Starting a rice and palay business can be a self-sufficient business, while you are helping farmers sell their crops, you are also earning while you distribute them to the proper channels.
Before you enter this business, you should remember that in this business you should always be fair. If you give too much to the farmers, you may have certain losses, but if you give them fairness, you’ll both get what you work for.
You also have to determine whether you will be buying raw crops from farmers where you will still require a bilaran (solar drier) or are you going to buy dried palay already?
Here are things you should consider:
Bilaran (solar drier)
Most of the time, when you buy crops from farmers, these are fresh from the field. The crop will still be wet and you won’t be able to store or transport it. You have to dry it before you can do anything with it.
Cono (rice mill)
This is where your pieces of machinery will be that will be turning the palay into rice, and packaging it into cavans that can then be transported to your distributors.
According to some seasoned rice and palay dealers, this is more important than cono sometimes. This is where you will store the bags of rice before transporting it to your distributors.
Because it is severely important that you provide a safe and dry storage for your rice, here are some more considerations:
- Do not mix different classes of rice as they all have different times of recovery. Long grains usually have 66%-68% recovery, if you mix it with short grain rice, you will have a lot of breakages.
- Recommended capacity for your bodega is 8000-9000 bags.
- Use steel for framing, cement fiber boards for walls, and long-span metal roofing for longer lasting stability.
- Concrete flooring will make it easier to recover spilled rice.
- Provide proper ventilation on top.
- Use ultrasonic pest repeller for rodent control.
- Sell the byproduct of milling as animal feeds.
See: Establishing a Rice Dealership Business
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