If you are looking to start a new profitable business, then you must consider dairy products business. As per various reports of government and non-government agencies, there is huge demand for dairy products in the country. Thus, it is a business that has little chance of failure. Interestingly, the best part of this profitable business is that you can start it from only Rs 5 lakh and earn up to Rs 70,000 every month. The government help is also provided to start Dairy Products Business.
Dairy Products Business: A Profitable Business Idea
Modi Government Help under Mudra Loan
There will be a capital arrangement to start the Dairy Products Business under the Prime Minister Mudra Loan. Under the Mudra scheme, the government will not only help with money, but will give you information about the entire project. But, it is important that you prepare beforehand for this business.
Dairy Products Business Cost/Expense
To start a dairy products business, it is important to know the cost of the project. You can make and sell flavored milk, curd, butter milk and ghee in it. According to the project profile prepared from the Prime Minister's Mudra Scheme, a project can be prepared from about Rs 16 lakh 50 thousand. Here, you will have to arrange around Rs 5 lakh, in which the bank will give 70% of the money under the Mudra scheme. From the bank, you will get Rs 7.5 lakh as a term loan and Rs 4 lakh as a working capital loan.
Dairy Products Business: Spend on raw material
As per the project report, you have to take about 12 thousand 500 liters of raw milk in a month, while buying 1000 kg of sugar. Similarly, you will also have to arrange 200 kg flavor and 625 kg spice and salt. You will spend about Rs 4 lakh every month on these things.
How much will be the turnover in Dairy Products Business?
As per the project profile of the PM Mudra Scheme, if you do this profitable business, then you can sell about 75,000 liters of flavored milk in a year. Apart from this, about 36,000 liters of curd, 90,000 liters of butter milk and 4500 kg of ghee can be made by selling. Thus by this, you can do a turnover of about Rs 82 lakh 50 thousand.
Dairy Products Business: Profit
If you sell Rs 82 lakh 50 thousand in a year & your expenses will be about Rs 74 lakh 40 thousand throughout the year, this will include cost and interest at the rate of 14% on the loan. In this way, you will have a net profit of about Rs 8 lakh 10 thousand in a year.
Dairy Products Business: Space Required
Around 1000 square feet of space will be required for this profitable business. It has a processing area of about 500 square feet. About 150 square feet of refrigeration room and 150 square feet of washing area, 100 square feet of office space and toilets will require 100 square feet of space.
Machines Requirement
According to the project report, machines such as cream sprayers, packing machines, autoclaves, bottle capping machines, refrigerators, freezers, cane coolers, copper bottom heating vessels, stainless steel storing vessels, plastic trays, dispensers, fillers, salt conveyors and sealers etc will be required for dairy products business.
