How to Start Ice Block Business in Nigeria

ice block
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In Nigeria, ice block businesses are a popular and profitable business opportunity. Because of the country’s tropical climate, ice blocks are in high demand, particularly during the hot summer months.

Starting an ice block business in Nigeria might be a terrific way to earn money while also giving back to the community.

In this article, we’ll go over the most important factors to consider when beginning an ice block business, from market potential to the cost and advantages of starting Ice block business in Nigeria.

What Is An Ice Block?

An ice cube or block is essentially solid water. Water is placed in a certain type of nylon bag, which is then placed in an ice block machine for hours to solidify.

Is the Ice Block Business Profitable?

The increased demand for cold drinks, particularly during hot weather, has made the ice block business profitable in Nigeria. You can make money every day in Nigeria with an ice block business by selling ice blocks to individuals who sell soft beverages and pure water.

You can also generate money by selling it to restaurants and, party organisers. Party organisers purchase more ice blocks than others. Drink vendors, on the other hand, will buy from you daily to sell drinks to their customers.

How to Start an Ice Block Business in Nigeria

Starting any business at all including the iceblock business is not as easy as it comes. The procedures for starting an ice block business in Nigeria today are outlined below.

#1. Conduct a Market Analysis

If you want to run your ice block business for a long time or grow into large-scale production, you need to undertake a market survey. The poll will determine whether or not the ice block company is profitable. It will also advise you on which segment of the market to focus on.

#2. Develop a Business Plan

In addition to performing a market assessment, you must prepare a business plan for your ice block business. It is worthwhile if you intend to operate the business for more than five years or if you intend to create a large-scale ice block business in Nigeria. If you have the time, you can write your business plan or hire professionals to do it for you.

#3. Obtain Startup Capital

The cost of an ice block machine is what drives up the capital required to establish an ice block business. Up to N1,000,000 is the price of ice block machines. These are the ice block machines that were imported. The size of the local machines varies.

A modest machine can be purchased for N300,000.

So, if you want to start modestly, you can utilise the cash I described above to purchase one ice block machine and additional materials such as nylon.

#4. Purchase the Required Equipment

The machine you will use to create ice blocks is the most important piece of equipment required to start your ice block business in Nigeria. Because we do not have 24-hour electricity in Nigeria, you will need a generator to keep this machine working when the power goes out. These are the most important types of equipment.

#5. Make a Water Supply Available

Making ice blocks does not require the use of purified water. The water, however, must be clean and odourless. In this situation, any borehole water would suffice, as you will also need water to wash the equipment from time to time.

#6. Begin Making Ice Blocks

You can now begin manufacturing your ice block for sale. It is critical to begin looking for clients before this point. You do not want ice blocks in your freezer and are looking for buyers to purchase them. Inform the nearby soft drink and restaurant businesses early to ensure speedy patronage.

#7. Sell your ice Blocks

It is not that necessary to provide transportation in this business because most consumers prefer to come and pick up their things themselves. Just make sure the blocks are packaged in a way that makes them easy to carry when they arrive for pick up.

The cost of ice blocks is determined by their size. However, the most usual selling price is #500. Depending on your production costs, you might earn between #100 and #200 per ice block sold.

Factors to Consider When Starting an Ice Block Business in Nigeria 

There are several factors to consider when starting an ice block business in Nigeria. Some of these factors include:

#1. Location Of the Business

The location of your business is important because it will affect the cost of labour, transportation, and access to your target market.

#2. Type of Ice Block Machine You Will Use

The type of ice block machine you use will affect the production capacity and the cost of production.

#3. Raw Materials 

Raw materials such as water, packaging materials, and electricity will affect the cost of production.

#4. Cost of Labour and Transportation

The cost of labor and transportation will affect your profit margin, so it’s important to take these costs into consideration when planning your business.

Business Registration and Licensing Requirements 

The most important steps to take when starting an ice block business in Nigeria are registering the business name, obtaining a trade licence, registering for tax, obtaining a business permit, registering with the NOSHS, registering with NAFDAC, the local government environmental health department, and the FIRS. These steps are not only important for compliance but also for the success of the business. In addition to the legal and regulatory steps, it’s also important to make sure that the business premises are safe and meet all hygiene standards.

The Cost of Starting an Ice Block Business in Nigeria

Starting an ice block business in Nigeria isn’t that expensive, and it may be a terrific investment, especially if you include the sense of properly setting up and maintaining it.

There are no set costs or regulations for establishing an ice block manufacturing company in Nigeria. However, the average cost of starting an ice block business is known. In Nigeria, the starting capital for an ice block business is N200,000.

Market Potential For Ice Blocks in Nigeria 

The demand for ice blocks is growing rapidly due to the increasing population and urbanisation in the country. In addition, the Nigerian government’s focus on the agricultural sector is creating more demand for cold storage solutions like ice blocks.

The current size of the ice block market in Nigeria is estimated to be worth over N10 billion (about $28 million) and is expected to grow at a rate of 10% annually. There is also a high demand for ice blocks in rural areas, where there is limited access to electricity and refrigeration.

The Advantages of Starting an Ice Block Business

When you start an ice block business in Nigeria, you gain access to a number of advantages that many other firms do not have. Here are some of the reasons why starting an ice block business is a good idea:

#1. Low Initial Investment

One of the most significant advantages of beginning this business is the cheap capital requirement. You won’t need much money to get started because the most expensive piece of equipment is a generator. And once you start generating clients and revenues, it’s simple to invest in larger machinery or grow your business over time.

#2. Low Demand for Human Resources

Another advantage of starting an ice block business is that it takes nothing in the way of human resources. All you need are one or two individuals working in shifts to manage the manufacturing and sales operations. This makes it suitable for anyone looking to establish their own business without the need to hire a large workforce.

#3. Profits are High

Because of its scarcity and ease, your clients will be willing to pay a premium price for your goods. This means that if your production costs are low and competitive, you can earn significant margins.

#4. Hours and Location Flexibility

You don’t have to be concerned about your location when it comes to getting customers. Ice blocks are in high demand everywhere! The same is true for hours; if you start selling during the day but later find that night-time business would be more profitable, nothing prevents you from making changes based on demand patterns.

#5. Continual Demand

It’s easy to foresee when there will be a big demand for ice blocks, especially during the summer, when people are seeking for methods to go out and about more than normal.

The Challenges of Running an Ice Block Business in Nigeria

Starting an ice block business in Nigeria might be a profitable endeavour. However, there will be certain obstacles to overcome in order or succeed. Here are five of the most significant problems you may face:

#1. Water 

Having access to clean, dependable water is critical for running an ice block business. Production will be erratic and unhealthy without it.

#2. Storage

You will require sufficient storage space for finished products before they reach retailers.

#3. Financing and funding Management

Finding funding to invest in the production line, purchase equipment, and manage day-to-day cash flow is critical to corporate success.

#4. Staffing 

Ensuring that your staffing strategy complies with current requirements on pay, health and safety, and working hours can be difficult, but it is critical to the success of your business.

#5. Strategy for Marketing

A solid marketing strategy will aid in increasing exposure and demand. Without client visibility and demand, sales will not be steady enough to maintain your firm in the long run.

Marketing Strategies You Need For Ice Block Business

In order to succeed, any business must have a solid marketing and promotional strategy. It’s important to consider the specific needs of your target market and develop a strategy that will effectively reach them.  

#1. Social Media

Social media platforms like Facebook, Twitter, and Instagram can be great tools for promoting ice blocks. You can create engaging content, run ads, and build a community of loyal customers.  

#2. Email Marketing

This is another effective way to reach your target audience and promote your products. You can use email marketing to send out newsletters, special offers, and other valuable content to your subscribers. It’s important to use an email marketing service that allows you to segment your list and track the performance of your campaigns.  

#3. Search Engine Optimization (SEO)

SEO is a long-term strategy for increasing your website’s visibility on search engines like Google. By optimising your website for keywords related to your products, you can attract more organic traffic from potential customers.

#4. Content Marketing

This involves creating valuable content that’s relevant to your target audience and sharing it on your website, social media, and other online channels. This can help to build trust and authority with your audience and drive more traffic to your website.

In Nigeria, How Much Does an Ice Block Cost?

According to the News Agency of Nigeria (NAN), an ice block costs N150 and over, depending on its size and location.

How can I Establish an Ice Block Manufacturing Company?

You can begin with a 50-block ice maker, which is less expensive and less profitable. However, if you want to produce N300,000 per month, you would need at least three (3) million Naira in money to purchase your ice block production machines and other necessary equipment.

How Much Money May I Invest in an Ice Block Business in Nigeria?

In Nigeria, the capital required to establish an ice block business is relatively large. To start a small-scale ice block business in Nigeria, you’ll require at least #300,000 – #1,000,000 in capital.  

How Long Can Ice Stay in a Block?

Although ice cubes cool things faster, block ice typically lasts far longer. In an enclosed ice chest, block ice can keep food cold for 5-7 days. Cubed ice, on the other hand, lasts for 1-2 days.

What Prevents The Ice From Melting?

Lining the inside of your cooler with aluminium foil, which helps reflect heat and light that will quickly melt your ice, is a wonderful way to accomplish this. Thermal bubble wrap can also assist in keeping heat out and cooling air in.


Regardless of global technological advancements, the ice block production industry will continue to grow. This means that the ice block market will grow over time in both developed and emerging countries.

Due to the massive market need and your potential to establish a large network, starting an ice block production business in Nigeria can be a lucrative and profitable investment. If you’re searching for a profitable business to start, the ice block manufacturing industry in Nigeria is a wonderful place to start.


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