Corn Flakes Project Report, Business Plan

Corn Flakes Project Report, Manufacturing Business Plan


Cereals are available in different varieties with specific nutrient values. Some of the cereals are abundant in minerals, vitamins, while few have iron and proteins in them. As the cereals are available for the entire year, they are considered a staple food item. Corn Flakes are also readily served as breakfasts because of the change in the eating habits that prioritize their diet and health.

A guide to Corn Flakes Project Report, and Manufacturing Business Plan

Corn Flakes
Corn Flakes (Image credit: pixabay)

Uses and applications of Corn Flakes

The product and its applications-

  • Corn Flakes have a good nutrient value.
  • They are consumed as breakfast along with milk, fruits, or dry fruits.
  • Corn Flakes are even used as components for preparing ice creams and cakes.

Reason to choose Corn Flakes Manufacturing Business

In the present times, people have shown much concern about their health and diet plan. They are taking light and healthy breakfast, and these corn flakes could be a potential ready-to-eat breakfast meal that is consumed along with milk, dry fruits, and fruits.

If you reside in a location that has maize or corn plantation in abundance, then Corn Flakes Manufacturing Business could be a potential business as a start-up where you can decide your career as an independent businessman.

Corn Flakes Manufacturing Business can be founded in both developing and developed regions. This business does not demand extensive area and is simple to set up without hassle.

Objective of Corn Flakes Manufacturing Business

The aim of this business is stated down:

  • Production of ready-to-eat or instant Corn Flakes.
  • Preserve the corn and maize products.
  • Exporting possibility of the by-products such as broken Corn Flakes or broken corns.

Market potential of Corn Flakes Manufacturing Business

  • Although there are several types of cereals seen in the market, you can invest in your corn flakes manufacturing business. You must be aware that your product must have the properties like good taste, nature, and blend flavor.
  • Setting up a Corn Flakes Manufacturing Business is a money-spinning venture because the demand for crispy and crunchy fake is on the rise now.
  • Moreover, current people switch to a nutritious and healthy diet. Beginning a Corn Flakes manufacturing business in this type of demanding market will be very fetching to gain income.
  • Beginning the Corn Flakes Manufacturing Business could be a worthy initiative.  As it will cater to the needs of all urban households.

Business plan for starting Corn Flakes Manufacturing Business

Presently, brands such as Kellogg’s stand out with a good popularity in the market by selling cornflakes to a large population. But the cost is not reasonable and it is difficult to cater to the population classified as middle-class people.

As there is no such specific cooking necessity and for its ready-to-eat option, the Corn Flakes have demand majorly across the world. One of the chief aspects behind the huge demand and supply of corn flakes is the current altering lifestyle of the population.

The eating pattern of a majority of people has been changed because of more work and less time. This can be one of the reasons for the popularity of Corn Flakes. By focussing on these vital aspects one can initiate the Corn Flakes Manufacturing Business.

Before beginning any business, one must draft a proper business plan. The Corn Flakes Manufacturing Business comprises several important aspects like- vision, mission, aim, summary, funding, business model, and marketing policies.

A business plan proves to be an efficient tool while planning for any business. Moreover, the business plan will aid to initiate the business properly.

List of licenses required to start Corn Flakes Manufacturing Business in India

First step is to acquire the below list of licenses, permissions and registrations for starting Corn Flakes Manufacturing Business in India-

  • MSME registration
  • GST registration
  • ROC
  • Registration of firm
  • Shop Act License
  • FSSAI License
  • IEC Code
  • Export License
  • Fire and Safety
  • ESI
  • PF
  • No Objection Certificate (NOC) from pollution board
  • Trade license from local municipal authority

Area required for starting Corn Flakes Manufacturing Business

Selecting an appropriate location for your business is a vital decision. You can arrange your manufacturing plant in the area near corn and maize plantations.

Raw materials required to start Corn Flakes Manufacturing Business

In case if you miss this: Bread Manufacturing Project Report, Business Plan.

Corn Seeds
Corn Seeds (Pic source: pixabay)

Maize stands to be the third common and essential food crop cultivated in India. It nearly provides about 9% of its yield to the national food basket.  Moreover, it is even observed that with the rise of maize plantations in the country there is a substantial increase in the demand. Corn is the chief raw material that should be carefully acquired during the harvesting period.

Maize crop has a wide range of applications from Corn Flakes to cattle feed. Maize is also used to produce the products like vermicelli, snacks, starch, etc.

Similar to India, Corn Flakes are famous in few other countries as well. Corn Flakes are available in various flavors and contain a rich source of vitamins. As a result, they are the reason for attraction by kids as well as adults.

Packaging materials for Corn Flakes Manufacturing Business

The packaging materials must be acquired or generated as they are significant to maintain shell life, creative appearance, etc.

Moisture-proof with an innovative design printed packaging material will assist you to store the product properly and preserve it for product safety.

Machinery and equipment required for starting Corn Flakes Manufacturing Business

Usually, the corn flakes manufacturing units have integrated machines. Here we have added some of the essential machinery and equipment for the corn flakes manufacturing business:

  • Air classifiers, including all its accessories
  • Silo for storing the corn grains
  • A rotary oven
  • Boiler cap
  • Mixer for syrups
  • Steamer or pan cooker
  • Weighing balance machine
  • A cooling and screening equipment
  • A heavy flaking machines
  • A separator
  • Rotary steam cooker

Manufacturing process of Corn Flakes

Corn Flakes manufacturing is easy and is done in three stages.

  • Grain cleaning,
  • Grit section, and
  • Final production.

These steps are described in the following section.

Step 1: Grain Cleaning

Corn flakes manufacturing demands the use of yellow and white corn. In the beginning, clean the corn grains, next remove the dust from them. Silos can be employed for storing corn grains. You can get a separator to separate large gains and small ones.

Step 2: Corn Grit Section

After grains get polished, you have to mill them and separate the brans and germs. Now, cook the small broken pieces using a steam cooker with the required pressure. Then, add the desired flavor, salt, sugar syrup, malt, and water, and then cook the entire thing on medium flame.

Step 3: Corn Flakes Section

Next, send the cooked material to the heavy flaking machine to transform grits into flakes. After the cooking process is complete, the corn flakes will be sent to the packing equipment

Corn Flakes Manufacturing Project Report/ Economics of Corn Flakes Manufacturing in India

Corn Flakes Project Report – Land and building: Rs. 10,000

Corn Flakes Project Report – Machinery and equipment: Rs.1,50,000.

Corn Flakes Project Report – Raw material (per month):

  • Corns: Rs. 2,50,000
  • Packaging Material: Rs. 3,000
  • Total: Rs. 2,53,000

Corn Flakes Project Report – Staff and labour (per month): Rs. 23,400.

Corn Flakes Project Report – Other expenses (per month):

  • Rent of Land & Building: Rs. 10,000
  • Electricity Charges: Rs. 5,000
  • Fuel Exp.: Rs. 4,000
  • Advertisement and Travelling: Rs. 2,000
  • Transport: Rs. 4,000
  • Consumable and stores etc.: Rs. 1,000
  • Potage expenses/ telephones: Rs. 1,000
  • Stationery: Rs. 1,000
  • Repairs and Maintenance’s: Rs. 2,000
  • Total: Rs. 30,000

Corn Flakes Project Report – Working capital (for one month):

  • Raw material: Rs. 2,53,000
  • Salaries and Wages: Rs. 23,400
  • Other Expenses: Rs. 30,000
  • Total: Rs. 3,06,400

Corn Flakes Project Report – Total capital investment

  • Machinery and Equipment: Rs. 1,50,000
  • Working capital for one month: Rs. 3,06,400
  • Total: Rs. 4,71,400

Corn Flakes Project Report – Cost of production (per annum)

  • Total recurring cost per year: Rs. 36,76,800
  • Depreciation on machinery and equipment: Rs. 16,500
  • Interest on total investment @ 10%: Rs. 47,000
  • Total: Rs. 37,40,300

Corn Flakes Project Report – Sales proceeds (per annum)

  • Corn Flakes – 45000 Kg: Rs. 42,75,000
  • Total: Rs. 42,75,000

Corn Flakes Project Report – Profitability (before income tax)

  • Annual Gross Profit: Rs. 5,34,700
  • % of Profit on Sales: 12.51%
  • Break Even Analysis
  • Annual Sales: Rs. 42,75,000
  • Annual Variable Cost: Rs. 30,36,000

Corn Flakes Project Report – Break Even Point calculation

Break-Even Analysis = Annual fixed cost X 100 / Annual sales – Annual variable costs = 51.72%.


Corn flakes manufacturing business can be initiated with less capital and will get high returns. Thus, this could be a perfect choice for people who plan to start any business to become independent.


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