Tissue paper/serviette is something that almost everyone uses every day and it has become an essential household item because of its multi-purpose use and daily demand. It is, perhaps, the fastest growing manufacturing industry in Africa. Experts believe that about one billion units of tissue paper/serviette are required annually in Nigeria but only about one hundred million units are produced locally. To the advantage of entrepreneurs, the finished product is on the import prohibition list of the Federal Government of Nigeria. These critical factors create a favorable environment for local production and distribution to thrive.
The modern man needs tissue papers/serviette for everyday use in homes, offices, cars, social functions, hospitals, hotels and restaurants, and for many other purposes. While obeying the call of nature, the trendy way to clean up the mess is to use tissue paper rather than water or leaves as our ancestors did. Mothers instinctively reach out for tissue or serviette to clean their kids’ runny noses, wipe off dirt, and always want good supply of tissue at hand. A lot of ladies and gentlemen carry some sort of tissue for use in the course of the day, and for other purposes, all of which boosts demand for the product. Fast food restaurants, local bukaterias, caterers and hotels also find it useful for customers. The market is large and keeps expanding, buoyed by our modern lifestyle which emphasizes hygiene, convenience and simplicity.
The business is easy to start up because it requires a simple machine line with straight forward production process. It does not require a highly technical team but usually two or three machine operators can do the job. The demand for the product is high so it does not require so much marketing staff to drive the market either, which in all keeps the personnel requirement lean and ideal for a startup.
So how can interested entrepreneurs start up a tissue paper/serviette making business? There are a number of such businesses which have opened in the country since the ban on importation of tissue papers and the first step would be to visit to find out as much as possible about the business. So do some research, attend relevant training and get a feasibility study.
If the feasibility report meets your risk criteria, the next step is to determine the kind of production line you intend to set up. You can use locally made equipment or go for imported machinery. The locally made machines are available and much cheaper with set up cost under N2m. But imported machinery line could cost as much as N7m-15m. While imported machines are automated and may churn out better quality output, the locally made machines are cheaper and parts are commonly available. Some machines required for the production line include Core making machine, Band Saw cutter, Rewinding Machine, The perforating unit, and the embossing unit.
Another important consideration would be sourcing raw materials and the major raw material used are jumbo rolls which are can be sourced from some leading mills and importers like Tripple Gee, Epesok Mill, Bel Impex and so on, especially in Lagos State.
Staffing and marketing are other key areas of consideration and given the nature of the business it is necessary to hire experienced hands. Two to three operators are sufficient to run the production line but it is important to hire people who have worked in similar positions to enable the business maintain quality and standards. To market the finished product, it is also necessary to hire experienced hands or engage a marketing consultant to chart the course and introduce the new product into the market.
Given its multi-purpose usefulness, there are innovative variants entrepreneurs can use to drive sales and charge a premium to increase profitability. The small face wipes are popular for ladies and other forms of tissue paper napkins to suit specific needs can be added to the business line. There is also the possibility of branding for large companies or events at extra cost which adds to the income line.
The business is very profitable and entrepreneurs who are ready to produce high quality toilet tissues and serviettes have a wide market to cater for, which can spread beyond the coast of Nigeria to neighboring African countries.
