Cheese Manufacturing Project Report, Plan

Introduction to cheese manufacturing project report, making process, and businessplan: Preparing raw unpasteurized cheese demands patience, devotion, knowledge about the business. If you have acquired it, then it is very easy to start Cheese Manufacturing Business.

There are two methods to start the cheese making business. The simple and basic method is to acquire raw milk from the suppliers and the second one is to obtain the milk from dairy cows directly. Some farmhouse producers produce cheese on large scale and gain extensive profit.

A guide to cheese manufacturing project report, process, and business plan

The procedure can be learned using online materials, books, formal or informal guidance. An Individual can avail of a type of subscription for cheese making classes and get some professional training. It is essential to have a proper idea of various cheese recipes and get the data about the particular machinery essential for the business.

Types of Cheese

There are different types of cheese such as semi-hard and hard cheese. Popular ones are fresh cheese, white mold, blue mold, and goat cheese. Fresh cheese is Mozzarella, Feta, and Cream cheese. White mold is Double crème white, Camembert, Brie, etc.

Blue mold is Roquefort and Danish blue, Stilton, Gorgonzola. Semi-hard are Cheddar and Havarti and Gruyere. Hard cheese is Manchego and Grana-Padano, Parmesan, Pecorino while goat cheese is Chevre, Blue goat cheese, etc.

Hard cheese
Semi-hard
Blue mold
Fresh cheese
White mold
Goat cheese

Business plan to start Cheese Manufacturing

Next, get the knowledge of the cheese-making process and identify the various cheese items before preparing your recipe. Register a business name, get insurance for the business, and register the items.

Appropriate study about the target market
Design a proper business project and feasibility analysis
Begin from scratch or take over an already existing business.
Get the information about the cheese-making process
Distinguish the different cheese products
Design your Process
It’s always essential to register the business name
Make sure the insurance is acquired for the business
Go for product registration
Marketing strategies

Registration, license, and permissions required to start Cheese Manufacturing Business in India

It is very significant to identify the various registration necessary for any business regardless of the size. The process is different based on the state’s guidelines. Besides, as it is classified under the food category, Cheese manufacturing requires specific approvals from the concerned state authorities. It is suggested to approach some professional consultant for starting the unit smoothly without any legal disturbances.

Cheese is a FMCG product. Below you will see the various licenses necessary before beginning the Cheese Making Business in India

Register your business identity
MSME registration
GST registration
ROC
Get the PAN Card
Registration of firm
Shop Act License
FSSAI License
IEC Code
Export License
Fire and Safety
ESI
PF
No Objection Certificate from pollution board
Trade license from local municipal authority

Area required to start Cheese Manufacturing Business

Commonly, about 100-150 sq. ft. area is enough to start a moderate size Cheese making business. However, space relies upon the production output we desire and the business size.

Identify the location properly. It is recommended to get an area close to industrial region. Besides, you must locate a proper water resource and a never-ending electrical supply. Check the transport convenience too. It is even essential to keep a proper parking area if you feel like keeping a vehicle for logistic tasks.

Market potential for Cheese Manufacturing Business
Implementation schedule of Cheese Manufacturing Business
Basis and Presumptions of Cheese Manufacturing Business
List of approvals required for Cheese Manufacturing Business
Area required for Cheese Manufacturing Business Unit
Raw materials required Cheese Manufacturing Business
List of machinery required for Cheese Manufacturing Business
Manufacturing process of Cheese
Project economics of Cheese Manufacturing Business in India
Profitability in Cheese Manufacturing Business

Market potential of Cheese Manufacturing Business

Cheese is a natural dairy product that is rich in nutrients, healthy, and has a huge demand. Demand for organic cheese attained $6.5 billion in 2019 with a gradual increase per year.

The business is advantageous in terms of returns and demands less capital, budget-friendly ingredients, and moderate equipment. Quality cheese requires proper quality control, good equipment, and standardized procedures and policies.

Basis and Presumptions of Cheese Manufacturing Business

The Cheese Manufacturing project profile relies on the following assessments:

Working hours/shift: 8 hrs.
No. of shift/day:1
Working days: 300
Labor expenses: According to State Government’s Minimum Wages Act.
Rate of interest: 15% per annum
Costs of machinery and equipment: Taken based on A particular dealer
Value of raw material: As per local market Packing material/others rate (on wholesale rate)
Land: owned
Building Construction charge: About Rs. 2000 per sq. ft.
Break-even point will be estimated on a full capacity utilization basis
Pay-back time is 5 – 7 years

Implementation schedule of Cheese 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

Reasons to start Cheese Manufacturing Business

It’s a natural diary item
Great demand
The business has a good scope for money generation
Low capital needed
Inexpensive components
Common machinery

Equipment required for starting Cheese Manufacturing Business

In case if you miss this: Herbal Oil Manufacturing Project Report.

Cheese Making Factory (pic credit: pixabay)

The machinery is based on whether you plan for a home start-up or a commercial large-scale business. Procession line demands heavy industry fabricated machinery while home products need basic machinery.

Procedure to process Cheese

Commercial manufacturing of cheese needs fresh milk tank, stretching, bending, and molding. Whereas other methods includes whey discharge, curd sterilizing, fermentation, and cooling.

Commercial grade equipment comprises homogenizing, milk storage, cheese pressing machines. The machinery used for processing are plate pasteurizer, storage tank, fermentation, vacuum degasser, and milk cooling tank.

Commercial equipment
Homogenizing
Milk storage
Cheese pressing machine
Plate pasteurizer
Storage tank
Vacuum degasser
Milk cooling tank
Cheese VatCheese
Milkplan bulk tank

Packaging of processed Cheese

The final step in processing Cheese is packaging. In this the processed Cheese is packed into packages through a ribbon of flat packaging cardboard threaded into it. The Cheese is packaged into thick plastic packets or aluminium tins.

Cheese Manufacturing Project Report/Economics for Cheese Manufacturing Business

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Economics of Cheese Manufacturing (Pic credit: pixabay)

Plant & Machinery: Rs. 23,05,000

Miscellaneous Assets: Rs. 3,00,000

Working capital: Rs. 7,56,000

Total: Rs. 33,61,000

Term loan: Term loan of Rs. 14.33 Lakh is required for project cost of Rs. 33,61,000

Raw Material Consumed: Rs. 120,00,000

Electricity Expenses: Rs. 8,64,000

Depreciation: Rs. 3,76,000

Wages & labour: Rs. 21,24,000

Repair & maintenance: Rs. 5,73,000

Packaging: Rs. 8,03,000

Cost of Production: Rs. 195,68,000

Cost of Sales: Rs. 164,61,000

Gross profit: Rs. 26,55,000

Salary to Staff: Rs. 11,88,000

Interest on Term Loan: Rs. 1,41,000

Interest on working Capital: Rs. 75,000

Rent: Rs. 4,80,000

Selling and administration expenses: Rs. 5,35,000

Total: Rs. 24,19,000

Net profit: Rs. 2,36,000

Break even point: Fixed Cost x 100 / (Fixed Cost + Net profit): 37%.

Conclusion of Manufacturing of Cheese

Cheese making business is one among the best idea for getting ample profits by spending moderate capital. If one can adequately plan for a business and then he or she can easily grab the attention of his new brand in the market.