How To Export Charcoal And Timber To Overseas From Nigeria



It is not hard to export charcoal from Nigeria to oversea provided you want to get dirty for cash? Many would want to get even more than dirty as long as dollars are involved. To export charcoal to oversea means getting dirty for real dollars. Exporters are raking in many dollars from Europe, America, Asia, and other cold western regions. Charcoal is known as ‘alternative energy source’ in the western regions.

The Charcoal industry in Nigeria is a multi-billion dollar industry which on its own attracts enough grants from the government to the exporters in other to keep it running smoothly and on a regular basis.


To Export Charcoal, Here Are Factors to Consider
[/b]The business is worth going into but you must meet the exporting requirements from the government regulatory agencies on charcoal exports business. To start charcoal export, it is vital that understand the rudiments and the principles guiding charcoal export in Nigeria.


[b]1. Quality of Charcoal to Export
[/b]Knowing the standards to be met and the types of exports-worthy charcoal is very important for an exporter not to risk getting rejected or underpriced.

The Ash contents, moisture contents, volatile contents, and parameters of the fixed carbon are also needed to be in order. Serious works are usually required in inspecting all these before loading it into the ship for exports.

[b]Sometimes this is carried out by the local agents, other times, a sample representation would be sent for proper examinations.


2. Where to Source For Quality Charcoal
Virtually all the Nigerian communities have their own local ways of producing charcoal for their various uses. Charcoal readily comes in handy any time there are shortages of kerosene.

You can get the technologically perfected ones for export in places like Ogbomosho, Oyo, Saki Igbo-Ora, Minna, Kebba, and Jebba all in western and northern parts of Nigeria.

Charcoal has a seasonal market but in some countries that do not really affect the exportation as some dealers abroad use the time to store it against the next summer season when the demands usually go up.

[b]3. Where to Export Charcoal Oversea
[/b]If you have buyers in countries like Israel, Kuwait and other Asian countries, you are in a big business all year round as their orders are throughout the year. This is where a real dealer is proved.


Even if you are starting the charcoal exports newly, it is always best to keep increasing your shipments. This serves as an indication that you can handle more exports if given the opportunity. That is what usually gives exporters link to big companies in various countries to strike up better deals.

How your consignments are packed are usually determined by the buyer. Either to have it in bulk packaged or to have it packed in variant kilograms of 3kg, 5kg, 10kg, etc.

[b]4. Ship Through Reputable Freights
[/b]Charcoal is always shipped through a reputable freights companies with terms of trade stated by letter of credit or CAD, Cash Against Document. Many prefer the former because of how easy it is compared to a letter of credit.

As for the new entrants into the business, going into details on how you would be packaging either in bulks or in smaller packs is important. But, that is usually best reserved until when you have been able to source for funds and buyers which would indicate the direction your business takes.



[b]5. Get Capital For Your Charcoal Export
[/b]I won’t give you the impression that getting capital for the business is easy. Though there are many financial institutions that are willing to participate in a capital intensive business like charcoal exportation.

It is not easy but you can make it easy by sourcing for a valid order to present to any financial institution for consideration.

There are also venture capitalists out there with enough fund waiting for businessmen that are willing to share their profits at a given ratio with them.

Once you have your valid documents and order from a reputable company within or outside the country, you are sure to have your request granted.

[b]6. Network With Other Exporters
[/b]Get closer to those that are already into the business to learn the latest trick from them. Back yourself up with hints expressed here as you get ready to have your own share of this lucrative business of charcoal exportation to foreign countries.

Do not wait to be taken by the hand to show you the buyers, the prices, the charcoal deports in Nigeria or outside the country.

Make important enquirers about the current situation of the charcoal business first-hand. Doing that would enable you to have first hand knowledge about the business. Besides, as an entrepreneurial, you are required to be equipped with genuine and up to date information about your business. It is always important to have fresh facts handy before sourcing for any fund for business.

[b]7. Request Advance Payment
[/b]Another good thing about the transactions is that once your goods is on the way to the destination, some percentage of the money would have been paid to your account before it is delivered.


Successful delivery takes 6 weeks on the average to round up. A container load of charcoal may cost N500k to N700k depending on the quality of the woods used. The profit margin is usually above 30% per transaction which is between N150,000 and N210,000 per container load.

Big time charcoal exporters ships between 20 and 30 containers within the shortest periods of time. Do the calculations and find out enough reasons why you have to join the charcoal export business.

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