Oregano Oil Project Report, Business Plan

Introduction to Oregano Oil Project Report, Manufacturing Business Plan: Oregano oil is obtained using the oregano herb leaves. It is popular because of the different medicinal values and health paybacks. The world market gets the Oregano oil and dried oregano from the key exporter Turkey. Carvacrol is a chemical accountable for the biological actions of oregano and the motive of its use in various medicines. Oregano oil is identified for its multipurpose properties includes antitumor antimicrobial, antimutagenic, angiogenic, analgesic, antispasmodic, analgesic antigenotoxic, anti-inflammatory, antiparasitic, ache inhibitory, antiplatelet, anti-elastase, insecticidal, antihepatotoxic, etc. Oregano oil is even employed as a feed additive and finds uses in honeybee breeding. Hence, market demand from various applications is great and growing quickly.

The oregano oil market is distributed based on applications as cosmetics, pharmaceuticals, food, and beverages. Oregano oil contributes significantly towards the essential oils market as it is widely used in pharmaceutical products.

This analysis organizes the global Oregano Oil manufacturing breakdown info by region, manufacturers, type, and application. Moreover, studies about the market status, contribution, rate of growth, future aspects, market experts, prospects and problems, risks and entry barriers, sales networks, distributors, and finally the analysis of Oregano Oil Market.

A Guide to Oregano Oil Project Report, Manufacturing Business Plan

Oregano Oil Manufacturing Project Report — **Oregano Oil** (Image source: pixabay)

Oregano Oil’s research report has included the complete analysis of several aspects that upsurge the market’s growth. It establishes restraints, fashion, and drivers that alter the market in either a positive or negative way. This statement also offers the scope of diverse segments and uses that can potentially affect the market in the coming years.

Business plan for starting Oregano Oil Manufacturing Business

To start the profitable venture of Oregano Oil Manufacturing Business, you need to design a perfect business plan to lay a successful path:

Market demand of Oregano Oil Manufacturing Business
Implementation schedule of Oregano Oil Manufacturing Business
List of approvals required for starting Oregano Oil Manufacturing Business
Area required to start Oregano Oil Manufacturing Business
Raw materials required for starting Oregano Oil Manufacturing Business
List of machinery required to start Oregano Oil Manufacturing Business
Manufacturing process of Oregano Oil
Project economics of Oregano Oil Manufacturing Business
Profitability in Oregano Oil Manufacturing Business

Market potential of Oregano Oil Manufacturing Business

The Oregano Oil research report comprises particular sections by region (country), by producers, by type, and finally by application. Each type shows data about the manufacture while the forecast period of 2016-2027. Even the Application segment depicts consumption while the forecast period of 2016 to 2027. The knowledge about the segments assists in recognizing the significance of several aspects that help the Oregano Oil market growth.

Implementation schedule of Oregano Oil Manufacturing Business

Market analysis and demand, applying for loan 0 – 1 month
Preparation of business plan 1 – 2 months
Financial support or investment 2– 4 months
Selection of location and establishment of unit 3 – 4 months
Power and water connection facility: 4 – 5 months
Building construction and shed development 5 – 6 months
Machinery and equipment purchase 6 – 7 months
Procuring raw materials and recruiting of manpower 8 – 9 months
Trial operations 10th month

List of approvals and permits required to start Oregano Oil Manufacturing Business

The next step to start Oregano Oil Manufacturing Business in India is acquiring the below list of licenses, permissions, and registrations –

Register your business identity
MSME registration
GST registration
ROC
Get the PAN Card
Registration of firm
Shop Act License
FSSAI License
IEC Code
Export License
Fire and Safety
ESI
PF
No Objection Certificate from pollution board
Trade license from local municipal authority

Land and building construction for starting Oregano Oil Manufacturing Business

The area required to establish the Oregano Oil Manufacturing unit is 400 – 500 sq. mt. This is the minimum land required to establish a small-scale unit.

Raw materials required for starting Oregano Oil Manufacturing Business

Oregano has leaves that are rich in oil content are the raw materials used for extracting the oil.

List of machinery required for starting Oregano Oil Manufacturing Business

Below is the list of machinery required to start Oregano Oil Manufacturing Business –

Condenser
Evaporate vessel
Pump (condensate)
Florentine flask
Pump (cooling water)
Steam boiler
Cooling tower

Semi-industrial production of Oregano Oil

During the semi-industrial extraction of Oregano oil, the Oregano leaves are ground using electric hydraulic oil press mand not performed manually. The press is made of stainless steel to avoid Oregano oil contamination. Even this process, consumes less water and manual tasks are decreased. Even the crop produces around 13 % extra when compared to the usual process. Even the problems by using modern oil presses and the centrifuges are not found and the oil quality is well maintained.

While the process is carried out, the Oregano oil is several times exposed to extremely high temperatures that may create alterations in the structure of the fatty acid which are significant for the oil quality. Therefore, the manufacturers should carefully optimize the temperature while the process is taking place and finally sustain the product quality without affecting the structure of the oil.

Some of the manufacturers, extract Oregano oil including almonds nuts or shells, or even fruit bitter pulp, as a result, the oil obtained is bitter aroma and taste.

Oregano Oil Project Report/Economics of Oregano Oil Manufacturing Business

In case if you miss this: Hing Manufacturing Project Report.

Land and building construction on a rental basis: Rs. 3,00,000

Cost of Machinery: Rs. 2,39,500

Pre-operative expenditure: Rs. 29,500.

Fixed capital investment:

Machinery: Rs. 2,39,500
Pre-operative expenses: Rs. 29,500
Total: Rs. 2,69,000

Working capital analysis:

Oregano leaves: Rs. 1,20,000
Scented Oregano seed oil 500 lit. @ 60/lit.: Rs. 30,000
Packing materials (plastic containers, cartons, etc.): Rs. 20,000
Total: Rs. 1,70,000

Utilities:

Wood 30 quintals @ Rs. 120/qtl.: Rs. 3,600
Electricity 300 KWH @ Rs. 3.00: Rs. 900
Total: Rs. 4,500

Staff and Labour:

Skilled labour: Rs. 10,000
Unskilled labour: Rs. 7,500
Salesman: Rs. 3,000
Accountant: Rs. 2,500
Peon: Rs. 2,000
Total: Rs. 25,000

Other expenses:

Rent: Rs. 2,500
Transport and travel: Rs. 2,000
Telephone: Rs. 400
Stationery: Rs. 100
Publicity: Rs. 1,000
Sale tips: Rs. 1,000
Other miscellaneous expenses: Rs. 2,000
Taxes and levies: Rs. 500
Total: Rs. 9,500

Total working capital per month = 1,70,000 + 4500 + 25,000 + 9,500 = Rs. 2,09,000.

Total Capital Investment:

Fixed capital: Rs. 2,69,000
Working capital: Rs. 2,09,000
Total: Rs. 4,78,000

Cost of production (per annum):

Depreciation on machinery and equipment @ 10%: Rs. 22,950
Depreciation on furniture @ 20%: Rs. 2,000
Recurring expenditure (per annum): Rs. 25,08,000
Interest on total cap. Investment @ 14%: Rs. 66,920
Total: Rs. 25,99,870

Turnover of Oregano Oil Manufacturing Business

Oregano seed oil turnover 92.4 MT @ Rs. 30,500/ton: Rs. 28,18,200 (Say Rs. 28,20,000).

Profit in Oregano Oil production

Profit = Rs. 28,20,000 – Rs. 25,99,870 = Rs. 2,20,130

Net profit ratio = Profit x 100/Turnover = 7.8%.

Marketing strategies to promote your Oregano oil product

To sell your Oregano oil product you need to register it online on B2B websites and B2C websites. You can even distribute some samples in the nearby supermarkets, or in the wholesale markets where your product gets well purchased.

B2B websites: The websites like –

Alibaba,
Indiamart,
Tradeindia,
ExportsIndia will take the bulk orders for your Oregano oil product.

B2C websites: To sell the products directly to the customer, you may also market in the well-established websites like–

Amazon,
Snapdeal,
Flipkart, etc.

Try new ideas in the starting and just concentrate on promoting your business. Always remember that your business profits will be raised depending upon the quality you provide to the customers.