CONTENT.
1. Manufacturing Plant
2. Detailed Project Report
3. Profile
4. Business Plan
5. Industry Trends
6. Market Research
7. Survey
8. Manufacturing Process
9. Machinery
10. Machinery
11. Raw Materials
12. Feasibility Study
13. Investment Opportunities
14. Cost and Revenue
15. Plant Economics
16. Production Schedule
17. Working Capital Requirement
18. Plant Layout
19. Cost of Project
20. Conclusion
21. Bibliography
F ood processing sector is one of the largest
sectors in India in terms of production,
growth, consumption, and export. India's
food processing sector covers fruit and
vegetables; spices; meat and poultry; milk
and milk products, alcoholic beverages,
fisheries, plantation, grain processing and
other consumer product groups like
confectionery, chocolates cocoa product
soya-based products, mineral water and high
protein foods.
Food processing also includes adding
components to food, for example to extend
shelf life, or adding vitamins and minerals to
improve the nutritional quality of the food
(fortification). India is one of the leading
exporters of the processed food products. It
has a competitive edge over other countries
due to the wide variety of crops cultivated as
a result of geographical and climatic diversity.
India is the world's second largest producer of
food next to China, and has the potential of being
the biggest with the food and agricultural sector.
The total food production in India is likely to
double in the next ten years and there is an
opportunity for large investments in food and
food processing technologies, skills and
equipment, especially in areas of Canning, Dairy
and Food Processing, Specialty Processing,
Packaging, Frozen Food/Refrigeration and Thermo
Processing.
Fruits & Vegetables, Fisheries, Milk & Milk
Products, Meat & Poultry, Packaged/Convenience
Foods, Alcoholic Beverages & Soft Drinks and
Grains are important sub-sectors of the food
processing industry. Health food and health food
supplements is another rapidly rising segment of
this industry which is gaining vast popularity
amongst the health conscious.
-The Food Processing Sector Comprises of
Three Segments Based on the Levels of
Processing.
1. Primary Processing of Food
Primary processing of food comprises of
sorting, grading and packaging of fruits and
vegetables, milk, rice, spices, etc.
2. Secondary Processing of Food
Secondary processing of food comprises of re-
shaping of food for ease of consumption. It
includes flour, oil cakes, tea leaf and
beverages powder etc. Together with primary
processing, the two segments constitute
around 62% of the processed foods in value
terms
3. Tertiary Processing of Food (or) Value
Added Food Segment
Value added food segment includes
processed fruits and vegetables, juices, jam &
jelly etc. and holds around 38 % share in the
total processed food market.
-Market Outlook
Indian food processing sector has potential to
attract $ 33 billion of investment and
generate employment of 9 million person’s
days by FY 2024. The food processing is a key
contributor to employment generation in
India. India is the second-largest producer of
food, and has the potential to be the largest
on a global food and agriculture canvas. The
food industry in India comprises the
foodproducing and processing industries. The
food processing industry is one of the largest
in India – it is ranked fifth in terms of
production, consumption, export and
expected growth. Maharashtra is the leading
state in India as far as food processing is
concerned. The agriculture sector is vital for
any nation, and in India, it is the principal
source of livelihood for more than 58 per cent
of the population. It is the base for the
majority of the food processing industry, and
grew at the rate of 4.4 per cent in 2012-13. At
a national level, the foodgrain production is
close to 245 million tonne (MT). The food
processing industry is growing at the rate of
13 per cent, and for the Indian economy and
the overall growth of the nation, the growth
of food processing industry is very important,
as it takes care of farmers and employment
for skilled and unskilled labour. One of the
world’s largest food producers, India
produces 600 million tonnes of food grains
every year. Its granaries had a buffer stock of
nearly 50 million tonnes of food grains (wheat
and rice) in 2003-2004
The second largest exporter of rice and fifth
largest exporter of wheat in the world, its
agricultural exports account for nearly 14.2
percent of its total export figures.
India ranks first in the world in production of
cereals and milk.
It is the second largest fruit and vegetable
producer and is among the top five producers
of rice, wheat, groundnuts, tea, coffee,
tobacco, spices, sugar, and oilseeds.
India is the seventh largest producer of fish in
the world and is ranked second in inland fish
production.
The Indian food industry is poised for huge
growth, increasing its contribution to world
food trade every year. In India, the food
sector has emerged as a high-growth and
high-profit sector due to its immense
potential for value addition, particularly
within the food processing industry.
The Indian food processing industry accounts
for 32 per cent of the country’s total food
market, 14 per cent of manufacturing GDP, 13
per cent of India’s exports and six per cent of
total industrial investment.
Indian food service industry is expected to
reach US$ 78 billion by 2018.
The Indian gourmet food market is currently
valued at US$ 1.3 billion and is growing at a
CAGR of 20 per cent. It is expected to cross
US$ 2.8 billion by 2015.
Export of Food Processing
Related Commodities
The size of India’s food processing industry in
2012 was around $160 billion. This is
estimated to be around $260 billion in 2015,
registering around 8% growth every year.
_Niir Project Consultancy
Services (NPCS) can provide
Detailed Project Report on
Food Processing and Agriculture Based Projects,
Snack Food, Frozen Food, Agro Processing
Technology. Processed Food, Instant Food, Food
Industry, Food Preservation, Canned Food, Packed
Food, Ready to Eat Food, Cereal Food, Pickle,
Grain Milling, value added Products.
GINGER PRODUCTS (GINGER
PASTE, POWDER & OIL)-
Ginger is the most important and one of the
oldest spices used in every kinds of food
preparation. It is one of the agrobased products,
which has good commercial as well as industrial
value...
FRUIT JUICE (MANGO,
ORANGE & LITCHI) &
SUGARCANE JUICE IN ASEPTIC
PACKING & PET BOTTELS-
Fruit juices are health drinks; it is largely used
throughout the society and popularity of fruit
juices are gradually increasing. There is good
scope of export of fresh fruit juices. Best food
technologists are available in India who can
provide the technology of fruit juices processing
and bottling the same
MAIZE STARCH & LIQUID
GLUCOSE-
Maize starch is the most commonly used
carbohydrate found in plants. Industrially, starch
is classified into two type’s viz.
natural & modified starch.
It has many industrial applications, varying from
the pulp and paper industry to the food industry…
FRESH FROZEN VEGITABLES-
There are thousands of frozen foods
available. Before freezing, it is necessary to
blend the product to destroy enzymes, which
would result on off flavours and consequent
quality deterioration…
BANANA AND IT’S BY
PRODUCTS-
Banana is a fair source of calcium iron and a
rich source of potassium magnesium, sodium
& potassium.
Because aids in combating diarrhoea
intestinal lesions…
ESSENTIAL OIL-
Essential oil is produced from different type
of flowers, leaves and herbs by steam
distillation or by solvent extraction process.
There are several kinds of essential oils.
Cardamom oil is used in the confectionery,
bakery, canning, soap & soft drink industry….
CASHEW NUT SHELL LIQUID
(USING WASTE SHELL)
Cashew (Botanical name Anacardium
Occidentale)
is introduced in India by the portugese four
centuries ago mainly to prevent soil errosion.
Cashew rank second among the nine trees
which figure prominently. I
n international trees…….
CHILLI OIL-
Spices are used for flavour, colour, aroma and
preservation of food or beverages.
Spices may be derived from many parts of
the plant
: bark, buds, flowers, fruits, seeds, stigmas
and styles or the entire plant tops…
BISCUIT MAKING PLANT-
Biscuit industry in India in the organized
sector produces around 60% of the total
production, the balance 40% being
contributed by the unorganized bakeries.
The industry consists of two large scale
manufacturers, around 50 medium scale
brands and small scale units ranging up to
2500 units in the country, as at 2000-01…
ENERGY / PROTEOIN BAR-
Energy bars are often promoted as a quick
snack, a supplement athlete/ sports person or
those who done workouts energy bars are
also an excellent method for replenishing
muscle energy store after sport…
DRY FRUITS PROCESSING-
Every person needs good health and for good
health we want good things for care of our
health.
To attain good health it is essential to follow
good nutrition, regular exercise & regulation
in sexual activity….
Here are few Projects for Startup:
INSTANT GINGER POWDER
DRINK-
Ginger is one of the oldest and most
important spices used in different kinds of
food preparation.
Ginger possesses a warm pungent taste and a
pleasant odor.
hence it has a wide use as a flavoring in
numerous food.
preparation, beverages, ginger bread, soups,
pickles and many soft drinks. Read more
MAHUWA OIL-
Mahuwa is a tropical fruit.
It is found in the month of April - July or
August - September.
It is a fleshy green, yellowish or orange brown
when ripe, 2.5 to 5 cm long, 1-4 shining seeds.
It’s total mass content 70% in seed, two
kernels in a seed. 2.5 cm X 1.75 cm, oil
content 46% in latatolia and 55% in longitolia
which are smaller in size. Read more
SOYA LECITHIN-
Lecithin is a synonym for phosphatidylcholine.
It is the main lipid component in biological
membranes, like our cell membranes or cell
walls of plants.
On the other hand, commercial lecithin is
actually a natural mixture of neutral and polar
lipids, including glycolipids, triglycerides,
sterols, and small quantities of fatty acids,
carbohydrates, and sphingolipids. Read more
PLAIN CORN FLAKES &
COATED CHOCO FLAKES-
Corn flakes being one of most nutritious foods
and is consumed as breakfast food not only in
India but-everywhere in the world.
Cornflakes are a very popular breakfast cereal
manufactured from maize.
Cornflakes are an almost 0 fat, 0 cholesterol
food and contain a high amount of fast acting
carbs with dietary fibers.
Read more
WINE FROM KINNOW FRUITS-
Kinnow has acquired commercial importance
and popularity owing to its success under
varied agro climatic conditions, response to
inputs and high economic returns.
Its unique features like gad tree vigor, high
fruits yield, excellent fruits quality, higher
juice and wider adaptability. Read more
VANASPATI GHEE-
The synthetic fats are known in India by
different names such as Vanaspati, Dalda
Ghee, and Hydrogenated Oil etc.
Perhaps because vanaspati ghee is
manufactured with vegetable oils and there is
not much change in the components of
vegetable oil after it has undergone the
process of refining and hydrogenation
the name Vanaspati has been given to this
refined oil. Read more
COUNTRY LIQUOR FROM
MOLASSES-
From earliest times man has sought for
beverages, which give him refreshment and
now some of them have become almost an
essential part of human diet.
There are two kinds of beverages non-
alcoholic and alcoholic.
There are some alcoholic beverages which are
fermented but are subsequently distilled is
produced with the aid to yeast culture.
NON-DAIRY WHIPPING
CREAM-
Dairy products are dairy base farm house
products. It is mainly milk, cheese, butter,
ghee, cream etc. where basic raw materials
come out from milk which is produced in
dairy farm. Now milk is also manufactured
form agro based products like groundnut,
soyabean as basic raw material milk can be
produced from agro products or from animals
like cows, buffaloes, goats etc
KHANDSARI SUGAR-
Sugar has served mankind as a source of
energy and as a sweetening agent the down
of civilization.
Khandsari is a kind of raw cane sugar
manufactured in India since ancient times.
The majority of the khandsari industry is
mainly in Uttar Pradesh.
Some khandsari is also produced in Punjab,
Maharashtra, Andhra Pradesh and Mysore
APPLE CHIPS-
Apple is one of the delicious fruits.
It contains vitamins, minerals, enzyme, fruit
juice etc.
Apples can be preserved in the form of apple
chips by drying it.
In normal drying apples pieces changed its
colour to brown.
There is very good market of apple chips. It
can be sealed in the aluminium foil.
FLAVOURED RAISINS-
Raisin is prepared from the sound dried
grapes of the varieties conforming to the
characteristics of Vitis vinifera L.
processed in an appropriate manner into a
form of marketable raisin with or without
coating with suitable optional ingredients
processed in an appropriate manner into a
form of marketable raisin with or without
coating with suitable optional ingredients
PULPY FRUIT DRINKS (FRUIT
JUICE WITH FRUIT PULP)-
A freshly squeezed orange or fresh pulped
and strained apple would supply a fruit juice
drink for immediate consumption,
but to expect it to maintain its quality for
even a day or two was tempting providence.
Nowadays, with the benefit of ultra-high
temperature (UHT) pasteurisation,
aseptic packaging techniques and systems,
pressed juices can be stored for extended
periods with very little deterioration in
quality.
SOYA BEAN OIL, SOYA
PANEER & SOYA EXTRACT-
Soya bean is one of the most important agro
based product, which has commercial value
after the rice, wheat, maize etc. Today, soya
bean is an important source of protein and oil
in human nutrition, especially in Asia. In other
parts of the world, soy based foods are
consumed merely due to its healthy image.
Read more
LYCHEE JUICE-
Lychee is one of the tropical fruits which is
mainly available in Bihar, and Eastern part of
India. It is one of the healthy fruit juice. It will
help to grow the health. It is sweet tasty with
good flavour. It is used by the domestic
people throughout the year. Sixty percent of
the fruits is edible. Read more
RED CHILLI POWDER-
Chilli is cultivated mostly as a rein-fed crop,
but in areas of low rainfall it is grown under
irrigation. In the genetic area, it is a cold
weather crop. The crop is raised on a variety
of soil. For cultivation as a rain fed crop, well
drained heavy soils which retain moisture
should be selected.
OLIVE OIL-
The olive is a species of small tree in the
family Oleaceae and is of major agricultural
importance in the Mediterranean region as
the source of olive oil.
Olive oil is a fat obtained from the olive (the
fruit of Olea europaea;
family Oleaceae), a traditional tree crop of
the Mediterranean Basin. Read more
-Small and Medium Scale
Food Processing Projects.
Manufacturing of Processed
Food Products. Agriculture,
Food and Beverage
Processing Business Ideas.
The food processing sector has various sectors
including consumer foods (snacks, beverages,
etc.), dairy, meat and poultry, fish, grains and
cereals, and fruits and vegetables.
Fruits and vegetables and meat and poultry take
the lion’s share of about 40 percent of the total
household consumption.
The Indian food industry is poised for huge
growth, increasing its contribution to world food
trade every year.
In India, the food sector has emerged as a high-
growth and high-profit sector due to its immense
potential for value addition, particularly within
the food processing industry.
The Indian food processing industry accounts for
32 per cent of the country’s total food market,
one of the largest industries in India and is ranked
fifth in terms of production, consumption, export
and expected growth.
It contributes around 14 per cent of
manufacturing Gross Domestic Product (GDP), 13
per cent of India’s exports and six per cent of total
industrial investment.
India is well-known for its food and beverages
service industry.
It is one among the most vibrant industries which
demonstrated unprecedented growth in the
recent past.
The industries is continues to expand rapidly.
This growth can be attributed on account of
changing demographics, growing disposable
income, urbanization and growth of retail
industry.
Indian food service industry is expected to reach
US$ 78 billion by 2018.
The Indian gourmet food market is currently
valued at US$ 1.3 billion and is growing at a
Compound Annual Growth Rate (CAGR) of 20
percent.
India's organic food market is expected to
increase by three times by 2020##
Investment prospects for food
processing in India-
India’s vast agricultural resources alone creates
huge potential for investments in its food
processing and equipment industry.
Major areas holding scope for value added
processing are in the canning, packaging, dairy
and food processing, frozen food, and thermo-
processing industries.
Currently, food processing accounts for almost
one-third of the total food market in India.
The food processing industry is valued at US$258
billion, and is the fifth largest industry
domestically in terms of production,
consumption, export, and expected growth in the
country.
The country’s food processing industry is
expected to reach US$482 billion by 2020, driven
by growth in organized retail, changing consumer
behaviour, and increasing consumerism in tier II
and tier III cities.
Key Drivers of Growth in Food
Processing
Consumer Spending on Food
The Indian food and grocery market is the world’s
sixth largest, with retail contributing to 70 percent
of the total sales. On average, Indians spend 31
percent of their total earnings on food and
grocery. In contrast, consumers in the US spend
only 9 percent, while in Brazil and China, the
expenditure on food is 17 percent and 25 percent,
respectively.
Change in Consumer Taste and
Preference
With growing awareness, better health
consciousness, need for convenience, and
improving lifestyles, and the share of processed
food is gradually and steadily increasing on
consumer plates across the world.
In India, this change is bolstered by rising per
capita income, a large young population (60
percent below 35 years of age), deeper retail
penetration, and a growing number of nuclear
families. India’s demands for processed food is,
therefore, expected to increase to about 8.5
percent by the end of 2017.
Growth in Food Exports
There is a rise in the demand for Indian processed
food in the international market. In addition to
changing consumer tastes in foreign markets,
approximately 30,843,419 16 people of Indian
origin live abroad. In 2016-17, the total exports
from this sector witnessed a positive growth of
0.55% to reach US$ 24657.09 million, thus,
occupying a share of 8.92%The growth of the food
and beverages industry is propelled mainly by
developing countries such as India, China, and
Brazil, as the economies of these nations improve
and more people are lifted into the middle class
F&B industry in India
India is expected to become the fifth largest
consumer market in the world by 2025. Food and
beverages is the biggest of the consumption
categories. The F&B sector is supported by the
vast agriculture sector: India is the biggest
producer of pulses, and the second biggest
producer of rice, wheat, sugarcane, and fruits and
vegetables.
It is also the biggest producer of milk and buffalo
meat and ranks fifth in poultry production. The
other helpful factors: large extents of arable
lands, favourable climate, long coastline, and low
wages.
The beverage industry, excluding alcoholic
beverages, is worth about $16 billion. Tea and
coffee are the most popular beverages, followed
by soft drinks (carbonated drinks and juices),
health drinks, milk-based drinks, flavoured drinks,
and energy drinks.
Half of the tea and coffee consumed in the
country is sold unpacked. The alcohol beverages
market is estimated to be worth about $35 billion,
with whiskey, beer, and wine as the most popular
drinks.
The food and beverage market was estimated at
US$30.12 billion in 2015 and is expected to reach
US$142 billion by 2020, with a compounded
annual growth rate (CAGR) of 36.34%. The sector
is dominated mainly by traditional operators. The
brands and restaurant chains of both Indian origin
and multinationals have not optimally penetrated
the market so far. The food and beverage sector
has evolved over the past decade, giving rise to
exciting new concepts in food and beverage
offerings and new and innovative service
elements.
In India, the food sector has emerged as a high-
growth and high-profit sector due to its immense
potential for value addition, particularly within
the food processing industry.
Exports
In 2016-17, the total exports from this sector
witnessed a positive growth of 0.55% to reach
US$ 24657.09 million, thus, occupying a share of
8.92% in India’s overall exports.
Indian agricultural/horticultural and processed
foods are exported to more than 100
countries/regions; chief among them are the
Middle East, Southeast Asia, SAARC countries, the
EU and the US
· Exports from Spices, which is the third
largest export item from this sector, witnessed a
growth of 13.74%,
occupying a share of 1.05% in overall exports of
the Industry to reach US$ 2890.58 million.
· Exports from Fresh fruits witnessed a much
faster growth of 16.76% as compared to that of
Fresh vegetables which witnessed a growth of
6.54%.
· Major Export items in terms of value such as
Buffalo Meat, Basmati Rice and Sugar, occupying a
share of 34% in overall exports from this sector,
witnessed a negative growth of 3.55%, 7.35% and
13.3% respectively.
Exports from segment of all the processed items
including Processed Fruits and Juices,
Miscellaneous Processed items and Processed
Vegetables witnessed a positive growth except for
Processed Meat which recorded a negative
growth of 28.58%
The Indian food industry is poised for huge
growth, increasing its contribution to world food
trade every year. In India, the food sector has
emerged as a high-growth and high-profit sector
due to its immense potential for value addition,
particularly within the food processing industry
Agriculture and Food Industry
in India-
Agriculture plays a vital role in India’s economy.
Over 58 per cent of the rural households depend
on agriculture as their principal means of
livelihood.
India is the largest producer, consumer and
exporter of spices and spice products.
India's fruit production has grown faster than
vegetables, making it the second largest fruit
producer in the world
Major Queries/Questions Answered in
our Report?
1. How has the industry performed so far
and how will it perform in the coming
years?
2. What is the Project Feasibility of the
Plant?
3. What are the requirements of Working
Capital for setting up the plant?
4. What is the structure of the industry
and who are the key/major players?
5. What is the total project cost for setting
up the plant?
6. What are the operating costs for setting
up the plant?
7. What are the machinery and equipment
requirements for setting up the plant?
8. Who are the Suppliers and
Manufacturers of Plant & Machinery for
setting up the plant?
9. What are the requirements of raw
material for setting up the plant?
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www.entrepreneurindia.co
10. Who are the Suppliers and
Manufacturers of Raw materials for
setting up the plant?
11. What is the Manufacturing Process of
the plant?
12. What is the total size of land required
for setting up the plant?
13. What will be the income and
expenditures for the plant?
14. What are the Projected Balance Sheets
of the plant? www.entrepreneurindia.co
15. What are the requirement of utilities
and overheads for setting up the plant?
16. What is the Built up Area Requirement
and cost for setting up the plant?
17. What are the Personnel (Manpower)
Requirements for setting up the plant?
18. What are Statistics of Import & Export
for the Industry?
19. What is the time required to break-
even?
20. What is the Break-Even Analysis of the
plant?
21. What are the Project financials of the
plant?
22. What are the Profitability Ratios of the
plant?
23. What is the Sensitivity Analysis-
Price/Volume of the plant?
24. What are the Projected Pay-Back
Period and IRR of the plant?
25. What is the Process Flow Sheet
Diagram of the plant?
26. What are the Market Opportunities for
setting up the plant?
27. What is the Market Study and
Assessment for setting up the plant? 28.
What is the Plant Layout for setting up the
plant?
REASONS FOR BHYING
OUR REPORT:
• The report helps you to identify a
profitable project for investing or
diversifying into by throwing light to
crucial areas like industry size, market
potential of the product and reasons
for investing in the product
• The report provides vital information
on the product like it’s characteristics
and segmentation
• The report helps you market and
place the product correctly by
identifying the target customer group
of the product
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• The report helps you understand the
viability of the project by disclosing
details like machinery required, project
costs and snapshot of other project
financials
• The report provides a glimpse of
government regulations applicable on
the industry
• The report provides forecasts of key
parameters which helps to anticipate
the industry performance and make
sound business decisions
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OUR APPROACH:
• Our research reports broadly cover
Indian markets, present analysis,
outlook and forecast for a period of
five years.
• The market forecasts are developed
on the basis of secondary research and
are cross-validated through
interactions with the industry players
• We use reliable sources of
information and databases. And
information from such sources is
processed by us and included in the
report
CONCLUSION
The Food Processing Industry sector in
India is one of the largest in terms of
production, consumption, export and
growth prospects. The government has
accorded it a high priority, with a number
of fiscal reliefs and incentives, to
encourage commercialisation and value
addition to agricultural produce. This
sector is having ample sector to prosper in
future years ahead. These sector could
be a good potential for the Company
Secretary professionals who wants to start
their own enterprises.
BIBLIOGRAPHY
•Rathakrishnan, L. and Sriraman, V.P.
(2014), Indian Food Processing Industry –
A
Snapshot, Research Gate, October.
•Business Sweden, Opportunities in Indian
Food Processing Industry, 2015.
•Food and Agricultural Sector of
Excellence, Indian Food and Beverage
Sector: The
New Wave, Food and Beverage Tech,
2014.
•The Journal of Industrial Statistics,
Facts and Figures, Vol. 6, No-6, March,
2017.
•Singh, Surendra
P., Tegegne, Fisseha and Ekenem, Enefiok
(2012), The Food
Processing Industry in India:
Challenges and Opportunities, Journal of
Food
Distribution Research, Volume 43, Issue 1