Expert: J. Peter Clark - 6/14/2007

Question
Iam a zambian citizen intending to venture in peanut butter production.can you furnish me with the following.

1technology and equipment used
2cost of equipment and machinery
3outlineof the facility layout
4manpower needed to operate factory
5electric power

Answer
I can answer some of your questions in a general way, but the details depend on other information, such as how much product you want to make, where it is located, how the product is marketed in your country, productivity of labor, etc.

1. Peanut butter is made by shelling peanuts, roasting, blanching (removing skins), grinding, mixing with salt, sugar and, sometimes, emulsifier, filling jars, capping jars, labeling, and case packing. Each of those steps has a piece of equipment. Companies such as APV and others often offer complete lines.
2. The cost will depend on size, degree of automation and whether it is used or new. To the bare cost of equipment must be added the cost of shipping, installation and support equipment, such as hot water. For a moderate commercial scale operation, I would estimate a cost of several hundred thousand dollars US.
3. The layout depends on whether you use a new or existing facility, whether you need to store raw  peanuts and finished goods,  etc. The actual production  space may not be very large but you also need office, changing rooms, toilets, break rooms, lab,  etc.
4. The manpower depends on the degree of automation. In Zambia, labor is probably not expensive, so you should do manual case packing, for instance, which might take 3 - 4 people. The shelling, roasting, blanching and grinding can be tended by 1 - 2 people. Filling, capping and labeling are typically tended by 1 - 2 people. Additional people are needed in shipping and receiving, in the lab, in the office and for general resupply of materials.
5. The electric power depends on the size of the line. You also need fuel for the roaster. The equipment supplier can give more precise data.