How To Start Cold Room Business In Nigeria - Plus Business Plan






How To Start Cold Room Business In Nigeria

Starting a fish cold room business in Nigeria is usually for two major investment purposes; for ice-block making and frozen food business. Ice-blocks are sold in solid bars to drinks vendors as well as to caterers and event organizers for the cooling of drinks. Frozen food business ideas involves the preservation of sea foods and poultry products, beef and fruits. Popular food items that move fast in frozen food business include chicken, turkey, fish, meat, prawns, shrimps etc.

types of cold room design

READ: How To Start Frozen Food Business In Nigeria

Starting A Cold Room Business In Nigeria
A cold room is designed in form of a large container-like freezer used for the commercial purpose of preservation under low temperature. Cold rooms can be imported or locally constructed here in Nigeria. Locally manufactured cold room are very popular because of their cost of acquisition and assembly as well as their durability. If you are interested in investing in cold room storage business, the first step is to rent or purchase a space that is conspicuous and adequate enough.

Also Read: What Is The Best Business To Start Today?

Common machines/equipment needed for cold room business include;
-----» aluminium casing
-----» freezing compartment
-----» power supply (generator)
-----» stabilizer
-----» ice-block moulding container
-----» deep freezers


The type, brand and capacity of cold room to be installed depend solely on your intended size of production and finance to invest in cold room business. Most businesses use locally fabricated cold rooms. Bigger companies have the financial strength to buy imported ones From experience, high quality cold rooms are more durable and easier to maintain. There are basically two types of locally fabricated ice-block making machine. The average locally made ice-block machine usually have issues with salt solution being used as the refrigerant so many cold room manufacturers in Nigeria have done away with this option. You can buy newer designs from cold room manufacturers which resemble deep freezers that you just bag water with cellophane and get your bars of ice block turned out within three hours.

Model A
30 ice blocks in 12hours
5,000 watts stabilizer (185k)
7.5kva diesel generator (N160k to N190k)


Model B
100 ice-blocks in 12 hours
Two 5,000 Watts stabilizer (390k)
15 kva diesel generator (N350k-380k)


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12 hours is the maximum time required for the first batch of ice-block to be produced. For subsequent batches, the machine would only need 9-10hrs for ice block production. An imported ice-block making machine from Germany with the capacity of producing up to 50 blocks sells at 2.1 million Naira. It has an inbuilt compressor so there is no need for an external stabilizer. Cold room owners also make money from rental. Here is a list of daily rental fees for cold rooms in Lagos and Ibadan.

bag of fish-- N600
carton of chicken and turkey- N1,000


More: How To Start Ice Block Making Business

Prices And Capacity Of Cold Rooms In Nigeria - Buying And Installation

3 Tonnes Cold Room
capacity - 200 bags of fish or 3000Kg of poultry products or meat.
price - #850,000.
power - 35kva generator (N2.2million)

5 Tonnes Cold Room
capacity - 500 bags of fish or 5000Kg of poultry products or livestock.
price - #1.6 million.
power - 50kva generator (N3.4million)

10 Tonnes Cold Room

capacity - half a container of fish more than 10,000Kg of poultry products or meat.
price - #2.1million.
power - 75kva generator (N4.1million)

Read: How To Calculate The Cost Of Starting A Business

How Lucrative Is Cold Room Business In Nigeria
How Profitable Is Cold Room Business In Nigeria? There is an enormous financial prospect in starting a cold room business in Nigeria. To succeed in cold room business in Lagos and other parts of Nigeria, you should focus on food items with steady demand and adjust your business strategy with the seasons. Ice-blocks sell faster during the dry season while the sales of chicken, turkey and meat is unending shooting up during festive periods. Make sure your cold room is installed in a location with stable power supply so that you can make higher returns on your investment by reducing the cost of diesel used to fuel generator.



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