Jaggery Making Unit Project Report

Description

It is important to learn how to write Jaggery Making Unit Project Report if you want to start this new venture in India. You cannot start this business with your capital as one always requires funds from banks or financial institutions to set up a venture these days. The banks always check jaggery-making unit project reports so that they can decide whether to give you a loan or not.

Jaggery production unit business plan is crucial so that you know every detail about this business-like investment, land, raw material, machinery, profitability, strengths, weaknesses and a lot more. Thus, downloading the jaggery manufacturing business project report will provide you with a lot of guidance that you can use at every step you take in establishing your business. 

Jaggery is made from sugarcane juice and is bought and consumed in every family, restaurant, eatery, sweetmeat shop etc. In crude form, Jaggery has industrial uses also. In rural areas, it is consumed as a substitute for sugar. Many technicalities are involved in manufacturing jaggery, and it is a capital-intensive business as well.

To produce jaggery is not tough nor does it involve much investment. Since the sugar industry is properly developed in India and is one of the largest industries in India after textile. It generates rural employment facilities and plays a crucial role to boost the economy of the country as well.

Jaggery Making Unit Project Report

You can choose jaggery manufacturing business as it is among the top food business ideas in the country. Jaggery production unit project report is the best if it contains every essential detail, tip and strategies that you need to know while you start this business. It is helpful and provides knowledge to chartered accountants, students, entrepreneurs and all others who wish to have deep knowledge about this project. Jaggery is an Indian product that has good application in households. It is used day to day in preparing food. Being rural industry jaggery can be manufactured in the areas where sugarcane grows like Bihar, Maharashtra, Gujarat etc.

Jaggery is manufactured in Sugar Industry as it is one of the most developed industries in India. Sugarcane cultivation is very important for the production of jaggery. You can set up an automatic jaggery plant for the production of jaggery. It helps you to produce jaggery by crushing sugarcanes so that their juice is extracted, clarified, processed and converted into jaggery.

The liquid jaggery is processed and crystallized into solid form. The jaggery manufacturing industry has numerous plans that are widespread as per the demand in the market that is high. In India, around 200 tonnes of jaggery are produced annually with the help of automatic jaggery plants.

Jaggery Business Market Overview 

Jaggery being the natural sweetener is often known as non-centrifugal sugar that is mostly consumed in Asia and Africa. The raw form of sugar contains nutrients, minerals and vitamins. It therefore makes it a healthy sugar substitute.

The global market of this raw sugar jaggery has a huge demand and so is the demand for automatic jaggery plants. The automatic jaggery plant can produce around 10 tons of jaggery in a day, which is more than 200 tons of jaggery in every season. Jaggery production is popular in Africa and Asia. India being the largest jaggery producer produces it in abundance.

Market Growth

As the demand for jaggery is constantly high and it is expected to increase shortly because of its health benefits and health-friendly characteristic so your jaggery plant market is going to grab good market growth. As jaggery is manufactured in its season, so the jaggery plant has a growth rate of 7.4% at a CAGR and is estimated to reach 13.141 billion in the upcoming years. India alone contributes to 18.6% of jaggery globally by producing it.

Market Trends

Jaggery production is done step by step and in a systematic manner. This complete procedure needs proper care and steps to follow correctly. You can follow the below-mentioned steps to make the production of jaggery simple.

• Juice Extraction
• Filtration and Boiling
• Cooling and Packing

The entire process is huge but simple.

The production of jaggery doesn’t require multiple machines and plants because you can carry it out with an automatic jaggery machine. A single plant of jaggery can produce tons of jaggery in no time. The main raw material is sugar cane which needs to be available in abundance. A fully developed and grown sugar cane can be used in making fabrication of jaggery products.

Market Potential

Production of jaggery is dependent on the sugar cane growing belt. You can easily start a jaggery manufacturing business in UP, Bihar or Maharashtra. Jaggery is a product that already has a reputation in the market, so you won’t need to make much effort in marketing it.

Being one of the traditional items used in Indian cooking, the demand for jaggery is in both urban and rural areas. It is demanded in everyday cooking as well.

Jaggery manufacturing units are mostly in rural areas but if you are planning to set up your jaggery manufacturing plant then you must establish it somewhere near the area where sugar cane is cultivated. This will help you reduce your transportation cost.

You need not set up the infrastructure as other businesses because jaggery is cooked in an open area.

Health Benefits of Jaggery

Jaggery is popular because it has varied health benefits if consumed. It has more nutritional value than sugar. Here are the benefits of jaggery.

Improved Digestive Health

In India jaggery is widely consumed considering its health benefits. It is common to eat jaggery after a meal. People believe that it helps to digest food and promotes regular bowel movements by stimulating it. It is the best option to prevent constipation. Jaggery is a source of sucrose although it has no fibre or water content.

Prevention of Anaemia

It is believed that jaggery has iron in centrifugal sugar that is consumed by the human body in more quantity than in other food stuffs. Jaggery contains 11 of mg iron per 100 grams. This is quite good for human consumption.

You cannot consume 100 grams of jaggery in a go because just a tablespoon or teaspoon is consumed.

Better Immunity Function

In India, tonics usually contain jaggery. It is used to cure various ailments. It is observed that minerals and antioxidants present in jaggery can support the immunity system in our body and people can recover from illness too. The illness that can be cured is the common cold or flu. It is observed that oral zinc and vitamin C supplements can decrease the length and severity of cold and it is not found in much quantity in jaggery.

Which products can I manufacture in Jaggery Manufacturing Plant?

Jaggery manufacturing is one of the most profitable business ventures in India. You can manufacture the following products.

• Regular Jaggery
• Ayurvedic Jaggery
• Organic Jaggery
• Jaggery Cubes
• Jaggery Powder
• Jaggery Ganesh
• Jaggery Modak
• Jaggery Chikki

Raw Material

The raw material to produce jaggery is mature sugarcane along with okra or soda that is available in local markets. You also need to arrange jute gunny bags so that you can pack the manufactured jaggery in them.

Jaggery Manufacturing Process Flow Chart

It is not very complex to manufacture jaggery. It is simple and just requires the crushing of sugarcane so that its juice can be extracted. Later filtration is done, and sugarcane juice is boiled for concentration and then it is cooled and solidified to make jaggery blocks. The juice needs to be extracted in conventional crusher and then filtered and boiled in shallow iron pans.

During the boiling process, chemical bleaching agents or ladyfinger are added to clean the juice and the required batter is removed to give dark golden colour. The boiled juice is cooled in the moulds to become jaggery and then you get to see the jaggery cubes.

The moulds are available in specific sizes, and it depends on the weight of the jaggery block which is usually 1 kg. The blocks manufactured are packed in jute gunny bags and dispatched for sale. The jaggery yield rate is 10%, which makes 100 kg of sugar cane can yield 10 kg of jaggery.

Flow Chart of Manufacturing Jaggery

• Harvesting Sugarcane
• Preparation Of Juice Extraction
• Juice Excretion
• Boiling and Soda Adding
• Cooling in Cube Moulds
• Packing and Dispatch

Infrastructure and Premises

The total area required to set up a jaggery manufacturing plant is 1200 to 1300 square feet so that smooth production can take place. It is assumed that you are arranging premises on lease.

The area needed for installation of an automatic jaggery plant and produce jaggery is fastly developing and has contributed to increasing jaggery production. If you want to enjoy a problem-free and smooth production experience in the jaggery business, then you can hire around 10 people to handle the working of your jaggery plant.

Moreover, the production and sale in the jaggery business are profitable. The production is seasonal but the jaggery industry has maintained good market and sales revenue annually always.

Machinery and Equipment Needed for Jaggery Making Unit

Double Roller Sugar Cane Crusher

It has a capacity of 5 tons per day. It is a machine that helps to crush the extracted sugarcane fibres so that sugarcane juice can be extracted efficiently. You require 1 double roller sugar cane crusher. Its cost is Rs 150,000.

Storage Tanks

These tanks are used to store the extracted sugar cane juice obtained after crushing sugarcane. You need to buy 5 storage tanks. The cost of each is Rs 25,000. You need to spend Rs 1,25,000 to buy them.

Steel Pans for Boiling

The capacity of steel pans that you have to use for boiling is 500 to 1000 litres. These pans are used to boil the concentrated juice of sugar canes. You have to buy 1 steel pan costing Rs 95,000.

General Hard Tools

These are a set of tools used by the operators and workers to do various tasks in the jaggery plant so that their work can go easy. These tools help to do the work that machines are not able to do like scrap away extra jaggery collected in pans. These tools may cost you Rs 50,000.

Jaggery Moulds

Jaggery moulds are the moulds used to give shape to jaggery. Concentrated jaggery is added to jaggery cubes. You can buy 10 moulds costing Rs 10,000 each. Spend Rs 1,00,000 on moulds.

Marketing Strategy

As urbanization is increasing day to day, this is offering a huge market for readily available jaggery and jaggery powder that is attractively packaged. You can merchandise it in organized markets like departmental stores, supermarkets or malls.

A direct marketing strategy can be used to promote your product in the urban market area. As a producer, you can also enter into agreements by supplying jaggery or jaggery powder to big players or retailers and they can further sell it with their brand name or private labels.

Jaggery powder can also be sold to business houses that deal in bakery or confectionery items. Jaggery can also be promoted as a healthy alternative to businesses which use refined sugar. Jaggery can also be marketed in restaurants and more food service providers.

You can package jaggery in small quantities also and sell it in cafe chains, hotels or restaurants. Ayurvedic medicines and the health industry is another avenue where you can sell jaggery in cubes or powder. Pharmaceutical companies are also your target audience. Jaggery can also be exported to other countries. Attractive packaging and hygienic benefit can help you progress in this business.

There are E-Commerce companies also where you can sell your quality product and it can be utilized well.

SWOT Analysis for Jaggery Manufacturing Plant

Strength

To manufacture jaggery is easy as its cost of investment is minimum, and efforts are less too because you can install automatic jaggery-making machines in your plant.

Jaggery Production Business plant can be set in any location. Preferably it should be near the cultivation area of sugar cane.

Jaggery manufacturing unit doesn’t require the specific education background of the owner of the plant. The employees can also work and learn efficiency in this business.

Weaknesses

The profit in the jaggery business is limited at the initial stage of the business because in the starting you may have limited clients and the profit margin can be low.

Jaggery production is not easy to maintain as it has high overall expenses.

Opportunities

Jaggery business in India has an opportunity to sell it online and export it to other countries also. It has an online and physical market.

Jaggery production business has a good scope of sales in hotel restaurants, cafes, street food stalls, schools, colleges, canteens and food mess.

Threat

The major threat in this business is from competitors and it may be tough to face competition until your brand creates its good name.

Modern cooking ideas and techniques can bring down the use of jaggery and you may have to reduce the price too.

Marketing Plan for Jaggery Business

Here is the market plan for production of jaggery in India.

When you begin to promote your business, make sure that your samples are distributed for trial. The samples need to have good quality so that trust is developed to assuring the quality. You can visit food places like restaurants, cafes, hotels, street stalls, social places etc to promote your product and provide samples there.

You should make a registration for B2B websites so that you can start online selling jaggery. Begin to prepare and manufacture similar products in your plant only. Like along with manufacturing just jaggery, you can manufacture and sell jaggery powder also. You can even sell sweet dishes made of jaggery and promote them as an important ingredient for many dishes and purposes.

You can plan to build a strong network on social media and grab customers attention, suppliers, clients, investors and distributors etc. It will help you maintain good relations with other parties and develop a strong bonding to grab more deals.

Make hoardings and banners to paste around public places and near residential areas so that people become aware of new jaggery products. You can mention discounts, low rates and superior quality. You can also provide free samples in the initial stage.

Try to collect regular feedback from the customers about the price, taste, quantity, features, packaging and quality. Try to improve over your product and guide employees to maintain quality and provide good service.

Supply Chain Management

Here are the supply chain factors that you must consider while manufacturing jaggery in India.

Planning of business is essential for the successful running of your enterprise. Plans should be made for increasing market demand, adopting marketing techniques, arise the need for your product, and rate determination and quality of your product.

Once you plan over these things, preparation for arranging a place for production starts. The location needs to be set for jaggery production and it should have favorable weather conditions for the production of jaggery. In places of high temperature, jaggery becomes hard and difficult to pack.

When the resources are arranged and the plant is set for working, production takes place and quality assurance is checked as per FSSAI Guidelines and make sure jaggery is not adulterated. Preservation techniques are adopted for freshness.

The manufactured lot is proceeded for packaging and delivered to customers and target market. It is passed to retailers, wholesalers, suppliers and customers.

Financial Expenses made in Jaggery Production Plant

• Production unit and place on Lease
• Machines and Tools
• Electricity Bills
• Labor
• Packaging utilities
• Transportation

Which are the important Licenses Required to Set Up A Jaggery Manufacturing Plant

• FSSAI License 
• Firm Registration  
• Current Bank Account 
• Trademark 
• GST Registration 
• Trade License 
• Business Pan Card 
• NOC from Fire Safety Pollution Control Board.

Investment required For Jaggery Making Plant

The success and business scale are dependent on a few factors like an investment that you have to make in your business unit and select your area of production. The larger the area, the large the scale of production.

The location is an important factor to consider. The location of the manufacturing unit plays an important role. To initiate a full, fledge jaggery business unit, requires land of 1300 to 1500 square feet. This area depends on your choice of machinery and its installation.

The raw materials are easily available because the main is sugar cane. The investment is only based on the choice of machinery, equipmentmen’s and tools that you purchase. The investment in jaggery manufacturing plant is around 15 to 20 lakh rupees.

Sample Project Report Format for Jaggery making Unit

In our jaggery-making unit project report format, we have covered technology details, its diagrams, flow chart etc. You can download it as and when required or deem fit to include. Also, you can prepare in-depth financial calculations which are necessary for the Investor/bank. 

Contents of Jaggery Making Unit Project Report

Conclusion Of Jaggery Making UNIT Project Report PDF

The detailed project report on jaggery manufacturing plant contains all important information that can be used by you in setting up your plant and starting manufacturing. It contains all the important details about finances, marketing and other important stuff. You will be able to use it as a guide in making important decisions for your business. As jaggery amla is also good for health. You can also plan to start amla business in India.

Frequently Asked Questions On Jaggery Manufacturing unit Project Report