How to Make Money from Fish Feed Production

How to make money from fish feed production business in India

The feed is an essential thing to attain proper growth and development of the livestock. Like other livestock, fish also needs supplements and nutritious feed for proper growth and survival. Aquaculture production should be supplemented with nutritious feed. Hence they need ingredients with complete balanced nutritious feed such as protein, fat, vitamins, carbohydrate, minerals, and water. The feed like moss or aquatic insects is not sufficient for proper growth and survival of the fish culture ponds or tanks.

Fish feed, which is also known as the aquafeed, is commercially produced from various food items for different aquatic species which include fish, crustaceans, and mollusks. Fish feed is extensively used by the aquaculture sector.

Ideas to start and make money from fish feed production

Fish feed is the formulated food especially for fishes, which can be commercially manufactured either on a small scale or larger scale based on the amount you can invest for the business. Fish feed is primarily available in the form of pellets, which is comprised of a mixture of important ingredients that provide nutrition to fish. Based on the fish species and size to be fish, these pellets are available in various forms and sizes. Further, the properties of pellets are based on the particular requirement of the end-user, i.e., so that they sink to the bottom of fish tanks or else they will be float on the surface of the water in the culture tanks. The nutrient contents of the feed can be altered based on the type of fish and this has benefitted the global fish feed market in recent times.

The market potential for fish feed production business to make huge money

Due to the increasing global demand for fish and fish-based products in both the national and international markets, the compound feed demand hence the fish feed industry is also expected to increase. The fish feed production business growth is particularly high in emerging countries, like India, China, and Brazil, due to the increasing income levels with expanding and increasing demand for seafood in these countries. The Asia-Pacific market especially, accounts for the significant rise of share in the overall market.

Market research for fish feed business

Andhra Pradesh accounts for about 22% of India’s total commercial fish feed consumption which is followed by West Bengal. However, in Andhra Pradesh the commercial aquafeed is still at 10% because of the finfish category and a little higher for shellfish category. This makes Andhra Pradesh an attractive destination for investment in fish feed manufacturers. Apart from all these it is also a land of getting the raw materials for fish feed that consist of rice or wheat bran, groundnut cake, and other agro products which are found abundantly there. Due to which India is emerging as a significant commercial producer of fish feed. Because of the increase in the number of fish consumers, India itself is thriving for aquafeed manufacturers, which is the biggest advantage. However, the majority of farmers feed their aquatic species with traditional meals which owe to easier availability mainly at lower prices. Hence, the transition towards commercial fish feed will take time.

But remember that the growing awareness among aquaculture farmers regarding the benefits of commercial aqua feeding of aquacultured species. So, the popularity of commercial fish feed is slowly coming into existence in various parts of the country. Further, the growing demand for fish in both the national and international markets is demanding the aquaculture farmers in India to make use of the commercial feeding practices, so that the end product of aquaculture would be healthier with all the nutritional requirements.

Classification of fish feed

Based on the terms of the end-user, the global aqua or fish feed market has classified into carp, salmon, mollusks, catfish, crustaceans, tilapia, and others. Carp is well-known as a leading end-use segment and accounts up for 25% of the global fish feed market. The carp and crustaceans segments are always expected to have faster growth as they are having the ability to withstand harsh environmental conditions. Mollusks segment accounted for the 2nd largest place of the overall fish feed market and is expected to show a growth rate of above-average that too shortly. These expectations are mainly due to the increasing awareness of the health benefits from mollusks intake by the consumers.

Fish feed production business plan to make good money

Before starting the business you need to first prepare the perfect business plan for fish feed making business in India. Firstly you need to get an idea of ‘how to make fish feed in India.’ Now coming to the details –

  • You need to go through the list of licenses, permissions, and registrations required to start a fish feed production business.
  • Next the land required to start the business is nearly 500 sq. feet.
  • Then the list of raw materials required for preparing the fish feed.
  • Later comes the manual fish feed making machine but nowadays automatic fish feed making machines are available for making a fish meal in India.
  • Now comes the main part investment required to start a fish feed production business in India.

License, permissions and registration for fish feed making business in India

In case if you miss this: How to Make Money from Crab Culture Business in India.

License to Start a Fish Feed Business.
License to Start a Fish Feed Business.

In starting this fish feed production business, you need to acquire different licenses and permits from the Government authorities. However, it is advisable to get the registrations as per your state laws. These include:

  • Obtaining trade license;
  • Apply for MSME Udyog Aadhaar online registration for your business;
  • Get GST number, as it is compulsory for any type of business;
  • It would be better if you get ‘NOC’ from your State Pollution Control Board;
  • SSI registration for availing subsidies;
  • You have to apply for BIS certification for ISI Mark and standards;
  • Get VAT registration and also get the information on whether it is required or not.
  • Finally, you have to get your brand name protected through Trademark registration.

Raw materials used for fish feed production 

Fish feed formulation and aqua feed preparation are the processes of mixing appropriate quantities of feed ingredients which should meet the specific goals of production. The fish feed pellets contain both animal and plant proteins. Plant protein is used from corn, rice, wheat, soybean, peanut cake powder, etc. whereas animal protein is taken from fish meal, crab meal, sleeve-fish meal, shrimp meal, and so on. The other ingredients are added based on the requirements and eating habits of particular aquatic animals. Soybean meal is the main ingredient in the fish meal. Other ingredients for fish feed include milk powder, eggs, cod liver oil, cornflour, vitamin mixture containing vitamin B complex plus vitamin E, agar powder (binding agent), garlic paste, pepper powder, and cumin powder were used as antibiotics. Soybean meal (80gm) is used as a powder form which is the principal ingredient in the fish feed. Other ingredients like milk powder (60 gm), cornflour (20 gm), and eggs (70 gm) were added and mixed well to form a whole soybean mixture. Apart from these groundnut oil cake, it is also used in preparing the feed.

After mixing it is maintained under refrigeration for 12 hrs. After refrigeration, the mixture was squeezed over the polythene sheet layer and dried at room temperature for 2 days (48 hrs). The dried forms are then crushed into small pellets and are then sun-dried to avoid fungal infection. After drying they are weighted and stored in the bottle.

Machinery for fish feed making business

The below is the list of machinery used for fish feed production business

  • Feed grinder
  • Feed mixer
  • Wet type fish feed extruder machine
  • Pellets dryer
  • Automatic weighing and packing machine

The cost of an automatic fish feed plant, with capacity: 100 Kg -150kg per hour ranges from Rs. 8.5 to Rs. 9.5 lakhs.

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Fish feed making process in India

At first in the fish feed making process; the raw materials are added into the grinder as they should be ground well to the required size. Now the ground part is transferred into feed mixer for mixing it well into either powder or flakes or granular or blocky materials based on the type which you want to produce. This well-mixed feed is now extruded by steam boiler into wet pellets. The pellets formed are passed into the dryer so that the pellets will be dried completely. Later the machine automatically packs the fish feed pellets based on the weight through the packaging machine.

The cost to start a fish feed making business

You need to arrange finance of up to Rs. 12 to 15 lakhs, to start the business at small scale production. You can also avail of the loans from banks which aids your financial support.

The cost of land and site development for fish feed production is Rs. 80,000

Fish feed making machine price is Rs. 8,50,000

The cost of water supply, current, etc. Rs. 10,000

The cost of purchasing raw materials is Rs. 60,000

Labor charges per year are Rs. 1,50,000

Costs involved in packaging the products in all sizes are Rs. 30,000

Miscellaneous charges are Rs. 20,000

So, the total cost for starting the fish feed production business is Rs. 12,00,000

Due to the high demand in the market for the fish feed you can expect profits from 20-25% in the first year whereas 30-35% from the second year onwards.

Here is some information about Fish Farming Methods, Types of Fish Farming.



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