Tissue Paper Production Business Plan In Nigeria 2025 & Factory Setup

Executive Summary

The tissue paper production industry in Nigeria presents a lucrative opportunity due to increasing demand for hygienic products driven by population growth, urbanization, and awareness of personal hygiene. This business plan outlines the establishment of a tissue paper production business to meet the growing need for affordable and quality tissue products in Nigeria. The project targets households, businesses, and institutional buyers.

Business Objectives:

Provide high-quality and affordable tissue paper products to the Nigerian market.

Establish a sustainable production process to reduce waste and maximize efficiency.

Capture a market share of 10% within the first three years of operation.

Achieve a 25% return on investment (ROI) annually within the first five years.

Industry Analysis

The tissue paper industry in Nigeria is expanding, with a CAGR of 8.5% driven by growing hygiene awareness and increasing disposable incomes. Despite the presence of established brands, the market still experiences supply gaps due to import dependency. This business aims to bridge this gap by offering locally-produced, high-quality products at competitive prices.

Market Analysis

Target Market:

Households in urban and semi-urban areas.

Hotels, restaurants, and event centers.

Hospitals, schools, and corporate organizations.

Market Size:

The tissue paper market in Nigeria is estimated to exceed ₦100 billion annually, with opportunities for growth as awareness of hygiene continues to rise.

Competitor Analysis:

Key competitors include imported tissue products and local manufacturers. However, there are opportunities to differentiate through affordability, quality, and consistent supply.

Business Model

Production Facility:

Location: Strategically located in an industrial area with access to raw materials and good transportation links.

Initial Production Capacity: 10 tons of tissue paper per day, scalable based on demand.

Revenue Streams:

Direct sales to wholesalers and retailers.

Bulk supply contracts to institutional buyers.

Branded and unbranded tissue product lines.

Cost Structure:

Fixed Costs: Land acquisition, machinery, and factory setup.

Variable Costs: Raw materials, energy, and labor.

Operations Plan

Facility Setup:

ETC…

Tissue Paper Business Plan in Nigeria is available and can be used to access bank loans, proposal writing and grant applications.

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Tissue paper production business is a very profitable business in Nigeria. Tissue paper or toilet roll as its commonly called in Nigeria has a high level of demand and low supply. It is used in homes, restaurants, hotels, bars offices, etc.

Tissue paper are of different quality, color, sizes, and shapes and its used for different things. It can used to clean your mouth after a snack or meal, it can be used after using the toilet etc. Tissue paper is used in our everyday live and that is why its a very good business to invest in.

Tissues Paper Production Feasibility Study

The first thing you need to do before jumping into this business is to make a good research. Whether its a small scale, medium or large scale business you need to conduct a good feasibility study report. If you do not know how to do this consult experts. Having a good feasibility study report and business plan will help you with the adequate knowledge about the business.

Like I always say, a business plan is like a roadmap for your business, don’t get it twisted a business plan is not only recommended when a business is about to start, even if you have started you would still need a business plan to take the business to the next level but its always better you start with a well written business plan and feasibility study report. You can place an order for our Tissue paper production business plan and feasibility study.

Another important thing to do is getting the basic training. To have a tissue paper company you need to know how the business should run from the raw material to the finished product, the machines, how they function and all you need to know about.

Production Site

In tissue paper business you need a production site. This production site should be easily accessible for all customers. This is one area in business that must be done very strategically. Having a good location for your business will make it easy for customer to come. Nobody likes to go to a place that is very difficult to locate.

The production site for your tissue paper business must also be secured. Security is important to prevent theft. This size for this production site vary depending on the capital but a spacious site is highly recommended because it makes it easy when customers comes to buy from you and they are able to see and choose the type they prefer to buy.

Like I said before the size of this production site is solely dependent on your capital. Whether you are renting the building it doesn’t matter. This should not be located at residential areas, its not always advisable, get a good location that is safe where you can install the equipment you needed for production.

Capital

Starting a tissue paper business is not too capital intensive. You can raise capital from partnership bank overdraft, or grants. This is one reason you need a good business plan because an investor will like to see a well detailed business plan. Capital for tissue paper business for small scale can be from 7,000,000, upwards depending on the scale. Whether its small scale, medium or large scale you can be sure of return on investment within one year if the business is managed properly.

Equipment

Equipment for tissue paper production business is very essential. Whether you are sourcing the equipment locally or internationally. It is better to get equipment that are durable and can be able to produce a reasonable target for the day. They are locally sourced equipment that are very good and are affordable.

The company that produces this equipment will set it for you. You do not have any experience on how they work, they can teach you and members of your staffs. You can also bring them periodically to over haul the machines so that they do not break down after long usage.

Some of the equipment you need for this business are band saw cutter, rewinding machine, core making machine, embossing unit, perforating unit etc. To get this machines are not too expensive and you need to get durable ones.

One way to keep your customers coming is producing high quality tissue paper. As a company that is just starting you do not want to be producing low quality tissue paper this will kill the business even before it starts. High quality tissue paper will keep your customers coming and that means more business for you.

another reason why your product must be of good quality is because of Standard Organization of Nigeria, this is an organization hat certifies the quality of a product if its worth the consumers money. Every of your product is carefully examine to make sure that everything is done rightly.

To succeed in this business you need to hire experienced staffs. If they have to go for training then train them, equip them will all they need to know . Employ staffs that have knowledge of the machines, the efficiency of the operators can never be overemphasized.

They are three different scale of tissue paper production business. There is small scale, medium scale and the large scale.

Small scale tissue paper production is less capital intensive. You do not need to have machines to start a small scale tissue paper production company. You can start by contacting manufacturers of tissue paper and buy huge roll from them. You can use their machines to cut the tissue to the size you want to sell and them, imprint your brand name, package them and then sell. As simple as that.

Medium scale tissue paper production business is totally different from small scale tissue paper production business. In medium scale the machines are more of manual because they are less expensive than the automatic ones. This manual machines consume ore energy.

Large scale business require more money to start up, the machines are automatic, they are faster and makes the work easier for you. The advantage you have is that the profit is very hug when compared to small and medium scale business.

Marketing

This is a very important aspect of this business. You must have a good marketing strategy. The failure and success of this business is in how well you market your product. If you have a very good product that nobody know about you cannot sell let alone make profit so get a PR if necessary. You marketing team should take the matter serious. Marketing these days is not so difficult due to technology and social media. You can take advantage of this platform.

Register the business

Your business registration is mandatory. Its a way to prove your business is legal. To register your business with the Corporate Affairs Commission is not expensive, once the fee is paid with a week your business is registered.

Our Tissue Paper Business Plan in Nigeria can be used to access bank loans, proposal writing and grant applications. The business plan was complied after a thorough feasibility study on Tissue Paper Production Business in Nigeria was done.