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How to Start Coconut Oil Manufacturing Business

Coconut oil is used for many purposes, such as for cooking in the southern regions of the country, in the states of Kerala, tamilnadu and Karnataka and in other states of the country.  That’s why Coconut Oil Making Business takes place on a very large level inside India and many people earn lakhs in it. Coconut trees are found prominently in the waterfront spaces of India. The dry piece of coconut is known as copra. It is a regularly utilized mechanical term. Copra is the main commercial product of coconut, with oil content ranging between 65 and 72 percent.  There is another word for this which is called ‘coconut oil’. The coconut oil is obtained from the extraction of dry coconut In the event that you live in a coconut growing region, you can begin a coconut oil Manufacturing business.

Steps For Coconut Oil Manufacturing Business

Market Potential for Coconut Oil

Coconut oil is a significant cooking medium in Southern pieces of the country, particularly in tamilnadu, Kerala and Karnataka State. Also, the oil has differed modern applications. It is utilized in the production of toilet cleansers, clothing cleansers, surface dynamic specialists and cleansers, hair tonics, hair oil, rub oil, and beauty care products. Filling in tropical areas coconut has the worldwide market opportunity. As per a dependable information, the market size of Cold Pressed Oil was assessed to be around 24.62 Billion US dollars in the year 2018. Furthermore, it was likewise extended that continuously 2026 its market size will arrive at 36.40 billion US dollars. Accordingly, we can say that coconut oil creation is a rewarding business opportunity for new business visionaries.

Investment for the Coconut Oil Manufacturing

How much it costs to start a coconut oil manufacturing business depends on the plant production capacity of the entrepreneur. Because if you start a big business you have to invest more and if you start a small business from home then you have to invest less in it.And within it there are many different types of machines and everyone’s rates are different and the investment depends on them. In this way, If you want to starting in a Small Scale then you need 1 to 4 lakhs investment. And want to start in Medium or Large Scale then 5 to 25 lakhs investment is needed.

License and Registration for Coconut Oil Manufacturing

Coconut oil is also used as a food product.  And the business only needs various registrations and licenses before starting. However, it is suggested to contact local small business professionals and tax advisors. the following license and registrations required for coconut oil business.

  • First, register your business with MSME Udyog Aadhaar.
  • And get GST number Registration.
  • Then, apply for Trade License.
  • Also apply for B.I.S Certification.Additionally, Get VAT registration in your state authority.
  • And FSSAI registration is must, because coconut oil is comes under the food industry category.
  • Finally, Get IEC code for Export.

Land for Coconut Oil Manufacturing Business

Land For Coconut Oil Making Business It requires good land because plant has to be built inside it, after that godown has to be made and some land is needed for parking. further, to start a small scale coconut oil production unit then you need 1000 to 1500 square feet space. And keep in mind that good road facility and water facility and electricity facility should be all the things at that location.

Raw material for Coconut Oil Manufacturing Business

As far as raw material is concerned, copra or dry coconut is the main raw material for this.  After the oil has been removed from the dried coconut, the coconut oil cake remains as a residue.  Which the entrepreneur can sell to the livestock farmers.

Machinery for Coconut Oil Manufacturing Business

The machinery  for the manufacturing process depends on the raw material used, the details of the output required and the investment capacity of the owner.

List of major common machinery and equipment used in the business of making coconut oil is as follows.

  • Wood Press Machine.
  • Motor (5HP)
  • Filter Machine.
  • And Other Equipment like Copra Cutter
  • Storage Tanks
  • Volumetric filling machine.

Manufacturing Process of Coconut Oil

  • To manufacture coconut oil, first of all the raw material is purchased. 
  • And then the required raw material is taken into the hopper of the press machine.
  • After this the machine is started, and the machine starts the process of crushing the copra. 
  • Keep in mind that machine is required to operate this process, along with manual manpower is also required. 
  • So that the crushing process can be completed well.
  • It takes time to press it manually through cold press. 
  • But when the copra is crushed well, coconut oil starts to emerge from it. 
  • The oil is then collected from the machine, and it is left in the open to cool. 
  • When it cools down, it is filtered. 
  • Then coconut oil is filtered, it is ready for packing and sale.

Marketing for Coconut Oil Manufacturing Business

You can sell your coconut oil in local markets or you can also sell it in medical stores.  You can also register on B2B websites and B2C websites in online markets to promote coconut oil products.You can also sell your products in supermarkets, small stores in shopping malls and more shops.  Advertise about your product through social media so as to get a large number of customers. in this way you can grow and promote your business.  Even though there are many coconut oil manufacturers in India, there is also a high demand to encourage the new product due to its medicinal properties.  So you don’t need to worry about the market.  You can sell your product on the basis of wholesale price of coconut oil in India.

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