How to Start an Ice Cream Manufacturing Business in India

How to Start an professional Ice Cream Manufacturing Business in India

Do you want to start a small scale ice-cream making business? This article contains a sample profile of the ice cream making project with machinery, cost, commercial production process, and raw materials etc.

Ice-cream is a very popular food item for people irrespective of age. Apart from this, it is an important dessert item in almost every celebration like wedding ceremony, birthday party, kitty party and office party.

Currently, retail sales of ice-cream are growing at anything. According to industry experts, ice-cream is a recession-proof industry. Although ice-cream sales increase in summer season, ice-cream is in good demand throughout the year.

The process of making ice cream is simple. You can easily purchase the necessary raw materials from the local market. From a single unit, you can produce different types of ice creams in different flavors. And finally, the ice cream ensures an inspiring revenue return for the enterprise. Therefore, we can conclude that ice cream manufacturing is a great way to start a food business in India.

10 steps in a professional ice cream making business

Step 1: Market Study

This is the first step to start any such project. Yes, you do not need to analyze whether there is a good demand for ice cream. However, you need to analyze what type of ice cream is in demand in your area.

What is the total market size in your area? Which products do brands work with? What is the retail price of the most popular type of ice cream? All these will help you decide to start your own ice cream business.

Step 2: Define Product and Business Model

Nowadays, ice cream comes in different colors, flavors and even different forms. Typically, ice cream bars are popular for bulk use. Ice cream parlors buy ice cream in weight. In addition, ice cream cups are popular in retail. So, you need to determine the specific type of ice cream you want to produce.

Additionally, it comes in various flavors and colors. Some of the most popular flavors are mango, chocolate, strawberry, vanilla, saffron pistachio, rose, butterscotch etc. Therefore, you need to choose the taste according to the taste of the local population.

Also, you need to formulate the business model. This means that you are going to sell products. The most popular and successful method is distribution. In this option, you will recruit distributors and they will distribute the product to dealers or retailers. Another popular option is distributing ice cream directly to retailers. In addition, you can consider selling ice cream in retail from your own ice cream parlor.

Step 3: Review the business plan or project

Before starting the unit, you must prepare a commercial ice cream manufacturing business plan or project report. In a business plan, you have to mention the financial aspects including business purpose, organization pattern, means of finance, production process and marketing plan.

A customized project report consists of two basic parts. These are technical aspects and project economics. The technical aspect includes machinery, raw materials, manufacturing technology etc. On the other hand, project economics includes project cost and profitability ROI.

Financial aspect

The total capital requirement here, including fixed capital and working capital, is estimated at Rs 19.57 lakh. This is purely a sample cost calculation. Your specific project cost may vary based on unit size and production output.

fixed capital

Land and Land Development Cost on Rent = 0.50 Lakh

Building / Civil work = 0.80 Lakh

Plant and Machinery = 6.40 Lakh

Diverse. Fixed Assets = 2.00 Lakh

Initial and pre-operative expenses = 0.60 lakhs

Contingency Provision = 0.65 Lakh

Total = 14.95 Lakh

7 days = 1.12 lakhs for raw material / packaging consumables.

Work cost for 1 month = 1.10 Lakh

Goods ready for 3 days = 0.50 lakhs

Receivable for 5 days = 1.50 lakhs

Total = 4.62 Lakh

Step 4: Arrange Finance

Depending on the project cost, you will need to arrange finance. Certainly, you can set up the unit with your own capital. In addition, you can apply for a bank loan. A number of subsidy facilities are also available for food processing units.

In the case of total project finance, you will need to submit collateral security. In addition, you can apply for machinery finance on hire purchase lease agreement. In addition, you can apply for overdraft or cash credit facility only for working capital requirement.

Step 5: Business License and Registration

In every business activity, business registration is required. And you can apply for the necessary license and permission only after obtaining registration. Apply for MSME Udyog Aadhaar registration for small and medium scale operations. It helps to get the government. Grants and subsidies

Any type of food business requires a suitable license under the PFA rules and a certificate of registration under the Milk and Milk Product Order. Additionally, you are required to license under the Packaged Commodities Rules of Weight and Measurement. It is advised that you consult with a small business consultant to get specific guidance.

Step 6: Establish the United Nations

After obtaining the necessary licenses and permissions, you will need to install the unit. First, choose the right place for the business. As you are working with food items, you need clean covered space with adequate water facility.

In setting up the ice cream making unit, you will need a power supply for operating the machinery. Choose a location that has a wide entrance. Generally, you can operate a small scale unit in an area of ​​1000 square feet. Ask the machine supply company to help prepare the floor plan before installing the machinery.

Step 7: Process Mechanism

Machinery plays an important role in small-scale unit operations. Therefore, choose the machinery carefully according to your specific requirement. Here, we have some basic machinery details available for your ready reference.

•  Refrigeration compressor with motor and accessories.
•  Complete cooling condenser with piping
•  Water spray assembly.
•  Liquid receiver
•  M / s. Brine tank
• Agitator fan assembly
• Thermocole
•  Push Cart Trolleys

 Ice-cream is complete with freezer valves, shut-off valves, etc. with expansion.

Complete set of electrical including motors

Mechanical accessories such as de-hydrators. Full set suction line, copper pipe, liquid delivery pipe, shut off valve etc.

Step 8: Collect raw materials

The main raw material in the commercial ice cream making business is milk. Apart from milk, you need whole milk powder, skimmed milk powder, emulsifiers, stabilizers, sugar and a wide variety of flavors. Also, you need packaging consumables like cups, cardboard boxes, etc.

Step 9: Business Income Generation Process

First of all, you will need to buy fresh milk. After receiving milk in the can, you can cool the can. After pasteurization, move the milk to the homogenizer. Here, add the required amount of skimmed milk powder, whole milk powder, sugar, flavor, emulsifier, etc.

The mixture is well incorporated and aerated until the homogeneous mass doubles its volume. Simultaneously, the mass cools. Then transfer it to Vata. Here, allow it to mature and flourish under mature conditions. Finally, transfer to a batch freezer for freezing, followed by storage under refrigerated conditions.

10: Quality Control to Create Professional ICE Crime

• You should prepare ice cream with cow or buffalo milk.
• You only have to use permitted food colors.
• The product should be free from mold and fungal growth.

In addition, it should be free from any fermented odor, coliform, salmonella, and streptococci bacteria

Ice cream will contain a minimum of 10% milk fat, 3.5% protein and 36% total solids.

And finally, you should apply stabilizing agents no more than 0.5% by weight.

In a country like India where the density of population is very high, making ice cream is a profitable venture for entrepreneurs. However, it is a working capital intensive business. Therefore, you should have clear knowledge about distribution and channel management