Start Fruits and Vegetable Export Business

Start fruits and vegetable export business.
Start fruits and vegetable export business.

Introduction to start fruits, vegetable export business 

Are you fascinated with selling and distributing fresh fruits and vegetables? Then fruits vegetable export business is a decent idea, to begin with. It has enough projections and the huge potential that will aid you to become a successful entrepreneur. It was considered as the developing sector of the food processing industry in different countries including India.

Farm-fresh fruits and vegetables have a great demand in foreign markets. According to surveys, it has been proved that India stands as the second-largest producer of fruits and vegetables in the world. Most significantly, India exported different fruits including banana, mango, papaya, guava, etc. and also various vegetables, with a value of approximately 7474.14 crore rupees during the year 2014-2015 which is very interesting.

With the increasing awareness among people for having fresh fruits and vegetables in the diet, the demand for these foods continues to rise. The growth rate is approximately 1-2% every year. It has opened up many avenues in the food processing industry and fruits vegetable export business is one amongst them. People presently are interested to invest more capital in this business as the international market offers a large potential of opportunities for their export from India and other developing countries. Here the geographical location of the country also enables in taking hold of the biggest export market and India has huge benefits over it.

There is no doubt, fruits vegetable export business is financially worthwhile and one can operate this business from staying at the home location. Thus, if your location is convenient enough to get fresh fruits and vegetables easily, you may opt for initiating this business. However, you must have ample information regarding this industry. You must build clear information on different facts about exporting fruits and vegetables like quality measurements, food safety, packaging, and labeling. You should abide by all the rules and certifications required by the destination countries, for those agro-products you are willing to export.

Furthermore, you should be in the export business only if you have sufficient infrastructure for it. This is the reason it is suggested to plan a simple, useful as well as flexible export idea for the viable fruits vegetable export business. As a fruit, the vegetable exporter must target to achieve foreign exchange which not only gains you revenue but also significantly develops the financial status of the nation.

Steps to start fruits and vegetable export business

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Steps to Start Fruits and Vegetable Export.
Steps to Start Fruits and Vegetable Export.

Few major steps are needed to follow while beginning a fruit and vegetable export business. These ideas will not only aid you in the starting stages of your business but also help you in expanding it successfully.

Do extensive research 

You must perform extensive research on all topics of exporting fruits and vegetables, from beginning to end. This helps you to have an idea of the questions like what products you are willing to export; if there is a great demand for those products in the international market or not, etc. For a viable export business, you must check out an appropriate market for your products.

Prepare a perfect business plan to start a fruits and vegetable export

Similar to any other business, fruits vegetable export businesses do need a well-projected business plan. Here you must focus on the following points, fruits/ vegetables that are chosen for exporting overseas

  • Detailed check of the potential market
  • Expenses needed for building up the basic infrastructure
  • Required funding resources
  • License requirements and registrations
  • Shipment and logistics
  • Your selling price structure

Get your business registered

For beginning a fruit vegetable export business it is very essential to have you are registered with the Ministry of Commerce and Industry, the Government of India through the Director-General of Foreign Trade (DGFT). For the business registration, you must submit a filled-out application form to your nearest DGFT office. You should also submit Rs. 1000 as application fee along with the PAN number and other bank information. They will now provide an IEC card with a 10-digit unique code. You can also apply for IEC number online as it is very mandatory to have an IEC number for exporting any type of goods overseas. You must acquire the different other registrations with the following authority such as seaport customs or airport customs depending on the mode of export.

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Central Excise Department: Export promotion council to get registration cum membership certificate (RCMC), sales tax authority.

Set up your office

As far as this business is concerned there is no hard and fast rule that your office must be well-decorated or furnished and placed at the business park. You could set an office in the location where the houses can have convenient access to your business and from there you can operate your business-related tasks comfortably. You may choose a location such as an industrial area or close to a busy marketplace.

Create a website to start fruits and vegetable export

The present world is advancing with all hi-tech gadgets and all the trendy smart technologies; it is a decent idea to showcase your business online. Developing your business website will allow clients all over the world to reach you conveniently. You may even showcase the advantages and various features of your fruits vegetable export business including the best-offered price and discounts.

Find the dealers

Significantly, you have connections in this type of business. You may contact the embassy in your country and request for the trade directories, or any other information about the suppliers. On the other side, you may also explore the competent experts like an accountant or an advocate that could benefit you in searching the trustworthy suppliers. You may reach with the chamber of commerce who can also help you in this task.

Approach the suppliers

As soon as you have identified the specific details of suppliers, the immediate step would be reaching them by informing them about your business. You can provide complete information related to the background of your business by emphasizing the probability of the fruits vegetable market in the overseas.

Find out the customers

You must reach out to the probable clients for your business by advertising the services that you are going to provide. You have to seek the sellers in your locality. It is important to detect your competitors in the nations where you wish to get in and determine an appropriate cost for your fruits and vegetables.

Hire the merchants, traders, and agents

You must also hire the traders, merchants, and agents overseas based on the brokerage that you will give them per deal. To get trustworthy sales representatives, you should contact the Chamber of Commerce in the country in which you want to export.

Contact a shipping company

You must lookout for a consignment forwarder or a freight shipping company that could assist you in the transport of your products.

Thus, your main objective should be to focus on the expansion of your business. When you are more alert and strong-minded, you will turn out to be one of the successful fruits and vegetable exporters.

The profit margin for fruits and vegetable export business

Calculate the cost of packing, shipment, labor, and other activities which is an essential thing required to start the business. Later fix the price and make a note that the incurring expenses will be less if you start the business on a small scale. After your profit margin becomes steady, then you can gradually start expanding your business.

The conclusion to start fruits and vegetable export business

With a perfect business plan, you can earn good money by starting fruits and vegetable export business. You may also like Agriculture Export Policy, Import Policy in India.

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