How Much Will Cost to Setup a Groundnut Oil Processing Mill in Africa?

HOME > Services > FAQs

Nut oils consumption has greatly increased, making its production and processing rise worldwide. Africa been fertile continent, where grows groundnuts/peanuts in small-scale usually done by the women who reuse seed leading to even less production. It is estimated that the groundnut in Africa is producing less than 1ton/hectare. Many of African countries carry out groundnuts farming with aim of making snacks by roasting and frying the groundnuts, making butter paste trough crashing method, but rarely for groundnut/peanut oil production. (Recent Post: Groundnut Oil Processing Machine >>)

main groundnuts producing contries in Africa
Main Groundnut Proudcing Countries in Africa
small scale groundnuts producing in Africa
Small Scale Groundnuts Producing in Africa


Groundnut oil processing in Africa was greatly affected by1970's groundnuts growth decline due to health concerns of high aflatoxin levels contained in the groundnuts said to cause cancer. Since then Africa has not been producing enough grounds for sustaining the local demand or exporting. Many of African countries don't process groundnut oil but there are few who do oil processing for local use and exportation. These countries include, Senegal, Nigeria, South Africa, Ghana, Togo, Tanzania and more. (Read more about Palm Kernel Oil Expeller in Nigeria >>)

Groundnut Oil Processing Mill Setup Cost in Africa

groundnut oil processing plant for sales
Groundnut Oil Processing Plant for Sales

Groundnut oil processing mainly involves seed preparation, oil pressing and refining. The machinery used in the groundnut oil processing in Africa comprises of the dehulling machine or decorticator, cleaning machine, cooking machine, oil expeller, oil filter press and oil refining machine. The estimated price of a small size groundnut oil processing mill (about 3tpd~5tpd) is between 4~6 million Naira ($10,800 ~ 16,200), which it difficult for most of the small scale groundnut processors to raise the amount.

According to the processors report in Nigeria, 1 ton of groundnuts yields an average of 500 liters of oil, which is equivalent to 420 Kilograms of cake, and 40 Kilograms of sludge.

Groundnut Oil Processing Steps in Complete Oil Mill Plant

small groundnut oil processing mill for sale in Africa
Small Size Groundnut Oil Processing Mill

  • Cleaning: This process adopts cleaning sieve or other cleaning machine to remove the stones, metals, and other impurities from the groundnuts. The less of the impurities in the groundnuts after screening, the better of the groundnut oil extraction process. The impurity rate is less than 0.1%.
  • Peanut Shelling: This process adopts peanut sheller to remove the hard shell of peanuts and get the peanut kernels with red skin automatically. The kernel content of shell was less than 0.5%.
  • Decorticating: This process adopts decorticator to remove the red skin of the groundnut kernels automatically. The peeling rate is up to 90%.
  • Crushing and Flaking: The groundnut kernel can be crushing into 4~6 pieces by crushing machine. Then, using the flaking machine to ground the groundnut kernels. It is better to grind out the green kernels 0.3 ~ 0.5 mm thick.
  • Cooking: Adjusting the condition of the groundnut flake pieces with cooker. The moisture is about 5~7% and the temperature is about 110˚C to 115 ˚C.
  • Pressing: Using screw oil press machine to press the oil out. The oil yield is about 76~78% for the first time. And the oil yield is about 12~14% for the second time. (Read more about Peanut Oil Press Machine >>)
  • Filtering: The obtained crude groundnut oil then is going through the filter press machine to remove large organic imporutities and get the pure crude groundnut oil.
  • Refining: For better quality of final groundnut oil, it is better to equip the groundnut oil mill plant with edible oil refining machine to remove all the useless and harmful impurities, color and odors. (Latest Post: Edible Oil Refinery Plant Cost >>)

Advantages to Setup Groundnut Oil Processing plant in Africa 

If setting up a complete groundnut oil processing plant in Africa, here some of the advantages;
groundnut oil processing plant setup in Africa
Groundnut Oil Processing Plant Setup in Africa
automatic groundnut oil processing line in Africa
Small Automatic Groundnut Oil Mill
  • Availability of Groundnuts Seeds at a Good Price

There would be high growth of groundnuts. Many farmers would benefit from growing groundnut seeds which is the raw material for groundnut oil extraction. This is because there are large farming areas for groundnuts all over African. In return, this would reduce the cost of production for the newly started groundnut oil mill plant.

  • Availability of Cheap Labor

The new oil extraction plant would benefit from cheap labor. This is because Africa has a large population of unemployed skilled and non-skilled labor. On another hand, there is a creation of employment opportunities to Africans.

  • Increased Demand of Groundnut Oil

Generally, emerge of a new groundnut/peanut oil oil extraction machine would increase the level of groundnut oil processed. This tries to balance the demand deficient currently experienced all over the world. 

  • Earn Foreign Exchange

From the importation of plants and machinery required for setting up a groundnut oil processing plant and exportation of pure refined groundnut oil, the oil extraction project brings in currency from other parts of the world. These foreign exchanges are very important as they may of more value to the plant owners.

  • Large Market and High Demand of Groundnut Oil

The extraction plant owners would enjoy large, free competition from markets. In fact, if the plant is sited in countries where there isn't existing oil extractors, they would a monopoly. This means heavy profits. From the demand and supply gap, the capable investors and locals can enjoy advantages of starting a groundnut oil extraction plant in Africa and change the current groundnut farming and oil processing challenges.

Relaible Groundnut Oil Mill Supplier - ABC Machinery

ABC Machinery visited Tanzania
ABC Machinery Visited Tanzania in July 2018
ABC Machinery visit Nigeria
ABC Machinery Visited Nigeria in March 2018


We are the reliable supplier to help the setup of groundnut oil processing plant in Africa. Based on the policies provided by Chinese government, our company has been established good cooperation with countries in Africa. And, every year, our company will visit countries in Africa to expand the cooperation. In 2018, we have visited Nigeria, Tanzania, South Africa, and more, mainly focusing on the vegetable oil production industry, including groundnut oil, palm oil, palm kernel oil, sunflower oil, soybean oil and more. More importantly, the we have built many oil processing projects in Africa for the vegetable oil production for cooking oils, including in Zambia, Ghana, Nigeria, Ghana, Coast Ivory, Tanzania, Malawi, Kenya and more. Any interests in starting groundnut oil processing business in Africa, please contact us for extract cost and equipment lists. We will get back to you as soon as possible.

Request a Quote

We receive enquiries in English, Español (Spanish), Русский язык (Russian), Français (French) and العربية (Arabic).Our professional team will reply to you within one business day.Please feel free to contact us!