Introduction to How to make money from Vermicomposting Business in India:
Vermicomposting is a method where in earthworms digest the organic materials to a fine textured product that is vital for successful growth and yield of different fields. This material is called Vermicompost which includes plant growth hormones, nutrients, and thereby aids to improve soil structure by increasing the water-holding capacity of the soil. This process is popular as Bio-oxidation and stabilization of the organic content, in which the organic constituents pass through the earthworm digestive system and deliver the compost hence called Vermicompost. Now, let’s see how we can make money from vermicomposting business.
A guide to make money from vermicomposting business
Since the earthworms enrich the field by making the soil fertile through release of nutrients and other useful materials, they are famously referred to as “Farmers Friends”. Vermicomposting is a money-making business because many of them in present times are shifting to organic fruits, vegetables, and other products as they are not grown by using harmful chemical materials i.e., organic fields where they employ only the naturally created composts and manures from the animal and plant wastes. This results in an eco-friendly agriculture without troubling the natural process of the environment.
By using specific species of earthworms, Vermicomposting can be performed in compost pits. This can be planned into a production unit as the Vermicompost has extraordinary need in the market for organic food products. This is a decent commercial business where the prices involve less than Rs. 2.0 for every Kg whereas the Vermicompost is purchased for Rs. 4.00 to Rs. 4.50 per Kg which is almost more than 100 percent profit if organized properly.
Process of Vermicomposting
This process begins with the gathering of crop residues, vegetable waste, agri-waste, few animal wastes, cow dung, and all the organic wastes. The pits are dug shallow to prevent heat built-up which is considered as harmful to earthworms. Earthworms change the material in a speedy way in case the temperature is preserved around 30°C. To do all these steps, first we must construct brick-lined beds having 0.9-1.5 m width and 0.25-0.3 m height and this must constructed within a shed that is open from all the ways. For planning commercial units, the beds are formed with 15 m length, 1.5 m width and 0.6 m height. These dimensions cannot be altered as the rise in the width impacts the operation and the increase in height during conversion there will be rise of temperature. Cow dung farm waste is placed in layers till a height of 0.6-0.9 m and the earthworms are loaded in between the layers at a rate of 350 worms per m3 of bed volume that weighs around 1 Kg. The beds are sustained at about 40-50% moisture content and a temperature of 20-30°C by sprinkling water over the beds time to time.
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In commercial-units, a substantial amount of Rs. 5,000 – Rs. 6,000 for every ton of Vermicompost must be invested in the beginning on capital items. This high unit capital cost is because of the considerable expenses incurred for the preparation of vermi beds, other machinery, sheds to provide shelter to these beds and, but these charges are for only once. Transportation of raw materials as they are the basis of organic wastes and dung are far away from the production units and the finished product needs operational costs as they must be marketed to different places and need of the organic wastes from the various places. Thus, these operational costs could increase depending on the accessibility of organic waste and the transportation of final products based on the need. The following are the few items that are needed for beginning unit of Vermicompost production-
About earthworms: There are around 350 species of earthworms with various food and burrowing habits. Eiseniafetida, Perionyx excavates and Eudriluseugeniae are some of the species that efficiently converts the organic wastes into manure. The species that could form the deep burrows all the way through the deeper layers must be employed for commercial Vermicomposting. An earthworm takes around 6 weeks for producing one egg capsule, 3-7 worms appearfrom each capsule and thus the worms need so little time to grow and multiply under optimum conditions in a faster rate. The worms live for around 2 years, fully grown worms can be isolated and dried in an oven to formulate worm meal that is rich in protein source approximately 70% that can be utilized as animal feed.
Location: Suburbs of cities, peri-urban villages and the places which are dominant of agriculture are suitable for the Vermicomposting units for large scale commercial purpose. This depends on the obtainability of raw materials and marketing of the finished product. These are as help to reduce transportation charges. These units can also be established in the areas where the floriculture units or farms, fruit and vegetable fields are established. Situating these units in close to the dairy farms will have one of the raw material like cow dung in an easy way.
Components of a commercial Vermicomposting unit
These commercial units must be developed based on the obtainability of cow dung locally. The basic needs for setting up a commercial unit comprises the following:
It is an essential component for Vermicomposting. It can be arranged by using roofing materials or the HDPE sheet and the poles by wooden or steel trusses, bamboo rafters and purlins, and RCC pillars or stones. This is important for avoiding the unnecessary moisture of bed due to rain. Space for movement of the laborers should be given around the beds for attending to the seeding and harvesting the beds.
The beds must be 0.3-0.6 m in height depending on the provision of drainage of surplus water. A uniform height must be maintained over the entire width to prevent low production due to the low volume of beds. The bed width must not be greater than 1.5 m so that the worms can have easy access to the mid of the bed and it is recommended to mixed up the layers after half of the conversion to make sure every waste is converted into the final product.
Approximately half of an acre is needed to establish a commercial unit which can accommodate 6-8 sheds easily without any problem. The land should have a pump or water facility like a bore well. There is a need for electrical provision while setting up the Vermicompost units.
Though it is well known the worms grow faster it is not sensible to wait till the worms get multiplied as the investment is more on infrastructure, the worms count of 1 Kg per m3 of bed volume is enough to begin the unit and will be attain the required population in 2-3 cycles without lag.
The site must be protected by fencing to safeguard it from trespass by animals or other unwanted elements that depends on the length of the periphery of the farm. The costs of fencing could be kept low but it is essential though it do not impact the increase in production.
Water supply system
Drippers for a continuous supply of water with flow arrangements round the clock could serve the purpose of keeping the beds with the threshold moisture. This set up also saves water. The charges of these arrangement based upon type of water supply and the type of unit.
Machinery for Vermicomposting
Machinery is required for shredding and cutting and the raw materials into minor pieces, loading, spreading the raw material to the vermi sheds, collection of composts, unloading, air drying of compost before packing, loosening of compost beds for aeration, automatic packing, etc.
Financial aspects of Vermicomposting business
Generally, it is seen that 2-3 cycles of production in the first year and the next years it is amplified to 5-6 cycles with a duration of 65-70 days for every cycle. Taking various aspects into consideration and operations problems into account it is proposed that the production could be 50% in the first year and 90% in the future years. Benefits which include the income for the sale of compost is estimated to be Rs. 3,500 per MT and the worm cost is Rs. 200 per Kg. The net income from the subsequent year can be expected around Rs. 6,00,000 annually.
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Cost to start a Vermicompost business
Costs involved in leveling of the land and preparation of Vermicompost sheds – Rs. 7,500
Fencing and gate – Rs. 25,000.
Vermicompost beds (8) – Rs. 70,000
For organic waste – Rs. 30,000
Packaging material – Rs. 30,000
Storage costs – Rs. 20,000
Water provision – Rs.75,000
Electrical installation– Rs. 30,000
Earthworms cost – Rs. 25,000
Transportation cost – Rs. 30,000
Labor Charges – Rs. 50,000
Miscellaneous charges – Rs. 39,250
Total costs involved – Rs. 4,31,750.
Income from Vermicompost making business
Sale of Vermicompost 200 MT as the production will be approximately 60% in the 1st year and estimated to be 90% in the subsequent years.
1 MT price is Rs. 4,500.
Sale of Vermicompost 200 MT in 1st year = 200 x 3,500 = Rs. 7,00,000.
Sale of worms = Rs. 200 per Kg = Rs. 90,000 on the overall units.
Sale of worm meal = Rs. 150 per Kg = Rs. 30, 000 on the overall units.
Note: These prices are mentioned for the first year but going on to the 2nd year the costs involved will be lowered and the sale prices will be augmented as the production will rise up to 90%.
The total income on Vermicomposting = Rs. 8,20,000.
Profit margin in Vermicompost business or how much money you can make from vermicomposting business
Profits calculation= Total income generated – Total expenses incurred = Rs. 8,20,000- Rs. 4,31,750 = Rs. 3,88,250 for 1st year later the profits will improve as the production will be improved to 90%.
Note: Care must be taken while the water is provided as the excess water may lead to the death of earthworms. Hard substances should not be seeded in the compost as this may hurt the earthworms. The proper drainage set up as mentioned above must be employed to avoid water logging conditions.
Conclusion to make money from Vermicomposting business
As organic farming is in boom, you can expect excellent profits in Vermicompost business. It is very easy to setup a vermicompost unit and the cost to start a vermicomposting businss is not that high. People with minimum farming knowledge can make good money from vermicomposting business. You may also like the Profitable Small-scale Livestock Farming Ideas.