Coconut Oil Production Business Plan 2021

Coconut oil production business plan

Coconut oil production business plan 2021. Do you want to start coconut oil business?.  In this post,  we’ll walk you through on the best coconut oil production business plan.

Apart from showing you business plan for coconut oil production, you’ll will also see the health benefits of coconut oil.

But before that, let’s look into what coconut oil is.

What is coconut oil?

Coconut oil production business plan

Coconut oil

According to, Coconut oil (or coconut butter) is an edible oil derived from the wick, meat, and milk of the coconut palm fruit. (source :

So,  we now know what a coconut oil is. The next thing we’ll look at is the actual coconut oil production business plan 2021.

Business plan for coconut oil production

Do you want to start a coconut oil production business?  then check out the best business plan for coconut oil and how to start coconut oil business.

Step #1. Develop a business plan for coconut oil production business

coconut oil production business plan

This should be the first step to take when writing your business plan. You can ask your self,  what exactly will your product look like,  how do you plan to get people to buy your products,  etc.  These are are very important to take in mind.

So ensure you have a solid plan before you think of starting your coconut oil production business.

Step #2. Business registration plan

coconut oil production business plan

You’ll need to register your business with the appropriate bodies. Find the business registration entity in your area and have your business registered.

Step #3. A good training helps

coconut oil production business plan

You can’t do any business efficiently if you don’t have the knowledge about it. The same applies to coconut oil production business,  you can’t do it without the proper experience.

Also read : How to become a government contractor in India

So, you’ll need to locate people who are already in the business and learn from them. They’ll teach you every secret of the business.

Step #4. Get a good supplier of coconut

coconut oil production business plan

Now,  you’ll need to find a good coconut supplier. If you decide to plant your own coconut fruit, it’ll take years for it to mature. That’s why it’s advised to purchase a coconut fruit to enable you start your coconut oil manufacturing process.

Step #5. The actual coconut oil manufacturing Process

manufacturing process

The easiest way to produce coconut oil is by gathering matured coconuts. The quantity of the coconut oil which you want to produce will determine the number of coconut fruit you need.

Then,  break the coconut fruit, bring out the white part, cut it into pieces and put them in a blender for blending.

The next thing to do is to blend the nuts to turn into creamy whitish water. Separate the the milky water from the fibre using a sieve.

Put the water in a container and allow it to stay overnight.

When it’s morning time,  go and check it,  you’ll see that the water has separated it self. The oil itself will settle at the bottom of the container.

Then scoop out the particles on the top,  finally you’ll have your coconut oil. This is the process for coconut oil production.

You’ll also find this post interesting : How to start prawn farming business in India and Nigeria

Step #6. Your coconut oil packaging


In every production,  packaging matters a lot. You’ll need to decide how to package your product. Is your coconut oil packaging going to be the same with others or is it going to be very unique. You’ll need to have a perfect branding and stand out from the crowd. So during your coconut oil production business plan,  consider getting a good packaging for your coconut oil business.

Step #7. Coconut oil marketing plan

marketing plan

How will you convince customers to start buying your product over your competitors?. There are many ways to do that, but the one that works best is offering promos to your customers. Offering promo is a very effective business marketing strategy which yields great results. 

Another good coconut oil marketing strategy is creating a blog and start writing contents about coconut oil. Create an online store in your blog where customers can see your products and buy them.

Using social media channels also work.  Create a Facebook page for your business and advertise your business there. You can also leverage other social media such as twitter,  YouTube etc.

Also check out this post : Cashew nut processing business plan

How to start coconut oil business – How do I start a coconut oil oil business? 

We’ve already covered this in the steps above, here is the highlight on how to start a coconut oil business:

  • Make a business plan for coconut oil production

  • Register your coconut oil business 

  • Acquire a good training and have good knowledge about coconut oil production business

  • Locate a good coconut supplier 

  • Process your coconut fruit into coconut oil 

  • Give your business a good branding and packaging 

  • Market your coconut oil

Now that we’ve seen how to start coconut oil business,  let’s see some health benefits of coconut oil.

Some health benefits of coconut oil

  • Coconut oil contains the nutrients for building body immune system 

  • Helps in weight loss 

  • It can be used for cooking 

  • Coconut oil can be applied on the skin for a smooth skin

Above are some health benefits of coconut oil.

Is coconut oil business profitable?

Yes,  coconut oil business is very profitable. You can make good profit from coconut oil production business.

50% to 60% profit can be made from the business of making coconut oil. Small scale coconut coconut oil manufacturing unit can earn you good profit on daily and monthly basis.

Recommended : Most profitable small scale businesses in China

Who is the largest producer of coconut oil

  • Indonesia 

  • Philippines 

  • India 

  • Sri Lanka 

  • Brazil 

Above are the top 5 countries that produces coconut oil.

Conclusion on coconut oil production business plan 2021

Coconut oil production business is a very good business idea to start as an entrepreneur. It’s very profitable and can earn you good profit daily and monthly.

We hope you enjoyed this post,  kindly share with your friends on social media and also don’t forget to leave your comments below. Also subscribe to our blog for more interesting updates.

Have you already started your coconut oil business?. Kindly share your experiences with us in the comment section.

%d bloggers like this: