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How to set up a fertilizer or organic fertilizer factory

Fertilizers or organic manure are obtained from material of plant or animal origin, such as manure, flour, cake, shells and vegetable remains, decomposed or in a state of decomposition. When these materials undergo decomposition, they can be recycled and produced by man through a process called composting.

The fertilizer generated is called compost. It is rich in macronutrients and incorporates, in minimal doses, micronutrients as well. It also increases the bacterial flora and microfauna, essential in the formation of humus, which It provides useful microorganisms to the soil, being essential for agriculture.

Thinking about it, in this article we will talk a little more about how to set up a fertilizer or organic fertilizer factory, and thus enter a competitive market niche within agriculture, but with effort and good practices it will provide us with good profits. Take note!

How to set up a fertilizer or organic fertilizer factory

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Organic fertilizer market

It is a fact that in the region the agriculture is one of our strengths, there are many large companies that focus on the production of fertilizers or organic fertilizers. However, this should not discourage you! pBecause having so many farmers, your chances of getting customers are great, because the smaller farmers are looking for cheaper and quality products and that is precisely what it is going to offer them!

For this, it is necessary to focus on a correct procedure for obtaining organic fertilizer and efficient outreach in the area where you want to work. It is also important to satisfy your customers in a friendly and sympathetic way, providing products at a fair price.

In this way, it can take advantage of the gaps of the main producers and thus serve farmers who need quality organic fertilizer for their crops and who cannot pay much.

Where to set up the factory?

Ideally, the area where the factory is going to be installed is in rural areas, far from residential areas, since to work with materials that have a strong odor and can be a big nuisance in cities.

Therefore, choose a more remote area, where you have enough space and can do the whole process to get an organic fertilizer calmly and without any problem. It is ideal that the site have a large area of ​​at least 120 m².

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Structure of an organic fertilizer factory

You will need to divide your factory space as follows: a space for the production of organic fertilizer, a space for the storage area, and another for the administrative part. In addition, your location must have a easy access to cars, as they will make the fertilizer deliveries. You will also need bathrooms and a pantry for food for employees.

composting process

To get the organic fertilizer for your factory you will have to go through the composting process. This is a simple and easy process to compost through waste or garbage. Below we show you step by step how is the production of organic fertilizer:

  1. The first part of the process consists of placing the organic waste in the boilers. For this, it is important to make use of the following advice that will help you make the process happen faster. Garbage or waste should be placed in layers.
    The first must be wet organic waste and the next three dry organic waste, such as cardboard, sawdust, fruit peel. During the period required to obtain the fertilizer, it is necessary to add more layers of organic waste proportionally.
  2. This done, it is time to wait for the right moment. It is estimated that 60-90 days are required for the entire process to be completed.

To know if the compost is ready, it is enough to examine if the color is dark and it has an earthy smell.. Among the products that can be used in the composting process are:

  • Remains of fruit and vegetable peels.
  • Paper coffee filters.
  • Eggshells.
  • Old farmland.
  • Popcorn grain.
  • Remains of grains or flour.
  • Sheets.
  • Spices and herbs that have lost their scent.

It is also good to know which materials cannot be used in the process:

  • Bread and derivatives.
  • Sick plants.
  • Feces of carnivorous or omnivorous animals.
  • Paper.
  • Cooking oil.
  • Rice.
  • Dairy products.
  • Cardboard egg cups.
  • Used personal hygiene products.
  • Weeds.

Employees in a compost factory

It is not necessary to hire people who have worked with the production of organic fertilizer. The process is very simple, so, after having the necessary knowledge to do it, you can do a kind of training workshops for those who are going to work with you.

For the production part, the ideal is to hire 3 to 5 people. You will also need someone to help with administration, a doorman, etc. Another employee that is important is the driver with a helper, to deliver the fertilizer and unload it on site.

Investment to set up a fertilizer or manure factory

To set up a factory ready to operate, needs an investment of US$9,000 and US$18,000an amount that will vary in depending on the size of the production you want to do. Depending on the scope you have, in a period of 12 to 18 months you can get the return on that investment.

With an organic fertilizer factory You can start with income between $1,500 and $3,500. And as well as the amount required for investment, the profitability of your factory will depend on your way of working, and how innovative and persistent you are in attracting customers.

It is a business that has great potential and that, indeed, can take on greater proportions to the point of becoming a large industry, like those that already exist in the market, since they all started with a small factory.

Legislation in Spain

According to the company ACTUALIA, an expert in the comprehensive advisory service in the field of fertilizers, the legal requirements that a fertilizer manufacturer must meet in order to place the product on the Spanish market are defined in Royal Decree 506/2017, of 28 June, on fertilizer products; Exactly, it is found in Chapter III.

The requirements are broadly the following. However, depending on the base product for the preparation of the fertilizer, they may vary; as well as requiring additional ones such as an environmental authorization or SANDACH -if organic waste is used as raw material- or the NIMA code -if it involves any type of waste.

  1. Have an activity license.
  2. The manufacturer of products subject to registration in the Register of fertilizer products (group 2, 3,4 and 6) must be established in the European Union.
  3. Storage and processing facilities and their quality control and traceability systems for manufactured products must comply with the requirements established in RD 506/2013.
  4. The fertilizer product complies with current legislation and is supplied on the market provided with indications on identification and labelling.
  5. The manufacturer must have documentary evidence issued by an authorized laboratory.
  6. In the event that raw materials of animal origin are used, guarantee that the requirements established in Regulation (EC) No. 1069/2009, of October 21, are met.
  7. It must meet the requirements on quality control and traceability of products.


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In the case of requiring more information or detailing any of the exposed, you can contact the ACTUALIA consultants, who offer coverage throughout the national scope.

Is it worth setting up a fertilizer or organic manure factory?

If you pay attention to the investment and the return time of it, you can see that it is an excellent business to start. Besides that, the demand for products is very great, and with it, their business opportunities too.

Therefore, the only thing you need to make money from your composting factory is a good manufacturing process! Carry out quality fertilizers and offer them to farmers in need.

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