy and chemical is increasing considerably. Along with a growing world population, the corresponding amount of waste generations is also gradually increasing a market share.

The production of bio-based chemicals in a biorefinery significantly reduce greenhouse gas emission, thus stimulating innovation advancements in the area of the biorefining process and expanding the bio-based economy will lead to a more environmentally benign chemical manufacturing industries sector. Approximate 258 million tons of municipal solid waste alone.

Approximate 35% of this (MSW) Is recycled/ composted,13% o it is utilized for generation of energy, through incineration process, and about 53% of (MSW) is discarded into landfills Us, EPA 2016 Because of the increasing demands for energy and chemicals and to overcome the issues associated with depleting fossil fuels and its related environmental impact it is
imperative to identify, an alternative resource to produce energy and chemicals, in these process biomass has been identified as renewable for the resources

Project Description

BWAX company limited registered company is aiming at establishing a high class of biofuel production plant in Bugorola District Industrial Area, Bukoba, Tanzania

 Primary customers of BWAX limited consist of individuals and/or organizations w =d have the willingness and ability to buy. The company night it to prominence as a working-class produces the fuel used as a petrol substitute for road transport vehicles. The plant production capacity will be 189,000 litters will be produced per day. The total project investment cost is estimated at USD 2.5-3.0 million. The outcome of the project include employment creation and benefit Tanzanian people in terms of prices for petrol and diesel for transportation

Vision 

To be leading provider biofuel production for medicine from extraction and dealership of energy needs of society in ways that are economically socially and socially and environmentally viable now and in the future.

Business Location 

Currently is temporally located on plot but it will soon have a permanent home Bugorola District Industrial Area, about 30 kilometers from the town center.

MANAGEMENT TEAM

 Background of the founding management 

 Mr. Innocent Kazimoto- Executive Director.He is a secondary school leaver who has to build himself through entrepreneurship. Currently, together with his twin brother, they are running their own company known as Jogoo Investment which deals with soap manufacturing. 

 Mr. Kelving Samuel – Managing Directors. 

 Philosopher of management and company culture 

  • Hard work, teamwork, and respect for customers 
  • Quality, efficient and customer-focused services 
  • Honesty, credibility, accountability, and trustful 
  • Proper utilization of resources through care and maintenance 

The legal structure of the company   

 In the process of being incorporated as a private limited liability company under the Tanzania companies Act of 2002. 

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In the full version, you will have access to the following table of content

Table of Contents
EXECUTIVE SUMMARY 
INTRODUCTION 
COMPANY DESCRIPTION
Vision and Mission statement
Business Concept
Management Team
Business Location
PRODUCTION DEVELOPMENT
Required steps Involved producing the product
A timeline for production
The need for company’s product
Differentiation and Competitive advantage of our product
Possible barriers in bringing the product to market
INDUSTRIAL ANALYSIS
The size, maturity, and competitive nature of the industry
The barrier to entry and growth
Effects of the economy on the industry
The industry’s financial position and performance
The rote innovation and technological change
Effects of government regulations on the industry
MARKET ANALYSIS
Target market
Market niche
Pricing
COMPETITION
Description of competition
Market share distribution
Barriers to entering the market
Strategic opportunities

MANAGEMENT AND ORGANIZATION

Background of finding management
Philosopher of management and company culture
The legal structure of the company
Job description and organization chart

MARKETING STRATEGY
Purpose of marketing plan
Plan to reach the first customer
Samples of marketing material and mediums for getting the message out …

OPERATIONS
Technical distribution of the product
Manufacturing process
Product capacity
Staffing
Physical plant facilities and equipment management …

FINANCIAL PLAN
Summary of key points and capital requirements
Needs assessment
Assumptions
Balance sheet, profit, and loss projections, cash flow projections, and rations
Break-even analysis and payback
Plan for funding

EXPANSION OF EXIS PLAN
Long-range goals
Diversification, penetration, increase market share
Franchise, Merger, take over and hand out

 

For full business plan, send an email with the above details to info@tanzaniapetroleum.com. or +255(0)655376543

How to Start LPG (Cooking Gas) Cylinders Manufacturing Plant In Tanzania

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Why import expensive ready-made LPG cylinders from somewhere where we can produce our own cylinders?

Why Tanzanian entrepreneurs should be going in search of LPG cylinders in India and Turkey?

Due to huge demand, LPG cylinders have become scarce resources in Tanzania. And importing ready-made cylinders is expensive.

This is why building up your own LPG cylinder production plant is a great business opportunity for investors who want to fill the gap in the market while serving the community.

The capital investment for this project is estimated at Tsh 1.5 billion. This capital will cover construction works, which include land and building, machinery and equipment, pre-operating costs, and furniture.

Read also: How Does An LPG (Cooking Gas Wholesale) Distribution Business Works In Tanzania

Even though the initial investment is high, ambitious investors can join forces, pull up resources, and collaborate. Also with a great business plan, you can secure collaboration from investors and lending institutions.

How Does An LPG (Cooking Gas Wholesale) Distribution Business Works In Tanzania

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I said it before, and I will say it again. Tanzania offers the largest and most growing market for LPG. I don’t think there is anywhere in the world that has a kind of potential for LPG products like Tanzania. The market is crying for new investment.

The annual LP gas consumption in Tanzania has grown from 5,500 metric tons in 2005 to 145,800 metric tons in 2019.

Tanzania still has one of the lowest per capita LPG consumption in Africa. Many opportunities exist for increasing LPG penetration and utilization in the country.

Opportunities are abundant in Tanzania’s LPG value chain for entrepreneurs and investors who are looking to address supply constraints in the domestic LPG market in Tanzania through retail and wholesale distribution, LPG refilling plants, transportation, installation, and LPG bulk storage and operation.

 

                              How Does LPG(Cooking Gas) Distribution Business Works In Tanzania

Ambitious entrepreneurs can apply to become a large oil marketing company’s super dealer who will work partly with them in the sale of the LPG, cookers, Fittings, and site installation in your target region.

Your supplier(large oil marketing company) will supply you full gas cylinders in bulk at a fair wholesale price and in turn, you will sell and earn a fair profit margin and you may decide to sell at retail price to double profit.

Read also:A Sample Business Plan for Starting an LP Gas (Cooking Gas) Distribution/Wholesale and Retailing Business in Tanzania: A Business Plan for one Quick Gas Limited

As a super dealer, you will have to make sure that you have enough full gas cylinder stock at any point to meet the orders of your clients instantly. You will also have at least one supply carrier to ensure effective supply. The initial capital investment for this venture ranges from Tsh 30,000,000 to Tsh 60,000,000.

The simple truth is that the initial capital of setting up an LPG wholesale distribution business is high. But with a great business plan, it is easier to secure the cooperation of both investors and money lending institutions.

 

I hope someone is learning.

+255(0)655376543 or hussein.boffu@tanzaniapetroleum.com