The verdict in three sentences
A flour mill or oil press does not sell a finished consumer product, it feeds a price- and volume-sensitive B2B supply chain. The margin is won by managing the bag price, indexed to the raw-material cost (wheat, maize, groundnut), and by retaining professional customers through recurring orders. A platform delivers dynamic pricing, lot traceability and automatic replenishment, three levers that directly protect the margin.
Bag sales and indexed pricing
The core of the model is packaged sales (25 or 50 kg bag, oil drum), at a price that must track input costs without eroding the margin. The platform computes the selling price from the day's material cost plus a target margin.
| Product | Packaging | 2026 price range FCFA | Target gross margin |
|---|---|---|---|
| Wheat flour (bakery) | 50 kg bag | 18,000 - 24,000 | 8-12% |
| Maize flour | 25 kg bag | 9,000 - 13,000 | 10-15% |
| Refined groundnut oil | 20 L drum | 22,000 - 30,000 | 12-18% |
| Cake / bran (by-product) | 50 kg bag | 6,000 - 9,000 | 15-25% |
| Bulk oil (resellers) | 200 L barrel | 200,000 - 270,000 | 8-12% |
Price management is issue number one: on a 500 tonnes/year volume, gaining 1 margin point through better control is worth several million FCFA. The platform alerts when the selling price drops below the target margin threshold.
Traceability, tonnage and recurring orders
Professional customers (bakers, resellers, processors) want consistency, traced lots and frictionless replenishment. The table below shows how the platform structures the B2B offer.
| B2B feature | What it changes | Margin / retention benefit |
|---|---|---|
| Lot traceability | Known origin and production date | Trust + targeted recall if defect |
| Indexed dynamic pricing | Always sell above material cost | Protected margin |
| Recurring orders | Weekly baker re-subscription | Predictable volume |
| Credit limit per customer | Controlled exposure | Fewer unpaid invoices |
| Tonnage capacity planning | Production matched to demand | Less dormant stock |
| Wave / transfer payment | Fast collection | Healthy cash flow |
Recurring orders are the real asset: a baker who re-subscribes each week generates predictable revenue and cuts the sales cost to almost zero after the first sale.
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Mini case study
Ibrahima's mill moves 500 tonnes of flour a year, mostly to 40 bakeries. Before the platform, prices were negotiated case by case and the margin swung widely. With dynamic pricing indexed to the wheat price, he locks a 10% margin instead of 8% on average.
Calculation: on flour revenue of about 210,000,000 FCFA/year, going from 8% to 10% gross margin is +4,200,000 FCFA/year. The platform, as an e-commerce/business build around 2,000,000 FCFA, pays back in under six months from the pricing gain alone.
FAQ
How do you manage a price that tracks wheat or groundnut costs? The platform computes the selling price from the day's material cost plus a target margin and blocks sales below the threshold, protecting the margin automatically.
Is lot traceability useful for a mill? Yes: knowing origin and production date enables a targeted recall in case of defect and reassures professional bakers, which becomes a sales argument.
Can you sell by bag and by barrel on the same platform? Yes, each product has its packaging and price (25/50 kg bag, 20 L drum, 200 L barrel), with volume discounts and a per-customer credit limit.
How much does such a B2B platform cost? For a B2B catalog with dynamic pricing, traceability and recurring orders, expect an e-commerce/business project around 2,000,000 FCFA (2026 estimate).
How do you retain bakers? Through recurring orders (weekly re-subscription), a credit limit, and Wave/transfer payment that smooths collection and reduces the cost of each sale after the first.
Let's talk about your project. We structure your B2B catalog, your dynamic pricing and your traceability to secure your per-bag margin. WhatsApp +221 77 596 93 33.
Mohamed Bah
Fondateur, Kolonell
Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.
