Are you interested in dealing with fresh fruits and vegetables? Then fruits vegetables export business is a great idea to start with. It has enough prospects and potential helping you to become a successful entrepreneur. In fact, it has been considered as the growing sector of food processing industry in various countries including India. The farm fresh fruits and vegetables have a huge demand in foreign markets. Let me share some exciting statistics. India is the second-largest producer of fruits and vegetables in the world. Most importantly, India exported various fruits including banana, papaya, mango, guava etc, and also different vegetables, with a value of 7474.14crore rupees during the year 2014-2015. Isn’t it interesting?
With the increasing awareness of including fresh fruits and vegetables in diet, the demand of these foods also continues to grow. The growth rate is almost 1-2% every year. It has opened up several avenues in food processing industry and fruits vegetables export business is one of them. People are now more interested to invest money in this business as the foreign market offers a great deal of opportunities for export from India and other developing countries. Here geographical location of a country also facilitates in seizing a large export market and India has the advantage over it.
No doubt, fruits vegetables export business is financially rewarding and one can run this business from his home location. So, if your location is favorable enough to get fresh fruits and vegetables easily, you can think of starting this business. However, you should have sufficient information regarding this industry. You will need to build a strong knowledge base on different facts about exporting fruits and vegetables like food safety, quality measurements, packaging and labeling. You should comply with all the regulations and certification requirements of the destination countries, for those agro products you will export.
Furthermore, you must get indulge in the export business if you have the required infrastructure for it. That is why, I suggest you to create a simple, useful as well as flexible export strategy for the viable fruits vegetables export business. As a fruits vegetable exporter, your aim is to get foreign exchange as it not only fetches you revenue but also develops the financial condition of the nation.
Steps for Starting Fruits Vegetables Export Business
There are few significant steps that you are required to follow when starting a fruits vegetables export business. These steps will not only help you in the initial stage of your business but also aids you in developing it successfully.
Do an Extensive Research
Which products do you want to export? Is there any demand of those products in foreign market? What are their quality assurance measures? You should perform a thorough research on every topic of exporting fruits and vegetables, from start to finish. For a sustainable export business, you will need to find an appropriate market for your products.
Create a Business Plan
Like any other business, fruits vegetables export business also need well-crafted business plan. Here you need to concentrate on the following points,
- Product selected for exporting overseas
- Study its potential market
- Cost required building up the initial infrastructure
- Required Working Capital
- License requirements
- Shipment and logistics
- Your pricing structure
Get Your Business Registered
Starting a fruits vegetable export business needs to get the business 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 need to submit a filled-out application form (known as Aayaat Niryaat Form-ANF2A) to your nearest DGFT office. You should also provide an application fee of 1000 rupees along with your PAN number and other the bank details. They will then give you an IEC card with a 10-digit unique code. You may also apply for IEC number online at http://dgft.delhi.nic.in/ It is mandatory to have an IEC number for exporting any kind of goods overseas.
You will need to acquire various other registrations with following authority
- Sea Port Customs or Air Port Customs depending on the mode of export
- Central Excise Department
- Export Promotion Council to get Registration Cum Membership Certificate(RCMC)
- Sales Tax Authority
Set up Your Office
It is not that your office needs to be well-decorated and furnished and be located at the business park. You should set an office in the area where the houses can have stress-free access to your business and from where you can perform your business related tasks easily. You may select a location like an industrial area or nearby to a busy marketplace.
Create a Website
Since today the world is becoming quite hi-tech with all the latest smart technologies, it is a good decision to make your business online. Develop your business website. It will make your trade more approachable to the clients all over the world. You can also showcase the benefits and features of your fruits vegetables export business along with the best offered price and discounts.
Find the dealers
It is very important that you make links in this type of business. You may contact the embassy in your country where you can demand the trade directories, lists or information about the suppliers. On the other hand, you may also try and discover competent specialists in like an advocate or an accountant that will benefit you in finding the trustworthy suppliers. You may also communicate with the Chamber of Commerce who can also assist you in this task.
Approach the Suppliers
As soon as you have recognized the specific name of suppliers, the next step would be approaching them by introducing your business. You can provide information related to the background of your business by emphasizing the probability of the fruits vegetable market in the overseas. You can also tell them why you are the best player in this field at present.
Find out the Customers
You have to find out the probable clients for your business by marketing the services that you are going to render. You have to explore about the sellers in your target area. It is essential that you detect your opponents in the nations in which you desire to get in and decide appropriate pricing for your fruits and vegetables.
Hire the merchants, traders, and agents
You are required to hire the merchants, traders, and agents at overseas on the basis of the commission that you will give them on a deal. In order to find trustworthy sales representatives, you may have to contact the Chamber of Commerce in the nation in which you want to export.
Contact a shipping company
You have to look out for a consignment forwarder or a freight shipping company that will help you in a shipment of your products.
Hence, your main aim should be to concentrate on the growth of your business. When you are more attentive and strong-minded, you will surely turn out to be successful fruits and vegetables exporters.
Besides the above steps and points, if you still have more information or view regarding the fruits vegetables export business; you can share it with me as it will help in making this article more informative and useful to my readers.