Aloe Vera Juice Project Report, Business Plan

Introduction to Aloe Vera Juice Project Report, Manufacturing Business Plan: The most important medicinal plant is Aloe Vera which grows heavily across India. The Aloe Vera Juice Manufacturing Plant is having great market potential and one can begin the Aloe Vera Juice processing plant particularly in Aloe Vera growing regions because this will save the extra amount that will be consumed to obtain the raw materials that are located far away from your unit. This post will assist any individual to get the information about the benefits of Aloe Vera and many other associated details for starting a business.

A Guide To Aloe Vera Juice Project Report, Manufacturing Business Plan

Aloe Vera Juice Manufacturing Business Plan
Aloe Vera Juice

The place or location has a huge effect on this type of business as it will support your production expenses. From the Aloe Vera plant, value-added items such as Aloe Vera Juice, Aloe Vera Powder, Aloe Vera Gel, etc. are obtained.

Business plan for starting Aloe Vera Juice Manufacturing Business

Firstly, you to craft a perfect business plan for starting any kind of business unit which includes:

  • Market demand
  • Implementation schedule
  • List of approvals required
  • Area required
  • Raw materials
  • List of machinery
  • Manufacturing
  • Project economics
  • Profitability

Implementation schedule of Aloe Vera Juice Oil Manufacturing Business

  • Market analysis and demand, applying for loan 0 – 1 month
  • Preparation of business plan 1 – 2 months
  • Financial support or investment 2– 4 months
  • Selection of location and establishment of unit 3 – 4 months
  • Power and water connection facility: 4 – 5 months
  • Building construction and shed development 5 – 6 months
  • Machinery and equipment purchase 6 – 7 months
  • Procuring raw materials and recruiting of manpower 8 – 9 months
  • Trial operations 10th month

Market potential of Aloe Vera Juice 

Aloe Vera has been extensively used in the mentioned segments like the pharmaceutical industry, cosmetic industry, food industry, and toiletries industry. The Aloe Vera plant is associated with the Liliaceae family. According to the reports, the global market of Aloe Vera in 2016 was 465 million US$ and is growing at a CAGR of almost 11% between 2009 to 2016. It comprises thick green leaves that include latex and juice. Over the last decades, the market is growing at a constant pace and is fueled by varied and increased usage of Aloe Vera in the stated sectors such as food, health care and, cosmetics. The Aloe Vera juice is rich in H2O (Water) and contains essential components like hormones, vitamins, sugars, amino acids, enzymes, and minerals that are mainly required by our human body.

List of registration and license required for Aloe Vera Juice Manufacturing Business

For starting an Aloe Vera Juice Manufacturing unit without any legal issues, one should obtain some important permissions and licenses from the government authorities. It varies depending on the specific region where the unit will be located. Additionally, if are willing to manufacture cosmetic items then you must apply for even more particular licenses. Here, we have mentioned some significant requisites for the processing of concentrated aloe vera juice using aloe leaves.

First of all, you the business must have registration. According to the management pattern, select the right pattern of business.

Moreover, it is important to apply for a trade license and professional tax application.

  • Apply for Pan Card.
  • Approach nearby bank to open a current account
  • Next, get the MSME Udyog Aadhaar registration done through an online platform
  • Apply for factory license by approaching state authority.
  • Importantly, you must avail of ‘NOC’ from the State PCB (Pollution Control Board).
  • Finally, see the tax obligations and yearly compliance charges.

The machinery required to set up Aloe Vera Juice Manufacturing Business

The location is the main requirement for the Aloe Vera Juice Making business. We have mentioned the essential Machinery and Processing Plant Setup that is required for Aloe Vera Juice Processing Plant:

  • Aloe Vera leaf washing unit
  • Aloe Vera juice making unit
  • Filling machine
  • DG set for uninterrupted electric supply
  • Aloe Vera leaf extractor
  • Weighing Scale
  • Transport for gathering the aloe leaves from farms where aloe vera is cultivated.
  • Aloe Vera Juice Manufacturing Plant

The Process of manufacturing Aloe Vera Juice 

In this step, after we obtain leaves from the factory wash, the Aloe Vera leaves will be gently cleaned and the plants will be disinfected properly.

One should be aware of the primary processing steps.  

Commonly we have only two basic kinds of processing which are mentioned below:

The first one is the whole Leaf Method and the second one is Separation Method.

The above two basic categories of Aloe Vera processing are described below:

Whole Leaf Method

In case if you miss this: Argan Oil manufacturing Project Report.

Aloe Vera Plant
Aloe Vera Plant (Pic credit: pixabay)

The whole Leaf Method is the primary and first among the two basic types of Aloe Vera processing. In this process, the entire Aloe Vera leaf is processed which comprises the shell that has the aloin.

Separation Method

In the two primary types of Aloe Vera processing, the second process is Separation Method. In this process, before processing the leaves are from the juice.

Let’s further discuss the Separation Method process

Here, the bottom of the Aloe Vera leaves is cut and then permit to bleed so that the aloin will get leaked from the leaves. This is famous for its unpleasant taste and its laxative characteristics. The aloin should not be included in the final juice which impacts the quality end-product.

Filter the Aloe Vera juice: In this stage, one has to filter the Aloe Vera juice. After the juice is separated from Aloe Vera plants, one has to do filtration. 

Concentrate the juice: In this step, one has to extract the leaves which are sliced and it is done in 48 hours. Here you can encounter a problem due to the poor quality of leaves or because of slow processing.

Packaging the Aloe Vera Juice

This is the last step for the Aloe Vera Juice Manufacturing Plant, where one has to think about selling the Aloe Vera Juice. The juice or the concentrated Aloe Vera can be sold to the consumers directly or to certain herbal industries.

Aloe Vera Juice Project Report/Economics of Aloe Vera Juice Manufacturing Business in India

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Aloe (pic credit: pixabay)

Fixed Capital

a. Land & Building: 600 Sq ft @ Rs. 10,000 Rented

b. Machinery and Equipment: Rs. 4,25,000

Working Capital

A. Staff and Labor: Rs. 1,72,000

B. Raw material per month: Rs. 1,76,675

C. Utilities per month: Rs. 8,000

D. Other Contingent Expenses per Month: Rs. 1,75,000

Total Working Capital per month = A + B + C + D = 1,72,000 + 1,76,675 + 8,000 + 1,75,000 = Rs. 5,31,675.

Total Capital Investment

Fixed capital = Rs. 4,25,000

Working Capital (on 3 months basis) = Rs. 15,95,025

Total = Rs. 20,20,025.

Financial analysis of Aloe Vera Juice Manufacturing business

   a. Cost of Production (Per Year): Rs. 66,24,603

   b. Turnover (Per Annum): Rs. 72,00,000

   c. Net Profit Per Annum:

  Net Profit = Turnover per Year – Cost of Production = 72,00,000 – 66,24,603 = Rs. 5,75,397

   d. Net Profit Ratio = (Net Profit per year / Turnover per Year) X 100 = (575397 / 7200000) X 100 =     7%

   e. Rate of Return = (Net Profit per year / Total Investment) X 100 = (575397 / 2020025) X 100 = 28.48%

Break-Even Point (B.E.P.)

Interest on investment @ 10%: Rs. 2,02,003

40% of wages and salaries: Rs. 68,800

40% of other expenses (except rent): Rs. 70,000

Rent: Rs. 1,20,000

Total: Rs. 4,60,803.

Break- Even Point (B.E.P.) = [Fixed Cost/ (Fixed cost + Profit)] X 100 = 460803/ (460803+575397) X 100 = 460803 / 1036200 X 100 = 44.47%.


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