How to make money from geranium oil extraction
The essential oils have a great market globally. The demand for these oils is increasing day by day and people tend to use them often for their basic needs. This created an opportunity for the entrepreneurs to start their business which could be of high demand.
The geranium essential oil is extracted from the flowers and leaves of the pelargonium graveolens plant. This essential oil is used in many health benefits. The geranium flowers are rich and scented. The rose-like aroma is often used in perfumes and blends well with other oils. Geranium oil is used by many people as it has an important component which is added in fragrances, household items, cosmetics, etc.
Ideas to make money from geranium oil extraction business
Things to consider before starting geranium oil extraction business
- Before starting this business one must create a business plan which includes finance and marketing ideas.
- Do some market research. Know how the business is growing in the local market and demand for those products.
- To set up this business the capital investment is needed primarily. If require bank loans can be taken for the first instance next they can approach financial institutions.
- Next, obtain required licenses and permissions based on the state laws.
- Establish an oil extraction manufacturing plant
Create a business plan to make money from geranium oil extraction business
Before setting up the business make a detailed analysis o the cost and make a note of expenses to be incurred. The analysis must include day to day activities. After this one must choose the name of the company or the brand which is going to be launched. Examine the geographical area nearby, go and search for the demand of this oil at grocery stores, hospitals, chefs, parlors, etc, extend the business by maximizing the profit in creating different methods of sales. The cost to start a business can be analyzed by estimating the capital and variable expenses like purchasing equipment, water, electricity, registration, staff salaries, etc.
Legal formalities/license to start a geranium oil extraction business
If a small scale business is organized then it is quite inexpensive and simple to start. The business can be considered as a sole proprietorship if one person operates all business transactions. The registration of the business is not mandatory for a sole proprietorship. But it is compulsory to obtain a business license from local municipal authority. After obtaining a license if any permits required then it should be applied.
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The large scale business can be formed but at first one must determine his form of business. It can be a Company, partnership firm, Limited Liability Partnership (LLP). After determining the business must be incorporated. The incorporation of a company can be done by following the provisions of Companies Act, 2013. The application to incorporate must be sent to Register of Companies with all required documents and forms. The ROC will verify the documents and applications, then the certificate of registration is obtained. It is mandatory to incorporate the business to protect themselves from liabilities and debts. The incorporation procedure is not so simple and requires huge filings. So, one must take advice from an experienced professional in incorporating a company.
The licenses must be obtained for any form of business structure. The business license is obtained from local municipal authorities. After this license is obtained one can start manufacturing their products.
If oils are manufactured for drugs and cosmetics then the license must be obtained based on drugs and Cosmetics Act and Rules.
Plant setup and machinery for extraction of geranium essential oil
The below-mentioned plant and machinery should be established at a nearby lemongrass plant filed. For small scale operation, the 1000 s.ft area is sufficient.
- Evaporate vessel
- Florentine flask
- Steam boiler
- Pump (condensate)
- Pump (cooling water)
- Cooling tower
Extraction procedure of geranium essential oil
The common method to extract oil from the geranium is steam distillation. A large container is placed called still which is made of stainless steel. The plant material is added to it for the steam process. When the steam is added to plant material the plant with aromatic oils of molecules will turn into vapor. The condensation flask consists of two pipes, one is hot water which exits and the other with cold water which should be added. The vapor after condensation converts into liquid form. The liquid form consists of essential oil with water in it. The oil and water can be separated by a process called decantation. The oil which is flowing on water after decantation is obtained and the resulted essential oil is highly concentrated liquid. The extraction of geranium oil by steam distillation process takes around 4-6 hours. The oil is stored in drums or glass bottles made up of steel and aluminum.
Why steam distillation is used?
The steam distillation is the process that is used to separate the substances which are not soluble with water, volatile in steam, and having high vapor pressure at the boiling temperature of the water. The steam is controlled due to steam distillation. On a large scale, the steam distillation is used to extract oils from the plant material.
Cost to start a geranium oil extraction business
The cost may vary from small scale to large scale set up businesses.
The cost may vary from small scale to large scale business. The investment required to start lemongrass oil extraction business may range from 21 lakhs to 25 lakhs which is listed below:
- premises- Rs. 2,00,000 to Rs. 2,50,000
- Registration and license cost- Rs. 1,50,000 to Rs. 2,00,000
- geranium oil extraction machine– Rs. 5,00,000 to Rs. 5,50,000
- Water and electricity- Rs. 90,000 to Rs. 1,10,000
- Marketing and advertisement expenses- Rs. 2,00,000 to Rs. 3,00,000
- Manpower- Rs. 2,00,000 to Rs. 3,00,000
- Any miscellaneous expenses- Rs. 1,00,000 to Rs. 1,50,000
The market for geranium oil
Aromatherapy is an effective medication treatment used to treat numerous conditions. People with skin break out issues frequently utilize essential oils. The Burn scars can be relieved with aromatherapy items. Furthermore, injuries caused by burns might be treated with aromatherapy. Aromatherapy is used as an option in contrast to pharmaceutical medications because of its several advantages. It has fewer side effects.
The customer tendency toward preventive social insurance, the enhanced lifestyles, are important factors driving the global geranium oil market. Likewise, the growing instances of depression and anxiety among the population are adding to the interest for essential oils for their utilization in aromatherapy purposes. Broad research is being done to study the advantages of essential oils thus increasing the global geranium oil market.
Marketing geranium is key to making a profit. Once the market has established, the need or desire for the product can begin marketing to the same health stores and grocery stores that initially contacted. One can also market geranium through other modes, such as local classified advertisements, a company website, or even local markets. The brand can be maintained by the quality of the oil. Consumers start branding with mouth talk if the oil has all the beneficial uses required. Social media can be a good source to promote oil on various websites. The sales can be increased if the marketing strategies are efficient. As this oil is used in cosmetics it is required to be maintained properly. The bad remark may shut down the doors and creates fewer opportunities.
Uses of geranium oil
Geranium essential uses can be listed below:
- The geranium is mostly used in massages. It provides grounding and calming effects for the emotions and also skin appears healthy. For best results, the geranium essential oil can be combined with lavender or coconut oil.
- The hair can be enriched with the supplements which are provided by geranium oil. Adding a few drops of this oil with shampoo and conditioner can fetch better results. It can be used daily so that the aroma of geranium oil will be the last longing all day.
- The daily skincare routine can be enhanced by adding this oil in a small dose. For healthy and good looking skin it can help for good results. One can use geranium oil for the skin as a spot treatment by applying it to the face by adding it to cleanser and wash face twice a day. Many consider this oil as the best treatment for anti-aging and to clog pores
- To keep insects away geranium oil in which cotton is dipped and place it every corner of the room. It works as a natural repellant.
Geranium plant description
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This plant is a fragrant member of the pelargonium species. The plant produces fragrant, red-colored flowers, green leaves. It can reach up to one meter in height. This plant grows well in sunlight and fertile soil.
Geranium oil v/s rose geranium oil
Both oils come from pelargonium graveolens but are of different varieties. They have almost the same properties and actions. Comparatively rose geranium oil has a slightly more floral scent, which is similar to roses. Due to this many people prefer rose geranium over geranium oil.
Price of geranium oil
The price range varies from different brands. These oils are easily available on online and mostly in stores offline. Many prefer to buy online because of various brands and price variations. The minimum price of geranium oil ranges from Rs. 15,000 to Rs. 30,000 approximately.
How to use geranium oil
The geranium oil should not be taken internally without the supervision of a health professional. The geranium oil can be used by blending it with some other oils. This oil can be blended with rosemary, lavender, coconut, grapefruit, basil, wild orange, etc, so the geranium oil is diluted with carrier oils. The carrier oils may sometimes cause an allergic reaction when applied to the skin. It is recommended to do a patch test before applying a combination of the oils for different purposes. There is some dilution guidelines prescribed need to follow before applying. For adults 15 drops of essential oil with a carrier oil. For children, 3 to 6 drops of essential oil for 6 teaspoons of carrier oil. In aromapathy treatment, these essential oils can be dab on paper towels and can be placed in room diffusers to scent a large space. For better aroma, it can be used in inhaler sticks.
Side effects of geranium oil
The geranium essential oil cannot be used by pregnant women as it can lead to problems. People with high blood pressure or heart diseases can stimulate heart attack or a stroke if this oil is used without prescription. Before applying on skin directly one must do a patch test and then apply it.
The conclusion of the geranium oil extraction business to make money
The manufacturing of oil from geranium is one of the greatest business ideas to make huge money. So, the above benefits of geranium oil created opportunities for entrepreneurs to start their own geranium oil extraction business. This business is highly profitable if one does not comprise quality. We wish you good luck to make money from the geranium oil extraction business. You can reduce the input cost if you start commercial Geranuim Cultivation.