Jaggery is a major sweetening agent in India just like sugar hence it becomes very important to talk about the Jaggery Manufacturing business. If we talk about the sugar industry in India, it is a very well-developed industry and is the largest industry after the textile industry. Hence it provides employment opportunities in rural areas and plays an important role in the Indian economy.
As we all know very well that sugar is produced by using sugarcane juice as raw material, similarly in Jaggery Manufacturing also sugarcane juice is used as raw material i.e. Jaggery is also produced from sugarcane juice. And jaggery is not only used in individual households but has also seen widespread use in eateries, restaurants, clubs, and hostels.
Apart from all this, it also has some industrial applications. As far as sugar manufacturing is concerned, there are many technical aspects involved, so a lot of investment is required to manufacture sugar. Whereas in comparison Jaggery Manufacturing means it is much easier to produce jaggery and the capital investment is also less and the market for it is continuously increasing due to the wide applications of jaggery. That’s why today in this article we are trying to give information on the topic of how to start a business of making jaggery.
What is a jaggery-making business? (What is Jaggery Manufacturing)
If we talk about Jaggery, it is a typical Indian product, it has been used in daily food preparation for many uses. And it is also used as a sweetening agent as a substitute for sugar, so it is also used in making many sweet dishes.
Although the market of jaggery in India is scattered as most of the small units are involved in this business. Therefore Jaggery Manufacturing Business means to produce jaggery commercially and this business can be started easily in those states where there is a good crop of sugarcane. These states mainly include Maharashtra, Uttar Pradesh, Gujarat, Bihar, Jharkhand, etc.
Jaggery sales potential
If we talk about the sale of jaggery, then its sale is continuously increasing manifold in urban areas, rural and semi-urban areas. At present, it must be used in almost every household in some form or the other. If we talk about jaggery, then its demand remains in the markets throughout the year, but when it comes to Jaggery Manufacturing i.e. jaggery production, it is produced only during the sugarcane season.
That is, when sugarcane is cultivated in the fields, jaggery is produced during this time, that is why such factories work only for 6-7 months in a whole year. As we have mentioned earlier that jaggery is not only used in homes but is also used on a large scale by restaurants, roadside dhabas, eateries, hostels, clubs, and caterers, perhaps this is the reason. Its demand remains constant in the markets throughout the year.
Talking about the spoilage of jaggery, nothing happens to it for a few months, that is, it can be stored safely for a few months. And in India, Jaggery Manufacturing Business is done in many states, but Maharashtra, Uttar Pradesh, Bihar, and Tamil Nadu have a leading position in its production. Therefore, looking at the growing market for this type of product, it can be said that there are ample opportunities for new manufacturers in this business as well.
How to start a Jaggery-making business? (How to Start Jaggery Manufacturing)
Although starting Jaggery Manufacturing Business is a much simpler and less costly business than starting a sugar manufacturing unit. But this does not mean that there is no cost at all to start this business, but the truth is that to start this type of business also lakhs of rupees need to be invested.
Because to start this type of business also the entrepreneur needs land, building, license and registration, machinery, raw material, employees, etc. So let us know how a person can start his own jaggery-making business.
1. Take stock of the availability of raw materials
If you are serious about starting Jaggery Manufacturing Business then first of all you have to understand that for this business the entrepreneur gets availability of raw material only for a few months. That is, engage in this business only in the sugarcane season. Factories get raw materials so that they can operate only six to seven months a year.
Perhaps this is the reason why no big player has dared to enter this business so far and the demand for jaggery is being met locally by very small manufacturers.
Although sugarcane is cultivated in every state of India, so the entrepreneur can start this type of business from anywhere, but despite all this, the entrepreneur needs to know the area in which he is planning to set up Jaggery Manufacturing Unit. He must take stock of how much sugarcane is produced in the area. So that he would be able to buy raw materials for his business at reasonable prices.
2. Land & Building for Jaggery Manufacturing
To start this type of business, the entrepreneur may also need space for the manufacturing site, space for inventory, office, etc., apart from the space to store the raw material and produced goods. Therefore, 600-800 sq. ft. space may be required for Jaggery Manufacturing Business. In the initial phase, the entrepreneur should take an already constructed building for rent, and not by space and building for this business.
And the entrepreneur doesn’t need to rent a place or shop for this in any crowded or local market, but the entrepreneur can plan to start this business anywhere where there is a good arrangement of roads, water, electricity, and workers. Is.
3. Required License and Registration
Jaggery Manufacturing Business is mainly being carried out by the unorganized sectors but if the entrepreneur wishes, he can register his business as a Proprietorship.
As far as tax registration is concerned, GST registration is not mandatory to the extent of a certain turnover, but if the entrepreneur wishes, voluntary GST registration can be done. Apart from this, there may also be a need to get a trade license from the local authority like Municipal Corporation, Municipality, etc. And being a business related to food, the entrepreneur may also need a food license.
4. Machinery and Raw Materials
Talking about the Jaggery Manufacturing business, the main raw material used in this business is sugarcane because jaggery is manufactured from sugarcane juice. The following is a list of some of the major machinery and equipment.
- Double Roller Sugar Cane Crusher With Motor
- Plastic Juice Storage Tank
- large iron pot with handle etc.
- storage tank
- Sturdy iron scraper with a long handle
- Sealing, Packing & Filling Machine
- measuring instrument
- Other tools and equipment
5. Jaggery Manufacturing Process
If we talk about Jaggery Manufacturing Process, then jaggery is produced on a very small scale by groups of farmers. In this method, the sugarcane juice is first extracted by the farmers and then this juice is filtered or filtered. After that, the filtered sugarcane juice is put to boil in large iron vessels, and during the same boiling process, soda or bhindi juice is added in the required quantity.
And during the process of this boiling, a brownish foam keeps coming up from this juice which is continuously removed to get the golden yellow color of jaggery. When the boiling juice becomes thick inconsistently, it is poured into medium-sized aluminum cans where the jaggery blocks are made after cooling.
However, the size of the block of jaggery can be anywhere from 1 kg to 12 kg, and finally, the jaggery is packed in gunny bags and sent to sell in the market. In Jaggery Manufacturing Process, ten kg of jaggery can be made from about 100 kg of sugarcane.