Introduction on how to start Mustard Oil Making business in India
Mustard Oil is one of the traditionally valued oils in the Indian continent. It has several health benefits which are procured from pure seeds of mustard. The article today will highlight what you know regarding the mustard oil manufacturing process, how much amount is needed to start up a small mustard oil mill in India. With the installation of the mustard oil production machine, the stages to start the Mustard Oil Making Business Plan has been easier and also rapid. It is even good to know the requisites or license for beginning a mustard oil plant in India.
A step by step guide process to start a Mustad Oil making Business
Benefits and uses of Mustard Oil
The application of mustard oil is the last step while going through the stages to start mustard oil making a business plan. In this step, you can see numerous applications of mustard oil and this article has listed some of the applications of mustard oil. The following are the uses of mustard oil:
- It is used for revitalizing hair.
- It is considered good for cardiac health.
- It finds its application as an antifungal and antibacterial agent.
- It is also used vitally for skin therapy.
Business plan for starting the Mustard Oil small-scale unit
Mustard Oil is very popular in India and also other parts of Asia. The below steps will showcase you how to start a Mustard Oil Making business plan:
Step – 1: Firstly, you must know how much money is required to open up a small mustard oil mill in India.
Step – 2: Next, what is the machinery needed for the manufacturing of mustard oil.
Step – 3: Thirdly, what is the manufacturing process of mustard oil?
Step – 4: After that, what are the needed license for beginning a mustard oil plant in India.
Step – 5: Finally, the uses of mustard oil.
All the above stages to start a mustard oil making business plan can be summarized in the following:
You must know how much money is required to open up a small mustard oil mill in India.
Registration, license, and permissions required for starting a small-scale mustard oil plant in India
The next step in the steps to start mustard oil making business plan is about the needful license for starting a mustard oil plant in India. In this stage, you will have an idea of what are the licenses needed for the mustard oil making business.
The following are the licenses and registrations needed for the mustard oil making business:
- Income Tax
- Mandi Act
- Labor Laws such as the following: ESIC, EPFO, etc
- CLU – for land
- Electricity Bills
- MSME Act
- Need to get GST
- Abide Factory Act
- Procure FSSAI
- Fire Safety
- Environmental Clearance
The machinery required to staty a Mustard Oil making business in India
During the mustard oil making business plan, the machinery needed for the manufacturing of mustard oil is a very essential aspect. The machinery needed for the manufacturing of mustard oil is listed down:
- 1-10 ton/day Small Plant of Mustard Oil
- Mini Mustard Oil Plant
- Mini Refining Equipment Set
- Small Mustard Oil Refining Plant
The process of making mustard oil in a small-scale unit
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The manufacturing process of mustard oil is the main and crucial step in mustard oil making a business plan. In this stage, the term mustard oil is used for 03 different oils that are generated from the seeds of mustard. Then 30% of this is obtained out of oil. The mustard oil plant must have the following workshops or units:
- Seed Selection Workshop or Section
- Oil Pressing Workshop or Section
- Storage Workshop or Section
- Packing Workshop or Section
- Below you can see easy steps for the manufacturing process of mustard oil:
- Pretreatment of Mustard Seeds
- Cleaning of Mustard Seeds
- Heating of Mustard Seeds
- Mustard Oil Pressing
- Refinery of Crude Mustard Oil
- Filtration of Mustard Oil
- Oil Filling/ Bottling
The various stages for the manufacturing process of mustard oil can be explained shortly in the following way:
Pre-treatment of Mustard seeds
Pretreatment of Mustard Seeds is the primary step in the manufacturing process. In this step, the mustard seeds must be carefully processed to attain the best quality that is needed for a good quality edible mustard oil that is done using the pre-treating machine mentioned below:
- Cleaning Sieve
- Stone Remover
- Oil Seeds Hulling Machine
- Flaking Machine
- Crushing Machine
- Seeds Extruder
Cleaning of Mustard seeds
The next step in the manufacturing process of mustard oil is the cleaning of mustard seeds. In this step, the mustard seeds are properly cleaned to avoid foreign materials in the mustard oil pressing machines.
Heating of Mustard seeds
Heating of Mustard Seeds is the following step in the manufacturing process of mustard oil. In this step, the seeds are heated for increasing the quantity of the yield.
Mustard Oil pressing
In this stage, the preheated machines are now passed through the screw oil pressing machine to squeeze out mustard oil.
Refinery of crude Mustard Oil
Refinery of Crude Mustard Oil is the next step in the manufacturing process of mustard oil. In this step, we will obtain crude mustard oil and seed oil cake. To enhance the edible mustard oil for human consumption this step is very crucial.
Filtration of Mustard Oil
In this step in the manufacturing process of mustard oil, the filtration of mustard oil is done. In this step, without including any chemicals the machine crashes and squeezes mustard oil with the use of the mustard seed. This is the most suggested process as it enhances the quality of mustard oil, especially if the mustard oil is produced for edible purposes.
Oil Filling/ Bottling
This is final step in the manufacturing process of mustard oil is the oil filling/bottling. In this step, using the oil filling machine, the refined mustard oil will be filled in bottles mechanically and precisely.
Investment required to start Mustard Oil making business
How much money is required to start up a small mustard oil mill in India is the major step before you plan to start a mustard oil making business plan? Here, the mustard oil mill setup cost is based on the mustard oil manufacturing factory capacity. In the below section, you can find all the information related to the costs for the machinery and manpower:
- Screw Oil Expeller – Rs. 1.5 Lakh
- Oil Filter – Rs. 2 Lakhs
- Machine for Cooking – Rs. 0.5 Lakh
- Machine for Cleaning – Rs. 0.5 Lakh
- Oil Refining Unit – Rs. 0.5 Lakh
The following is the information of mustard oil mill running expenses:
- Worker or Labor (Per Month) – Rs. 20,000
- Raw Material (Mustard Seeds) – Rs. 50,000
- Utilities (Per Month) – Rs. 1 Lakh
- Other Expenses – Rs. 30,000
Profit-margin in Mustard Oil making business in India
The profit-margin in Mustard Oil making business is estimated from 25-30% after deducting the total expenses from the capital amount. Then the leftover amount will be your profit, so you need to minimize the expenses incurred accordingly. You can also plan for used machines so that it will reduce your fixed capital investment.
You should not miss this: How To Start Biryani Business In India.
Marketing strategies for promoting your product
You can promote your product through social media websites. You can logon to B2B and B2C websites for selling your product online. Give the samples of your product in the nearby restaurants, hotels, Ayurveda stores, supermarkets, etc. It has great demand in the market because of its high medicinal values and health benefits.
In case if you are interested in this: Mustard Farming Information.