Groundnut Cake &Pinuts oil (Mugfali Khali): Uses, Benefits, and How to Profit from It

If you are involved in groundnut (peanut) oil extraction, you probably know that after oil is extracted, a by-product called groundnut cake or Mugfali Khali remains. This cake is a valuable resource with several important uses and good profit potential.

—

What is Groundnut Cake?

Groundnut cake is the solid residue left after the oil is pressed from groundnuts. It is rich in protein and nutrients, making it an excellent ingredient for animal feed and organic fertilizer.

—

Key Uses of Groundnut Cake

1. Animal Feed

Groundnut cake contains about 40-50% protein, making it a highly nutritious feed for cattle, buffaloes, goats, and other livestock. It helps improve milk yield and overall animal health.

Who buys it? Dairy farmers, livestock owners, and cattle feed suppliers.

Price range: Approximately $0.22 to $0.30 per kg wholesale.

2. Organic Fertilizer

The cake is rich in nitrogen, phosphorus, and potassium, essential for plant growth. It can be composted or processed into organic fertilizer, appealing to organic farmers.

Price range: Around $0.12 to $0.20 per kg when sold as organic fertilizer.

3. Poultry Feed

In smaller quantities, groundnut cake can be mixed into poultry feed. However, due to its oil content, it should be used carefully to avoid negative effects.

—

Profit Potential from Groundnut Cake

Let’s look at an example of profitability when processing 1 ton (1000 kg) of groundnuts:

Description Quantity Price per kg (USD) Total Value (USD)

Groundnut Oil (350 kg) 350 liters $0.25 $87.50
Groundnut Cake 500 kg $0.25 $125.00
Total Revenue $212.50

Raw groundnut cost: approximately $140 – $160 per ton.

Other costs (labor, utilities, packaging): around $30 – $40 per ton.

Estimated profit: Around $12 – $40 per ton after all expenses.

The cake alone provides over 50% of your revenue in addition to the oil, making it a crucial profit source.

—

How to Market Groundnut Cake

Sell directly to dairy farms and livestock owners.

Partner with animal feed manufacturers.

Offer as organic fertilizer to local organic farms and garden centers.

Explore export markets like Bangladesh, Nepal, and the UAE for bulk buyers.

—

Final Thoughts

Groundnut cake is not just waste — it’s a valuable product that can increase the profitability of your groundnut oil business significantly. Proper processing, packaging, and targeted marketing can turn Mugfali Khali into a steady source of income.