A dry fruit business is the best business to start as a retailer or a wholesaler. I am going to share the details of profit margin in dry fruit business, how to start dry fruit business in India, dry fruit packing business is also the main part to know about, and dry fruits wholesale business.
Overview: Dry fruit business market size.
The term “dried fruit” refers to fruit that has had its original water removed, commonly by drying it in the sun or using a drying machine.
Dried fruit contains antioxidants and fibre, which are just as good for your health as fresh fruit. However, throughout the drying process, Dried Fruit lost a tiny amount of its vitamins.
Top dryfruits producers in Industry.
Thanks to the rising demand for healthy and nutritious foods, dry fruit is one of the fastest-growing segments. According to industry estimates, this market is currently worth Rs 15,000 crore and is expected to reach Rs 30,000 crore by 2020.
Dry Fruits are currently mainly distributed by wholesalers or unorganized players.
With higher disposable income, greater affordability, appropriate pricing, consistent consistency, proper product contact, and younger products, this segment is no longer limited to offline delivery.
Sudeep Bhati, the founder of dryfruithub.com, has been in the wholesale market for almost two decades.
His wholesale market was limited to B2B transactions, and this paradigm was preventing him from building an exclusive customer base, although he was still unable to afford exclusive offline distribution.
For the advent of dryfruithub.com, he preferred internet distribution.
He does business worth 16 lakh a month via his exclusive online platform and has a large customer base of repeat customers.
“I used to get a lot of feedback from consumers for getting defective products,” Bhati said of the early difficulties.
I lost a lot of money at the beginning of my company because of bad logistics and packaging.” Gradually, he shifted to third-party distribution and changed the packaging of his products.
He has invested over ten lakh in his company so far, and it is now profitable.
Online delivery has opened the market for many tropical dried fruits that were previously unknown in India.
“I sold about 100 goods in about three categories,” Bhati said, “but exotic products like pumpkin seeds and yellow khajoor are generating a lot of traction.”
Bhati also said that the tier 1 sector has the highest demand.
With 5.5 lakh metric tonnes of raw cashew nut (RCN) produced annually, India is the major cashew-growing country in Asia-Pacific.
Cashew is cultivated in Kerala, Karnataka, Goa, Maharashtra, Tamil Nadu, Andhra Pradesh, Orissa, and West Bengal on the peninsula.
It is the world’s leading producer and exporter of cashews, accounting for 40% of global output.
Fruits that have been dried naturally or artificially using a process are known as dry fruits.
Market potential in India.
In the market, anything related to food goods is in high demand.
People in India are enthusiastic about eating, and they like experimenting with new spices and foods in whatever they eat.
However, the food-loving nation is progressively adopting a healthy lifestyle and embracing solely nutritional foods.
Anyone in the country who embraces a healthy lifestyle and constantly works for fitness will not miss dry fruits in their diet.
These nutritious foods give enough nutrients as well as a high level of energy.
The most common dried fruit classification is in the form of
Fruits- that have been dehydrated or dried and pistachios.
You can start a dry fruit business in a variety of ways, depending on your financial resources, the availability of land, and the scale of your project.
- A dry fruit wholesale company
- a dry fruit retail company
- Dry fruit company online.
Based on dried fruits and nuts, as well as their applications
- Almonds are found in snacks, cakes, milkshakes, and pies, as well as being a cooking ingredient, a flavoring for butter and spread, and a beauty ingredient.
- Cashews are used in authentic salads, as a cheese substitute, in dry cookies, as flavored butter, and in desserts.
- Dates: a common way to break a fast, as a gift, and for health reasons.
- Raisins are a common topping for cakes, cereals, and chocolates, as well as a food ingredient.
- Walnuts are eaten for tea, for nutritional reasons, in traditional Indian desserts, and as a topping on brownies and cupcakes.
Read more: Paper plate making business
License and registration required for dry fruits wholesale business.
- Registration for the GST
- FSSAI registration and permit MSME registration Trade license
- Such details about the IEC registration
The port of Nhava Sheva is India’s most important port for importing dry fruits.
Your dry fruit business’s main customers are as follows:
- Traditional Indian sweet shops need almonds, raisins, and cashews to make sweet rice cakes, cookies, barfis, and cathlis, among other things.
- Dessert shops need dry fruits such as walnuts, hazelnuts, almonds, and cashews to be used as toppings on desserts or to produce dry fruits-flavored cupcakes, brownies, and other baked goods.
- Dry nuts, especially almonds, are used in the dairy and confectionery industries to make sweetened, unsweetened, and flavored almond milk for diet and health-conscious consumers.
- Baking shops: The use dried fruits as an ingredient or as a topping in pies, croissants, cookies, and other baked goods.
- Supermarkets and service establishments: These stores stock up on dried fruits to satisfy the health and food needs of customers as well as to fulfill the celebratory and festive gifting demands of customers on occasions such as weddings, Ramzan, Diwali, Holi, Christmas, and other holidays.
- Catering services require dried fruits as part of their operation to serve roasted dry fruits such as cashews, almonds, and other nuts as appetizers at weddings and events.
- Skincare products industries: Almonds are used by the cosmetic industry to make natural and organic skin creams, mists, and face washes, among other things, to meet the beauty needs of their customers.
- Online grocery platforms: Online grocery platforms such as large baskets, grofers, or online gift-givingregularly services include dry fruits to meet the demands of online consumers for gifting and exercise.
Area requirement for dry fruit packaging business.
You should concentrate on locating the ideal retail location for your Dry fruit business.
Choosing a top retail location for your business should be a priority.
While it may be tempting to choose a less expensive site and hope that your marketing efforts will bring in a consistent stream of customers, there are instances when being in a busy section of town is the best option.
A downtown site may be more expensive than one a few miles outside of town, but the more expensive alternative may bring in thousands more customers every year.
Find out where your consumers spend their time when choosing a place.
If the majority of your clients reside outside of town, building a downtown site may be more costly and result in fewer consumers.
Make an effort to locate your retail outlet in an area where your target audience spends the majority of their time.
While that recommendation may seems easy, businesses sometimes place more emphasis on selecting a beautiful site than on narrowing down where their target market resides.
You could possibly have a place with additional storage space for dry fruit business. You may need more room if you intend to have a lot of inventory since you sell a lot of things at low prices.
Other businesses may just offer a few high-end products and may not require a great amount of storage space. When choosing a place, keep inventory in mind.
Large scale: 1000-1500 sq ft Small scale: 100-200 sq ft
The raw materials needed to start this company are as follows:
- Dried fruits from other countries
- Nuts Label Packaging materials
Dry fruit business cost and investment:
Because the dried fruit types are a bit pricey, you’ll need to invest between Rs. 3 lakhs and Rs. 5 lakhs to get started.
you can do dry fruits wholesale business with 3-5 lakh rupees investment from your home. but if you wants to open a store, then you will need 5-10 lakh rupees investment to set up dry fruit business store.
This dry fruit business cost is depend on location, type of store you want to open , rent of store and interior also.
This money will be used to start a small dried fruit business. You can also start a large-scale company, although this might be dangerous.
So, start small to build a brand, and then expand to a larger scale.
Dry fruit business cost:
Friends, now that you know how much money it takes to start a dry fruit company, and how much money it takes to start this business, I’d like to tell you that you can start this business online with as little as 50,000.
If you want to start tiny, you can buy the products in Whole-cell, open dry Fruit, and pack it yourself to sell at a better price.
profit margin in dry fruit business
The profit from the dry fruit industry is very good.
however, you should be mindful that the market for dry Fruit rises dramatically during the winter; as a result, the rate of dry Fruit often increases.
thus, you should stock up on dry Fruit before the winter arrives.
Do that, and you’ll be able to sell it at a cheaper price in the winter.
You will benefit from 40 to 50 % in dry fruit in this manner.
if you are selling it by packaging it yourself, it will be much more beneficial if you market it well, and you will be able to easily sell it for 30 to 35 months.
Furthermore, dried fruit enterprises do not offer under-seasoned items with a danger of only a few days at a time.
People are now more attracted to good eating habits even during special events and holiday seasons, thanks to the rise in living levels.
As a result, you may expect the profit margin to increase even more during festival seasons.
Franchise business opportunity:
You can also go this path if you wish to start your own company by purchasing a dry fruit franchise.
There are several dry food franchises available today from which you can benefit. Dry Fruits’ franchisee corporation aims to supply you with high-quality merchandise at reasonable prices.
Keep in mind that you must provide full details about the business from which you wish to obtain a franchise, as well as whether the FSSAI accepts the company.
otherwise, there are several fraudulent dry fruit franchise firms in the industry today.
It encourages people to take the money and, later, to spread the word about their website.
It is well established that the corporation from which they obtained the franchise is a scam, and your business may be shut down as a result, so take a franchise only after thoroughly testing everything.
Precaution in business:
Finally, we can only say that the better your dry fruits are, the longer your sales will be successful. Dry fruits, by the way, are naturally both good and bad. Dry fruits can never be stored in the refrigerator. They should get spoiled if this is not done.
Dry fruits that have been properly checked in the lab should be held, as should evidence of their consistency. You can make money by selling your dry fruit packets online until your company has proven to be successful.
Dry fruit packaging business.
Almonds and cashews are the most often packaged dry-fruit goods. In nature, dry fruits like cashews and almonds are pricey.
They have a larger particle size than grains or other snack foods, and are commonly packaged in pouches ranging from 50gm to 1kg.
Both the almond packing machine and the cashew packing machine have the necessity that because the product is expensive, the weight that is packed must be within allowed limits.
Otherwise, the manufacturer’s wallet will be drained.
The packing of dried fruit in packed form is done by hand in the majority of industrial organisations.
A team of three to four persons fills the bag, weighs it, tops up the material in the bag to reach the desired weight, and then closes it with a manual sealer.
This poses a number of difficulties.
To begin with, labour is not always accessible, and there is a great deal of reliance on a small number of individuals who develop quickness in weighing quickly on the weighing scale.
Absenteeism at high workloads, as well as disciplinary concerns, are a constant problem for most firms, as only a few individuals proficient in weighing quickly can accomplish the task.
Another issue is that, despite the fact that the weighing workforce is trained, there is no control or monitoring of the nett weight that goes into the bag.
As long as someone is there to keep an eye on the scales, the weight accuracy will be maintained.
As a result of the weight variance and sealing challenges that retailers and distributors worry about, growing sales becomes a struggle.
Controlling losses in the packaging of cashews and dry fruits, as well as improving the speed and effectiveness of packing, becomes critical in order to retain cost competitiveness.
The focus is now turning to conserving labour, removing talent from the cashew and almond packaging process, lowering electricity use, and reducing material use in the packaging process.
Dry fruits are packed in weights ranging from 50gm to 1kg, and one equipment should be able to handle the full range.
To be effective, a Dryfruit Packaging Machine must be able to avoid superfluous material from being packed, minimise packing time, eliminate reliance on talent in weighing and packing, conduct packaging in a sanitary way, and batch code marking and batch cutting.
A low-cost version of the almond and cashew packing machine, known as a semi-automated dry-fruit packing machine, is also available.
This machine uses the same filling technology as its fully automated cousin, with the exception that the bagger has been omitted to save money.
This system is ideal for a startup or low-volume operation that packs up to 2000 kg of 1kg packets in a single day.
What Is The Best Way To Promote Your Dried Fruit Business?
Create a website, come up with a catchy phrase, and upload an eye-catching logo.
To sell online, list all dried fruit products on your website.
- Decorate the shop counter with appealing packaging, display new deals in the window, and post signage to draw nearby customers.
- To get bulk orders, team up with local sweet shops and related grocery stores.
- Organize a ‘Sale’ at the shop on a regular basis to target new customers.
- Participate in food fairs, exhibits, or festivals where you can give away free food samples to draw visitors in.
- To make your brand more available, hand out business cards to partners, shop guests, and other team members.
- To make your store more available, list it in business directories.
How do you keep customers returning to your dried fruit business?
Your customers are the lifeblood of the business. Your business would crash if you don’t have a steady supply of customers. As a result, cultivating one-on-one relationships with your clients is crucial.
Furthermore, by fostering dialogue and engagement with your clients, you gain respect and a positive reputation for excellent customer service. The other part of this equation is the fruit and continuity.
Often strive for high-quality produce, a wide range, and equal, rational pricing.
In your dried fruit industry, what marketing technique would you use?
You will promote and market to a large audience using social media and business websites. You must therefore make sure that you take full advantage of the opportunities available to you.
Link your website or Facebook and Instagram pages with local merchants and developers, as well as local or national groups active in your culture.
Keep in mind that all advertisements aim to make the “brand” or identity recognizable to the general public. People would be able to identify your whereabouts if you engage in frequent social media practices.
How do you make money from your dried fruit business?
You may start selling related foods, vegetables, and other products. Sweet herbs, cane syrups, nuts, herbs, preserves and sauces, and baked products like bread and cookies are all excellent ways to boost your sales.
Inquire on what clients want or don’t want, and try to fill the vacuum. Customers also look in supermarkets and department stores for one-of-a-kind items that aren’t readily available anywhere.
The economy will begin to satisfy the demands of the general population and will promote the growth of your small businesses.
I hope this article will help you a lot more in your business. If you have any queries, you can ask in a comment below. I will try to add your valuable questions and their answers to my blog as early as possible.