Introduction on How to Start a Fresh Fruit Juice Making Business in India
This article comprises a step-by-step guide about how to start a fruit juice production company on a small-scale basis. This includes the production process, equipment information, raw material requirement, etc. Starting a fruit juice production company is a money-spinning and attractive venture. However, the business should have careful planning and moderate capital investment.
A step by step guide to start a Fruit Juice making business in India
Market potential for Fresh Fruit Juice making business
Fresh fruit juice is a popular product in the beverage industry compared to other packaged drinks. Also, the consumption of packaged fruit juice is growing quickly. Due to its ready-to-eat feature, people prefer packaged fruit juice nowadays. Moreover, the global juice market is projected to witness substantial growth in the coming days.
The global juice market including fruit juice and vegetable juice has a major share of the global beverage segment. Rising preferences for healthy products and growing health awareness is driving the demand for fruit and vegetable juice, in the entire beverage industry.
Furthermore, fruit and vegetable juices are attaining popularity as a health and dietary concerns are increasing among the consumers. Various flavors of juice that are a blend of fruits and vegetables are attaining popularity with consumers.
Currently, orange juice stands as the major demand product in the global juice market, but other juices like grape juice, apple juice, pineapple juice, grapefruit juice, tomato juice, and other single fruit and vegetable juices, mixtures of juices are also gradually getting high attention. So beginning a fruit juice manufacturing company is a worthy business for entrepreneurs.
Detailed information to start Fresh Fruit Juice Making Business
Registration, license, and permissions required for Fruit Juice making business
This is the primary step while beginning a fruit juice manufacturing business. It is recommended to check the state law for registering the business and opt for registration. Fruit juice manufacturing is categorized as a food processing and packaging business. So verify the licensing guidelines from the health department and other associated departments of it. In India, you must get the below-stated licenses and permissions.
- Trade License from the Municipal Authority
- MSME Udyog Aadhaar Registration
- FSSAI registration
- AGMARK registration
- Compliance with FPO Act
- NOC from State PCB
- Registration of firm
- GST registration
- Trade license
- Pollution certificate
- EPI and ESI registrations
- IEC code
- FPO act
Business plan for Fruit Juice making business
This is the most essential step in beginning this business. You must plan for a business report before commencing your business. You must also do proper market research. Try to check out the most famous juices in your area. Additionally, check if the raw materials are abundantly available there. Determine your range of items. Check for the packaging quantity and related item’s availability. Try to look out for your potential competitors and plan how to overcome them. Figure out a financial calculation about cash flow and expected ROI.
n Area required to start a Fruit Juice making business
Figuring out the right business location is very significant in the manufacturing business. Furthermore, you should allocate space for production, storage, office operations, etc. Try to check out a location where you can get manpower, transportation facilities, and other utilities like water and power facilities. It is recommended to start the business by using a rental place. As it will decrease your startup budget compared to the purchase of your own land/area.
Equipment required to start a Fruit Juice making business
According to your desired quantity output, you must procure the machinery and equipment. Moreover, it depends on what type of juices you must get. Generally, you can set up the unit as a semi-automatic or as a fully-automatic one. If you are starting the business without the proper experience, then never opt for fully-automatic arrangements. Furthermore, a semi-automatic plant helps you to get an idea about the practicalities and subject in a better way for further scale-up. Some of the basic tools and items you require are
- Knives (stainless steel)
- Cutting boards
- Juice extractor
- Analytical balance
- Stainless steel saucepan
- 10kg scales
- Measuring cylinder
- Capping machine
- Wooden spoons
- Plastic funnels
- Plastic buckets
- Cleaning equipment (brushes, cloths, scourers, hosepipes, etc)
- Gas cylinders with burners.
Raw materials required to start a Fruit Juice making business
According to the product, you must obtain the raw materials. As the raw materials are mainly fresh fruits that are highly perishable items, you should take care of having the regular supply.
Process of making Fruit Juice making business
For all the fruit-based beverages, the primary step is the extraction of juice or pulp from the fruit. The following are the main manufacturing steps
- Selection and obtaining the raw material
- Juice extraction
- Filtration (optional)
- Batch preparation
- Packaging or filling and bottling.
You can use any fruit while planning for fruit juice, but the most famous ones include pineapple, grapefruit, orange, mango, and passion fruit. Some juices, for example, guava juice, are not filtered even after extraction and are sold like fruit nectars.
Man power required for starting Fresh Fruit Juice making business
Starting a fruit juice manufacturing company requires various operational activities such as production, accounting, purchase, and marketing. So you must employ the proper staff for the various works and different responsibilities.
Packaging the Fresh Fruit Juice product
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The last stage in the manufacturing process of Fresh Fruit Juice is called packaging. In this process, the packaging is automatically done by the machine which has a ribbon of flat packaging cardboard threaded into it.
Cost or investment to start Fresh Fruit Juice making business
If you are choosing any small-scale business in Fresh Fruit Juice production then you must pay for raw materials specifically fruits and other things such as packaging material and other things. If you are inaugurating a small-scale business then employees’ remuneration is also essential. The capital for small scale Fresh Fruit Juice production business is Rs. 2 lakhs. Additionally, on a large scale basis, the equipment can be around 1.50 lakh rupees. The cost of raw material could be about Rs. 50,000. Therefore, the entire cost could be estimated to Rs. 2-2.5 lakh rupees.
For beginning the business, you must plan for the budget. You may charge around 80 to 90 rupees per Litre in the market. Not only this, but you can also directly contact and have a network with restaurants and hotel industries.
Profits in Fresh Fruit Juice making business in India
Because of the high demand, the profit margin in Fresh Fruit Juice making business is high. One can gain up to 2000 rupees every day. The profit margin in the Fresh Fruit Juice production business is much more for wholesale dealers. If you carefully follow the above-mentioned steps you can earn income through the Fresh Fruit Juice production business though you have spent less capital.
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Marketing strategies to promote Fresh Fruit Juice product
Quality and trendy packaging are very important in product promotion. Because it aids to create a good visual promotion. So a durable and attractive packaging is essential for this business. Additionally, the overall success of this business is based on the wide distribution network. However, try to gather the local market primarily. And then focus on expanding. Additionally, focus on institutional contacts. In any sort of consumer food product item, outdoor publicity and television ads do play a major role. However, checking about the availability of your product in every possible retail location is a very crucial thing for a successful fruit juice production business.
As the fruit juice is an FMCG product, it must have extensive advertising and product promotion methodology. And it is recommended to have an organized marketing team. Select a trendy and memorable name for your product. Prepare the label properly. Advertisements in the electronic media and FM channels are very essential in promoting this type of item. In addition to that, try to keep your product in retail stores as much as possible in your area. Supermarkets and malls are also the best choices for selling the product.
How to sell your product?
You can sell your product by registering it online on B2B websites and B2C websites. You can even spread some samples in the nearby bakeries, restaurants, supermarkets, or in the wholesale markets where your product gets well purchased. Try new ideas in the starting and just concentrate on promoting your business. Later your business will be raised depending upon the quality you provide to the customers.
Fresh Fruit Juice manufacturing business is a working capital-based one. So, proper cost analysis and financial forecasting are essential for gaining long-term success.
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