Aquaculture in India is growing at a rate of 4% annually since 2011.
今日、 farmers are supplementing their fish feed with farm-made feed as well as commercially prepared fish feed in order to cater to the nutritional requirements of the fish. This is done to ensure good growth and health of the fish and eventually increasing the profits.
Due to continuous demand, manufacturing of fish feed and supplying it to the local fish farms is an excellent sustainable business.
This business is a sub-domain of the much broader spectrum of Animal feed manufacturing.
Animal feed manufacturing
This business encapsulates a wide spectrum of manufacturing feed for cattle, aquaculture, poultry, and pets.
Keep in mind, predominantly animal feed industry in India caters to poultry and cattle feed.
I would recommend targeting a specific niche (e.g., feed for horses) within this broad spectrum instead of going for an all-purpose feed for all cattle’s or poultry bird.
I need not mention that the animal husbandry culture is only going to go up, and hence the demand for feed will also increase.
Organic manure biofertilizer manufacturing
Organic manure or biofertilizers are one of the oldest ways of nutrient replenishment of soil.
With technological advancement, synthetic fertilizers were taking the place of biofertilizers, but the demand for organic manure is increasing again as the trend of organic farming and demand for organic produce is going up.
Organic manure manufacturing does not even require a lot of raw materials as a significant portion of it is cow dung.
One of the key initiatives by the Integrated Nutrient Supply System (INSS) (Governments promotional program for improving soil health, crop productivity and management of agricultural waste) is promoting organic manure.
Sisal production and processing agriculture business
Sisal planting in India is not very competitive as not many farmers are growing it in an organized way.
India is still importing sisal for domestic use.
Sisal has got many uses.
Its fiber can be used to make rope, marine cordage and many other industrial uses.
It is also used to make a low glycemic index sweet syrup which is 1.5 times sweeter than sugar and can replace sugar or honey.
It is also used to make alcoholic beverages like Tequila.
Since India is still importing it, locally produced sisal will be highly preferable by local buyers because of lower price.
You will need at least 1 hectare of land to make this business viable. If you wish to extract the fibres of the leaf, I should advise that you do it manually to increase the profits. Later, when you expand with more capital, then you can get machineries for fibre extraction.
Micronutrient Fertilizer Manufacturing
India being the second-biggest consumer of fertilizers after China, has a massive fertilizer market.
The fertilizer market in India is projected to be of 137.95 billion USD by the year 2023.
To start this business micronutrient fertilizer 、 having knowledge of the chemical industry and chemicals like boron (B), copper (Cu), iron (Fe), manganese (Mn), molybdenum (Mo), zinc (Zn), nickel (Ni), and chloride (Cl) is essential.
You will have to hire a chemist who can design the chemical formulations if you do not have a background in soil and soil nutrients required for farming.
There is a decent amount of competition. Hence starting locally and tying up with the local distributor is the preferred way to enter the market if there is limited capital.
Botanical Pesticide Production agriculture business
The biopesticide market has a substantial potential to grow. Its global market valued 3.96 billion dollars in 2020.
It can be segregated into three categories, bioherbicides, bioinsecticides and bio fungicides.
They can be further classified on the basis of active substance like Azadirachtin (neem seeds), Matrine (Sophora plant), Nicotine (nightshade family of plants), Pyrethrin (chrysanthemum flowers), and Rotenone (seeds and stem of jicama vine plant, roots of several members of Fabaceae).
Unlike synthetic/artificial pesticides, organic pesticides are less toxic, highly efficient and provide long-term solutions.
The increasing consumer awareness has made this agricultural business even more profitable and scalable.
Organic herbicide / Weed Killer Production agriculture business
The harmful effects of chemical herbicides are gaining more and more attention. The number of herbicide resistance weed is on the rise.
In 2020, India even banned 27 chemical weed killers after confirming how harmful these herbicides are for our natural ecosystem.
Farmers are now resorting to organic home remedies for weed killing such as manual removal, soil solarization, vinegar weed killer (mixture of lemon juice, water and vinegar), egg water weed killer (water used to boil egg), gin weed killer and more.
This is a very good opportunity to introduce an organic herbicide. They sell at a very good price in the market.
Keep in mind that, unlike synthetic herbicide, an organic weed killer is non-selective in nature. They are always used along with manual weeding and must be reapplied after an interval as the results are temporary.
Meat processing and packaging agriculture business
I must tell you that meat processing is a capital-intensive business as it requires you to set up a plant with machineries for slaughter, cleaning, chilling, packaging and testing. But this also makes it a low competition business as not many people are doing it because of the high initial investment.
Meat processing of chicken, seafood, goat, sheep and pork are good agribusiness ideas.
You will have to acquire a proper trade license from the local Municipal Corporation and a food safety license.
Packaged meat is highly lucrative in this era as more and more people are ordering food and groceries online and refrain or do not have the means of going to the local butcher market.
If you have limited capital, start with local supply first. Promotion and marketing of your brand are crucial and will require an initial investment.
Agricultural Service business
Agriculture business consulting
This is a business where you will have to have farming experience, or you will have to hire people who have the appropriate knowledge about various aspects of farming such as operations, crop selection, land management, financing, marketing and selling.
You can give consultancy services to budding farmers or existing farmers and sell your service to make money.
This business does not require much investment as all you are providing is the knowledge you have, and no physical commodity is in the picture.
Soil analysis lab
One of the key initiatives of our government under Integrated Nutrient Management (INM) is the 土 health mission.
Governments play a major role in the promotion of soil testing for farmers so that they can accurately determine the nutrient requirements of the soil and stop wasting money on unnecessary fertilizer applications.
The government has also opened many soil testing labs to test さまざまな種類の土壌 、 but still, there is a huge gap in the initiative as all the millions of farmers cannot access these labs. To bridge this gap, private soil testing labs play a significant role.
You can open a soil testing lab and provide this service in rural areas of India. You can even operate your business from the city by using portable soil testing labs.
The cost of a lab facility might cost you around 25-30 lakhs, and the cost of a portable soil testing lab can be around 1 lakh rupees.
Agricultural equipment rental agriculture business
Agriculture farm mechanization percentage in India is still deficient. Almost 80% of the Indian farmer population is still not able to mechanical tools because of lack of proper channels and high cost.
This problem is now being solved by the agricultural equipment rental business. Now, this business can be done in many levels.
初め、 if you own your own private mechanical tools, you can rent it out to farmers and contractors.
2番、 if you are a manufacturing company, you can rent your manufactured units.
Lastly, my most favourite way, you can act as a broker enabling vendors to find farmers to rent their equipment’s. You can charge a nominal fee as your commission.
Land drone survey service
With the advancement in technology of drowns and sensors, it was pretty inevitable to also use drones in agriculture.
Drones are being used in agriculture for spraying, survey, crop yield estimation, pest and weed analysis, crop disease detection and much more.
You can provide farmers who own huge agricultural lands, all these services by using your drones and turn your hobby into your profession.
Cold storage
The cold storage Agricultural business comes under essentials in agribusinesses. It is used for the storage of perishable foods like fruits, vegetables, dry fruits, jaggery, meats and many more. Imagine a very big freezer.
Because of the time it takes for the food to reach a customer from the farm, the freshness of the produce is compromised.
This problem is solved by cold storages, where the freshness of the product can be maintained for a more extended period of time.
Currently, the cold storage requirement of India is 61 million tons, but only 29 million tons of cold storage space is available. And hence, starting a cold storage business is an outstanding proposition now.
It’s a high capital investment business, but The Ministry of Food Processing Industries (MOFPI) has also facilitated the entrepreneurs with loan and 40% subsidy schemes.
Agriculture produces packaging agriculture business
Agricultural packaging is so vast; an entire book can be written for just this topic.
If we think about it, produce from the farms cannot be shipped all across the states or even the world by just using one packaging method.
The packaging methods used are not only lucrative in supplying the local market, but the profits increase many folds for packaging of products meant for export because of higher standards and higher rates.
The packaging method can vary depending on the type of produce like fruit, flour, vegetables, meat, crab, etc. The packaging ranges from Jute sacks to high-quality plastic sacks, from cardboard boxes to heavy-duty plastic crates, from wooden baskets to thermocol / polystyrene boxes.
Pick up one niche and start manufacturing the packaging for that commodity.
例えば、 if you are near a grape farming locality, manufacturing of plastic crates for grapes is a very good option.
Another example can be if you can set up a cardboard box manufacturing facility near a cold storage, you will be able to target all the customers of that cold storage.
The same idea can be applied to all kinds of flours, fishes and meats.
Must read: Role of plasticulture in agriculture and agriculture business
Seed Business
Again, one of my favorite agricultural business. This is one of the most significant segments of the agricultural business.
Farming can only be started if we sow the land with seeds. But where are these seeds coming from?
Seeds can be bought from government associations, but there is a lot of space for private players in this business too. Seeds also come from seed manufacturers, dealer and distributors.
You can grow seeds and sell the seeds in the wholesale market to customers.しかし、 the growing of seeds comes with a lot of licensing and quality control measures.
If you want to start this business, I must recommend you should have good loss bearing capacity as a minor mistake can completely ruin the quality of your seeds.
My advice will be to start with brokerage of seeds, learning the quality and local terms, gauge the market and then deciding on going ahead with the venture.
You can buy seeds directly from manufacturers and sell them to local distributors. Or you can start your own dealership with seeds of various crops and vegetables.
Hydroponic Retail Store
Hydroponics is a new agriculture technology and is continuously evolving. There are people who do not live in rural areas who are trying to get into agriculture business.
しかし、 the lack of accessible land and business strategy does not allow them to cultivate crop traditionally.したがって、 they are leaning towards hydroponics technology, which allows them to bypass the problems they face regarding land, soil and climate.
You can cater to these customers by providing them a one-stop-shop for all the hydroponics equipment’s they might need to start their business.
To start this business, you will have to buy/rent a place with a storefront having live hydroponic systems on display and a much bigger back storeroom to keep all the equipment’s and your inventory.
Goat rental business
The goat rental agricultural business, also called as goat grazing business in many parts of the world, is becoming more and more popular as the general public and farmers are getting aware of the harmful effects of herbicides or pesticides.
If you own a goat farm, you can start giving this service to customers such as homeowners, farm owners, golf courses, and landscaping companies.
You can also be a broker for goat farmers who are willing to rent out goats but do not have the means of finding the right customers. You can charge commission for every customer you provide the goat farmer.
There are many benefits of using goats as a means of removing unwanted vegetation from the field.
They are immune to thrones and poison Ivy and actually loves eating them
They can be used to graze a section of the field or forest to eliminate the fire hazard
They are light-footed and hence no soil erosion. They can pretty much operate in any terrain
They also fertilize the field by defecating on the field while they graze
More eco-friendly as there will be no need for harmful weed killer/herbicide
Potted Plant Sales
The demand for ornamental plants for home, office and gardens has gone up considerably. You can take advantage of this trend and start a business of selling potted plants.
You can grow the ornamental plants by any method you like and have a small nursery. Or you can directly buy small plants from other nurseries and plant wholesalers.
I would suggest buying the plants instead of starting your own backyard nursery as it allows you to change the variety of plants on the go depending on the demand and also gives you the capability of having a lot of options of plants as opposed to having a limited number of plants in your small nursery.
Instead of using the money for the nursery, use the money for marketing of your business. When the plants mature, you can transfer the plants to pots.
Your customers can range from homeowners to corporates who are looking for potted plants for their offices and lawns.
Agrotourism
Agrotourism has got a huge growth potential in India. Agritourism is even recognized by the government, which has established the Agri Tourism Development Corporation exclusively for the development of agrotourism.
Agritourism encapsulates ecotourism, geotourism, and culinary tourism. Other terms associated with Agritourism are “agritainment “, “value-added products, ” “farm direct marketing”, and “sustainable agriculture”.
You can do this business in two levels.
初め、 if you already own a farm, you can market your own farm for agrotourism and try and attract tourists.
You will have to set up your farm first to conduct nativities for tourists like showing them operations, giving them a taste of local cuisines, making them aware of your products and local handicraft, giving them a tour of the farm and educating them on your specific agriculture business and ecosystem, arranging for a clean space for stay.
The government has taken the initiative and started its own website, http://www.agritourism.in/, so that farmers and farm owners can advertise their farms to tourist for Agrotourism.
The second mode of getting into this business is acting as a broker. As a broker, you can provide tourists to farm owners who are willing to open their farms for tourism. You can also give them proper consultancy on how to improve their farm to attract more and more tourists.
You can charge for them for consultancy and the numbers of clients you introduce.
Micro Irrigation System setting up business
The exposure and need for micro irrigation systems like Drip Irrigation, Sprinkler Irrigation, Micro sprinklers, Micro jets, Foggers, Rain Guns, Gravity fed Drip System and Semi-permanent sprinkler system is increasing every day.
Farmers are realizing the benefits of micro irrigation (labour-saving, money-saving, increased yield, increased fertilizer efficiency, water saving and more) and are leaning towards the use of micro irrigation more while trying to move away from traditional irrigation methods.
You can start a business that provides micro irrigation system instilling service to farmers, corporate or even homeowners.
Keep in mind that you will have to learn the science and engineering behind the irrigation system, and if you are starting small, you will have to train your workers too, so that they know the tips and tricks of how to install the system.
Greenhouse building
Due to changing climate and farmers realizing the ways to not depend on climate to make more profit from their business, many farmers are opting for shifting their agriculture business to greenhouse or ポリハウス 。
There are many types of greenhouses. To name a few naturally ventilated poly houses, climate-controlled poly houses, Net houses, Ridge and furrow type green houses and polycarbonate houses.
It is becoming more and more lucrative to start a business that offers greenhouse construction services in light of the high demand.
Import of exotic fruits
Not all the 果物 we eat are grown in India. Especially exotic fruits non-native to India are seeing an increase in demand.
You can import these fruits from various countries and sell them yourself, sell it to wholesalers, distributors and retail grocery shop owners.
For getting into imports, you will have to acquire GST, import-export license and FSSAI certificate.
You will also have to keep track of the trending fruits in demand and the season in which they are harvested in multiple parts of the world.
If you intend to supply to big-name stores like reliance, big basket, you will also have to get your company registered with them and get a vendor license.
To be successful in this business, make sure you are one of the first companies which import the fruit at the very start of the harvest season. That is the time when you make the maximum amount of profit.
E.g., clementine from South Africa has a big demand in India. It’s primarily harvested in the month of September to December.
Export of fruits and vegetables
India being one of the largest producers of agricultural products, it is in a very good position to sell the commodities in other countries too.
India produces a wide list of fruits 、 野菜 、 spices, meat, dairy, nuts, cattle feed and herbs which are in high demand in all parts of the world.
You can start exporting all these in two ways.
初め、 if you are a farm owner, you can try and find buyers internationally by registering in international trade portals and start exporting.
2番、 you can be a merchant exporter who procures the product from farmers or wholesalers and then export it. In both the ways there is a decent amount of profit to be made.
You should research the availability of produce in your area and compare it to the international demands before picking a niche. There are big export houses which only deal in export of agricultural products.
There are many things you will have to keep in mind before starting with export. Such as, buyer’s genuineness, payment terms and the buyer’s country’s (ECGC Export Credit Guarantee Corporation of India Limited) ratings.
Final Thoughts and tips for Agricultural business selection
As we saw, there are many agricultural business/agribusiness ideas to start with. Before starting with any business, always be aware of your mental and financial capabilities.
Study the market which you are willing to enter and think about how well your service is going to be received in that locality or state.
また、 consider whether your business will require capital intensive marketing or not 。 Sometimes it’s easy to set up a business, but for the operations of the business to start, you might have to invest a lot of money in marketing, in some cases more than the cost of setup of the business.
Think about if you need an online presence like a website or social media.
Research various government schemes and financial aids 。 This proves to be very helpful as most of the times, financial aid and subsidy is the boost that is needed to start a business.
Try and find out who around you are doing that business already 。 This will give you an idea of the competition and also you can study how they operate the business on ground level.
取得する help from friends and family 。 They are sometimes great help in providing you with that first buyer who keeps your business rolling and helps you in building your credibility in the market.
Visit your local MSME office and get a consultation. They do it for free. You can also visit their library to have a look at all the project reports of various business. This will give you a clear idea of the capital required and market estimation.
Please have a good idea of the skill level required by the workers/labourers and their availability for your business.また、 consider whether you will be able to train them or they need to be trained by an outside agency. I have seen many projects suffering or even closing because of lack of skilled manpower.
Research on agricultural crash courses provided by government bodies. They not only help you in how to set up the operations but also help you in getting exposed to the market and buyers and clients. E.g., RGCA in Chennai conducts a wonderful course in mud crab farming at a low price. They not only do classroom training but also take you to crab farms and give you practical experience.
When you finalize a business, get all the required licensing and keep your GST and other financial details up to date 。 This will save you from future penalties and paperwork.
Always keep multiple options open for the acquisition of raw materials 。 Never rely on just one vendor.
When you are studying the market, study various qualities of the same product in the market and choose wisely what quality you want to target.例えば、 a cheap plastic quality fruit crate is preferred for local transport of fruits, but the same crate has to be of higher quality plastic when exporting the fruit.
I hope this article by me was able to assist you in giving you an idea about various agricultural business. Please feel free to comment with your thoughts.また、 share this article if you think that this article will be able to help someone in making a decision. Any suggestion or advice will be highly appreciated. Kindly do post any questions which are still unanswered. I would be happy to assist.
