The 4 Avoidable Reasons Why Frozen Food Operators Close Down
Frozen food refers to foods subjected to a freezing process and then stored at a specified cooling temperature to preserve them from decay. Fish, poultry, turkey, beef, and other forms of food are meant to be frozen and stored in a cold room. Thus, the frozen food business deals with the freezing, storage, and sales of frozen food items.
Nigeria’s frozen food industry is growing more successful and wealthier every day. Nonetheless, there are still instances of many frozen food business owners closing their doors. Below are some of the factors that are likely to force a frozen food business operation to shut down:
- Unstable Power Supply
One of the essential components required for the success of a frozen food business is the availability of power. A generator, which is often used as a backup, or an electricity-generated power supply is needed to operate a cold room.
However, one of the biggest issues businesses in the country today are facing is electricity issues. Operators of frozen food businesses that are unable to meet the need for continuous electricity to run their cold rooms are likely to shut down.
The lack of constant electric supply may arise from high electricity bill tariff, high cost of diesel to fuel the generator, a business location with an unreliable power supply, generator break or malfunction. The power supply is one of the most crucial aspects you must get right if you want to invest in the frozen food industry. Operate in a place with a consistent electricity supply, or utilize a solar system to power your cold room to ensure the longevity of your company. De Koolar Nigeria Limited is the leading manufacturer of quality solar-powered cold rooms in Nigeria.
- Cold Room Breakdown:
A cold room is made to function efficiently at an ambient temperature. For best performance, a cold room should be constructed in a secure location with a sufficient amount of floor space. Additionally, a cold room should be maintained often. Without proper upkeep and routine inspection, a cold room is more prone to breaking down. A problem with the cold room would disrupt the operation of the frozen food operation, which would make running the business impossible.
To ensure the fitness and durability of your cold room, ensure you patronise a manufacturer that provides quality and efficient cold rooms, warranty and regular maintenance. Hence, the reason DeKoolar cold rooms are the best-selling cold rooms for frozen foods business in Nigeria because of the quality installation and durability to withstand Nigerian operating climate.
- Location
The success of a frozen food business depends largely on the location of the business. Setting up the frozen food business in a location where it is not needed or in a location that is too competitive would result in less profit and no money to run the business continually. This is a factor that can force a frozen food business operator to shut down the business. The success of your business depends largely on the location of the cold room. Make sure the cold room is strategically located in a place with ease of access. This will make it easier for customers to locate you and transport products easily.
The cold room should also be constructed on a site with nearness to a market or a highly populated area with access to regular power supply.
- Food Spoilage
Freezing remains a dominant food preservation method. It is one of the most cost-effective ways of extending the long-term shelf life of many food items. Perishable items are delicate and need adequate attention. If care is not taken in the process of preserving these items, it results in bad quality and food spoilage. Food spoilage in a frozen food business operation would lead to a loss of money to maintain the business and could cause the operator to close down the business.
Controlling the entire freezing process is critical to achieving the highest quality frozen foods. If you are producing directly from the farm, one important criteria is the freezing rate. In general, fast freezing produces better quality frozen food than slow freezing for food items like fish, meat, beef, chicken, and turkey. To extend the shelf-life of foods such as fruits and vegetables, keep them at the proper cooling temperature. If you are in the frozen food business as a wholesaler or retailer, ensure you confirm the quality of the products when buying them from your supplier before stocking them in your cold room.
Understanding how to efficiently run and manage your business is essential to its success. Good business management skills are a priceless prerequisite for the overall success of a frozen foods business operation. Learn how to efficiently manage and run your frozen food business, to avoid loss and closing down your business.
All of the steps included in the frozen food cold chain need to be considered for the eventual success of your business. DeKoolar Nigeria Limited cold rooms and business consultation will facilitate the growth needed for your business.
