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Home » Mustard Oil Making Business Plan – How To Start

Mustard Oil Making Business Plan – How To Start

Mustard Oil is one of the customarily esteemed oils in India. It has huge medical advantages which are removed from unadulterated seeds of mustard. The use of mustard oil is considered to be the best in all things made with oil, from frying lentils to making greens and vegetables. Pure mustard oil is rich in fat as well as is healthy and lossless. Eating pure mustard oil does not affect the body. So if you want to sell pure mustard oil, then this business is going to be very beneficial for you.

In this article, we have put detailed information about how to start a Mustard Oil Manufacturing business on a Small scale.

Market Opportunity of Mustard Oil

Mustard Oil is legendary as an edible oil mainly in Northern, Eastern and North-Eastern India. there’s good demand within the marketplace for raw condensate, filter, double filter mustard oil. Mustard oil is additionally wanted to burn lamps in temples and houses, which is why mustard oil is seen in almost every house in northern India. aside from this, mustard oil is employed in abundance in edible oil in weddings or other events in rural areas.

In homes where fragrance oils aren’t purchased for hair, they use mustard oil for hair. As far because the industrial use of Mustard Oil cares, it’s employed by the ethics industries. There are, versatile use in every household and its use by the ethics industry, it’s likely to stay in constant demand within the future also.

Business Investment

Starting a Mustard Oil business on a Small scale, you should have at least 4 to 5 lakh rupees so that the capital can be purchased for the machine and the raw material required for the initial months.  All machines will cost around 3 lakhs.  The biggest thing when you start a business is that two capital is required. one is a Fixed Capital and the other capital is operating Capital. The investment of the business is to modify the project capability and project value as per your requirement.

License For Mustard Oil Business

This business comes under the food product business, so following the license is required.

First, apply for FSSAI registration. The Mustard Oil business is a food business, and for all food businesses, it is necessary to get a license from the Food Safety and Standards Authority of India. Then get Trade License from the local municipal authority. And Also get registration and get Udyog Aadhaar Registration and, GST Registration.

Location for Mustard Oil Business

If you are determined to start the Mustard oil mill business, there is no need to have a place in a big market or a crowded area in this business.  You can do this business at your home or in any village.  There should be the right transportation facility at your place of business so that there is no obstruction in carrying the goods.  Or choose a place where there are more farmers living nearby and where there is more mustard cultivation.  So that you can get mustard seeds easily at a low cost.

Raw Material for Mustard Oil

If you want to start the oil industry purely of mustard, then black mustard or yellow mustard will be used as raw material in it. About 38 to 40% oil content in black mustard and about 42 to 45% oil in yellow mustard, in addition to these, other things like vitamins, minerals, are also added in small quantities.

Machinery for the Business

Machines have come from different types, small and big, so obviously their price will also vary, machines are available in the market from 1 lakh to 20 lakh rupees, it depends on your business size and budget. And decide what type of machine to buy for your business, You have to buy some essential machines for a common mustard mill which are as follows.

Oil expeller machine, Motor 20 HP, Filter press machine, Galon, Box stumping machine, Weight machine, And Sealing machine. These devices use the motor to drive the machine. Which runs on electricity.

Mustard Oil Manufacturing Process

Step 1

Firstly the mustard seeds used in this extraction process are dried thoroughly in the sun, this process is important so that water is removed from the mustard seeds in the oil extraction process.

Step 2. Removal of impurities

If there is any inaccuracy in the mustard seeds like soil dust and more, it is cleaned by a seed cleaning machine.

Step 3. Extraction of oil by the expeller machine

The cleaned mustard seed is crushed by putting it in the expeller from which all the oil comes out and remains as a residue.

Step 4. Filtering the oil

After crushing, the oil is put into the filter machine so that some of the remaining residues is removed and the oil is completely purified.

Step 5. Filling and packing the oil

Finally, In this process, the oil is filled in half a litre, 1 litre, 2 and 5-litre bottles and the lid is sealed.  the company’s trademark logo and all the necessary information related to the product such as weight, product manufacturing date, expiry date, price and more. Are pasted and then filled in large cardboard. The goods are ready for sale.

Marketing for the Mustard Oil

Nowadays, Marketing is very important for any business. There are many ways to market your Mustard Oil business. You can contact the local distributor for selling your Mustard Oil. And promote your product online like Facebook and other social media sites.

Also, promote in B2B websites like IndiaMART and for more selling your product. Give the samples of your Mustard Oil in the nearby shops, hotels, Ayurveda shops, superstores, and friends. It has an extraordinary interest in the market due to its high restorative qualities and medical advantages.

Mustard Oil Making Business

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