Worried about how to start a business with little or no knowledge and also with the little amount of money! Here I suggest you a perfect business idea. Start a ginger garlic paste manufacturing unit in small-scale basis as it neither demand vast technical knowledge and skills nor huge amount of capital investment. Moreover, the product has versatile applications in food industry hence experiencing a growing market both in urban and rural areas.
Market Potential of Ginger Garlic Paste:
As an entrepreneur when you determine to start any manufacturing unit, first of all, you must see the market potential of that particular business. With an average capital investment, you can easily start this manufacturing unit. If you have insufficient business space you can even start this business from your home too. As Indian people are the main consumer for this product, it has the vast market throughout India. These days, working people and young age group prefer to have instant foods, flavored and spicy foodstuffs and instant mixes. Being an essential culinary ingredient, ginger and garlic paste is consumed on a daily basis in every Indian household.
Apart from the domestic use, the food processing units like hotels, restaurants are also the major consumers of this product. This is why this food processing unit has a bright prospect not only in India but also throughout the world. Its present market share is almost 25-30 Cr with a growth rate of 30%.
Uses and application of ginger garlic paste:
Both ginger and garlic roots have food and medicinal applications. For this ginger garlic paste manufacturing business, it has growing popularity because this cooking-paste is one of the main condiments in Indian cuisine. This paste is manufactured as a delicious additive to any non-vegetarian and a few vegetarian meals (especially in Hyderabadi cuisine). It is also used as flavoring agent in tomato ketch-up, sauce, mayonnaise, meat sausages, pickles etc.
Ideal location for Business Set Up:
The best location to set up ginger garlic manufacturing unit is where the raw material is abundant though any industrialist likes any commercial area to set up this unit. The company must have well transport and shipment facility, good docking place and adequate electricity etc. As ginger and garlic are grown excessively in many states, these states are ideal to set up the production unit.
Raw Material & Packaging of the Paste:
Raw materials used in this manufacturing unit are—
- Fresh quality of ginger and garlic,
- Food preservatives,
- For packaging-Poly-pouch, outer cartoons etc.
Source of Raw Materials:
The high-quality garlic and ginger are the only raw materials used for garlic ginger paste. Only the high quality gives proper color, aroma, and texture of the paste. These raw materials are collected directly from the farmers. Equipment, know-how of the production process, hiring the experienced machine operators and proper funding are other requirements.
Ginger Garlic Paste Manufacturing Process:
The production follows a chain which starts from approaching the farmers for garlic and ginger or the middlemen who supply the raw materials. After collecting the raw materials, these are washed under water jet pressure and cleaned properly. Then, both ginger and garlic are de-skinned by skin peeling machine and then with a crushing machine, the same is crushed. Thereafter, the output is put into a pulping machine for making of fine paste. Required quantity of water, salt and turmeric are added in this step. Finally, the paste is transferred in stainless steel vessel for mixing preservatives.
Now it’s time to vacuum packed with hot sealing machine in pouches of different sizes. When packaging is done, the paste is ready for sell. The whole production process is shown in this ‘flow chart’–
*Sourcing of the raw materials→ cleaning of the raw materials→ De-Skinning of the raw materials→ Crushing of the raw materials→ Pulping → Adding of Preservative → Packing of the final product.
Manufacturing License & Registration:
In order to set up this manufacturing unit you need different licenses and permission from the local government authority. Main requirements are—
- Trade license,
- Company registration,
- Insurance coverage,
- Certification number from ‘National food and drug authority,
- License from Pollution Control Board (‘Consent to Establish’ & ‘Consent to Operate’)
- Fssai license given by ‘Food Safety and Standards Authority of India’.
- Vat Registration by ‘Sales Tax Department’.
Before start manufacturing ginger garlic paste, you have to qualify a ‘standardization test’ for the product.
Plant & Machinery:
In order to start the ginger garlic paste manufacturing business, you need to collect plant and machinery from any reliable supplier. Your plant may be of two types—
- Semi-automatic for small-scale unit,
- Fully-automatic for the large-scale unit.
However, the common machinery for this production unit is—
- Pulping, packing, weighing, sealing and cartoon machine,
- Water Jet Washer,
- Skin peeling machine
- Fruit mill or crusher etc.
Finance for Production:
Finance is the most crucial part of this business. You have to calculate the fixed cost (the cost for plant & machinery, the cost for land etc.) and the operational cost or also known as working capital (cost for raw material, transport cost, staffing etc.). Initially, it is better to start your business at your own cost. Later, you may apply for bank loan.
Flow Chart for Marketing Procedure:
Brand your product >>spend for proper advertisement to reach the customers (i.e. advertise through leaflets, business cards or handbills)>>sell your product to retailers or wholesalers or sell directly to trade fair or individual—you may export your product at a later stage.
The Packaging Requirements:
You may pack under 50 gm or 100 gm or 250 gm packet. You may use in the can, plastic containers, nylon pouch containers, and bottle.
When you get the full idea for production and financing and marketing, start your own manufacturing unit and be a successful entrepreneur. View the project report for ginger garlic paste manufacturing business.