{"id":31955,"date":"2021-06-18T11:50:43","date_gmt":"2021-06-18T06:20:43","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=31955"},"modified":"2021-06-18T11:50:45","modified_gmt":"2021-06-18T06:20:45","slug":"setup-a-profitable-food-packaging-business-in-india","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/setup-a-profitable-food-packaging-business-in-india\/","title":{"rendered":"How to Setup a Profitable Food Packaging Business in India?"},"content":{"rendered":"\n<p class=\"has-drop-cap\">There are good numbers of people out there who prefer quality over anything else when it comes to buying packaged foods. Packages are the potential indicator of the quality because they enclose vital details like the composition of ingredients and preservatives. People do check these parameters before making payment for a particular packaged food. Mediocre packaging often leads to a poor sale, and that\u2019s why most FBOs considered it as a unique selling proposition (USP). Presently, the food packaging sector is evolving rapidly and there is a lot of potential in it. Therefore, it is a good time to start a food packaging business in India.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Page Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/corpbiz.io\/learning\/setup-a-profitable-food-packaging-business-in-india\/#Underlining_the_growth_prospect_in_Food_Packaging_Industry\" >Underlining the growth prospect in Food Packaging Industry<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/corpbiz.io\/learning\/setup-a-profitable-food-packaging-business-in-india\/#An_Overview_on_Types_of_Packaging_used_in_Food_Industry\" >An Overview on Types of Packaging used in Food Industry<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/corpbiz.io\/learning\/setup-a-profitable-food-packaging-business-in-india\/#Eco-friendly_Packaging\" >Eco-friendly Packaging<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/corpbiz.io\/learning\/setup-a-profitable-food-packaging-business-in-india\/#Importance_of_Packaging_for_Small_Businesses\" >Importance of Packaging for Small Businesses<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/corpbiz.io\/learning\/setup-a-profitable-food-packaging-business-in-india\/#A_Guide_to_setup_food_packaging_business_in_India\" >A Guide to setup food packaging business in India<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/corpbiz.io\/learning\/setup-a-profitable-food-packaging-business-in-india\/#Conclusion\" >Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Underlining_the_growth_prospect_in_Food_Packaging_Industry\"><\/span>Underlining the growth prospect in Food Packaging Industry<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The repercussion of noble Cornavirus on the packaging\nindustry has been moderate based on the portfolio of different consumer\nindustries. The Indian packaging sector, even in the pre-Covid era, has been\nseeing steep growth owing to increased globalization of trades in commodities\n&amp; services, and materialization of new trade models like organized retailing\n&amp; e-commerce.<\/p>\n\n\n\n<p>The Indian packaging industry is envisioning growth at a CAGR\nof @ 18% during 2016-21. Covid-19 might have hampered this growth\nsignificantly; but, certain sectors like packaged food and beverages,\npharmaceuticals, functional food, and hygienic products have remained\nunaffected by the crisis, and have witnessed an optimal growth both in demand\nas well as production, proliferating the demand of packaging.<\/p>\n\n\n\n<p>People, especially from the metropolitan areas are more inclined towards prompt solutions for everything, including foods. Consequently, the demand for packaged food or so-called \u201cready to eat food\u201d is increasing rapidly. This, as a result, is compelling the food packaging industry to speed up the operation.<\/p>\n\n\n\n<p class=\"text-left\"><b>Read our article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/food-packaging-and-labelling-regulations\/\">Food Packaging and Labelling Regulations: The Complete Guide <\/a><\/mark><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"An_Overview_on_Types_of_Packaging_used_in_Food_Industry\"><\/span>An Overview on Types of Packaging used in Food Industry <span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Basically, there are three types of packaging which are\nprominently used in the consumer and business landscape. These are as follow<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Primary<\/h3>\n\n\n\n<p>Primary packaging refers to packaging in direct connection\nwith the product itself. As the name suggests, it is the first layer that wraps\naround the finished products, including foods. This type of packaging is meant\nfor the customer. One can found such packaging on commodities like rice,\nchocolates, and other edible items.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Secondary<\/h3>\n\n\n\n<p>Secondary\npackaging is mainly used by organized wholesaler and e-commerce platform.&nbsp; Technically, such packaging refers to a SKU (stock-keeping\nunit).&nbsp; Customers do not usually have\ndirect confrontation with these packaging since it is being utilized in producer-seller\ndomain.&nbsp; <\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Tertiary<\/h3>\n\n\n\n<p>This\nform of packaging refers to a bulk or transit packaging.&nbsp; Such packaging is need where there is a\nrequirement of grouping large amounts of SKUs for the purpose of\ntransportation. Tertiary packaging largely utilized in the distribution stage. <\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Eco-friendly_Packaging\"><\/span>Eco-friendly Packaging<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>While the growth potential is endless, you may also intend to look out for the trends. For most customers, non-plastic packaging is the new normal and a way to ensure a <em><strong>healthy lifestyle<\/strong><\/em><sup><a href=\"https:\/\/simple.wikipedia.org\/wiki\/Healthy_lifestyle\"><em><strong>[1]<\/strong><\/em><\/a><\/sup>.&nbsp;<\/p>\n\n\n\n<p>Since plastic is often considered a potential deterrent to\nhuman life, it would be no surprise if it gets obsolete in the near future.\nLike we said, that packaging plays a vital in sales boost, being wise while\nchoosing the packaging materials could make a huge difference for you.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Importance_of_Packaging_for_Small_Businesses\"><\/span>Importance of Packaging for Small Businesses<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The increasing use of the internet and digitization has led\nto the growth of small businesses in India. The concept of a home-based\nbusiness is no more a fantasy for entrepreneurs. The leverage of internet power\nhas enabled many food startups to transform into prominent contenders in the\nfood industry. However, this itself cannot ensure sure-shot success unless\nbusiness owners start showing admiration for quality packaging. You can hardly\npinpoint any popular food brands that discourage attractive packaging. The\ndemand for packaging is all-time high and it will increase as more startups\nstep into the food sector. And therefore, small businesses can tap into this\nopportunity by establishing a food packaging business.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"A_Guide_to_setup_food_packaging_business_in_India\"><\/span>A Guide to setup food packaging business in India<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong><em>Here\u2019s the brief guide which will act as a blueprint for setting up a\nprofitable food packaging business in India.<\/em><\/strong><\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter is-resized\"><img decoding=\"async\" src=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2021\/06\/setup-food-packaging-business-in-India.png\" alt=\"setup food packaging business in India\" class=\"wp-image-31977\" width=\"515\" height=\"476\" srcset=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2021\/06\/setup-food-packaging-business-in-India.png 1000w, https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2021\/06\/setup-food-packaging-business-in-India-300x278.png 300w, https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2021\/06\/setup-food-packaging-business-in-India-768x710.png 768w\" sizes=\"(max-width: 515px) 100vw, 515px\" \/><\/figure><\/div>\n\n\n\n<h3 class=\"wp-block-heading\">Step 1: Underpin a business plan<\/h3>\n\n\n\n<p>A business plan is a reflection of your plans and ideas about\nbusiness. For setting up a growth-driven food packaging business plan, you need\nto take given stages into account.<\/p>\n\n\n\n<ul><li>What is the current trend in the packaging\nindustry?<\/li><li>What type of packaging is reaping popularity among\nend-users? (This is something called- Consumer\u2019s preference\u201d).<\/li><li>What kind of packaging you will be preferred to\nmanufacture?<\/li><li>What are your investment capabilities?<\/li><li>What type of equipment will ensure the best fit\nfor your production and their cost?<\/li><li>What is the exact costing of specific packaging\nin a wholesale and retail domain?<\/li><li>Who will be your potential clients?<\/li><li>What will be a spot-on location for your\nmanufacturing unit?<\/li><li>What type of business structure would be the\nbest fit for your establishment?<\/li><\/ul>\n\n\n\n<p><strong><em>Answering these questions is compulsory for you to create a concrete\nbusiness plan.<\/em><\/strong><\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Step 2: Procure Required Equipment and Machines<\/h3>\n\n\n\n<p>Once you have prepared a concrete business plan, the next\nstep should be the procurement of the essential machinery and equipment. While\ndoing so, you have to take the size of the manufacturing unit into account to\nget a clear picture. But before you rushed to the vendor for such supplies,\nmake sure you have a viable list of prospective clients at your disposal, or\nelse you may run into trouble.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Step 3: Legalize your business<\/h3>\n\n\n\n<p>Apparently, this would be your third and most vital step\nbecause here you will be going to choose a legal business structure among\noptions like LLP, private limited company, public limited company, OPC, and partnership\nfirm. Let\u2019s simplify how you can pick the right business structure that will\ngive you the best fit as per your requirement.<\/p>\n\n\n\n<p>Suppose your proposed business framework entails Directors\nand shareholders managing your operation. In such a case, you will have to\nchoose the structures like a private limited company or a public limited\ncompany as per the bylaws. The same concept applies to LLP and partnership\nfirms where there is a cap on how many members can be part of a specific\nentity. And don\u2019t forget about One-Person Company, a unique form of business\nstructure that is preferred by many Startups. Hop on to the CorpBiz\u2019s helpdesk\nto get more information about that.<\/p>\n\n\n\n<p>Please note that every business structure comes with a\ndifferent set of legal compliances, which may reduce as you move toward the\nless flexible structure. So be wise and give more thought to the pros and cons\nof having a specific business structure.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Step 4: Get the FSSAI registration<\/h3>\n\n\n\n<p>It\u2019s worth noting that the Food Safety and Standards Act, 2006 (FSS Act), regulates all the FBOs, including the food packaging business in India. The businesses under this Act are liable to obtain food licenses from <a href=\"https:\/\/corpbiz.io\/fssai-license\"><strong>FSSAI<\/strong><\/a> through online applications. FSSAI issues the food license under a 3-tier system: Basic, State, and <a href=\"https:\/\/corpbiz.io\/central-fssai-license\"><strong>Central FSSAI license<\/strong><\/a>. The applicability of these licenses depends on the annual turnover of the entity. Once you determine which license is suitable for your business, you can visit the FSSAI\u2019s portal and make an online application. The application for a food license goes along with mandatory documents.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Step 5: Commence your Business operation<\/h3>\n\n\n\n<p>After fulfilling the above requirements, you\ncan proceed to start your business operation. Remember that this is a lawful\nway to commencing food-related business in India. Don\u2019t strive to skip any of\nthe above requirements since this can lead you to legal trouble. Stay in a\ncomplaint with underlying norms, and everything would be fine.<\/p>\n\n\n\n<p>Every business journey encounters a lot of complications and legal hassle, which is apparent. So, do not get discouraged if you see your business hassling up with the specific legal requirement. In such an event, make sure connect with a subject-matter professional or expert\u2019s firm like <a href=\"https:\/\/corpbiz.io\/\"><strong>Corpbiz<\/strong><\/a> to contain the situation.&nbsp;&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The demand for packaged food is rising exponentially, and it\u2019s likely to touch newer heights in near future, thereby creating growth potential for packaging industries. The Food Packaging business can leverage this opportunity to reap more revenue by scaling up its operation to meet steep demand. Hence, it can be concluded that the food Packaging business is a win-win proposition for aspiring entrepreneurs and start-ups.&nbsp;&nbsp;<\/p>\n\n\n\n<p class=\"text-left\"><b>Read our article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/organic-food-business-in-india\/\">Starting an Organic Food Business in India <\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"<p>There are good numbers of people out there who prefer quality over anything else when it comes to buying packaged foods. Packages are the potential indicator of the quality because they enclose vital details like the composition of ingredients and preservatives. People do check these parameters before making payment for a particular packaged food. Mediocre [&hellip;]<\/p>\n","protected":false},"author":22,"featured_media":31976,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[150],"tags":[1819],"acf":{"service_id":"318"},"authorName":"Pankaj Tyagi","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2022\/01\/MicrosoftTeams-image-42.jpg","authorDescription":"Pankaj has a diverse experience of writing research papers, blog, and articles during his college time. Earlier, he was working as a tax consultant in a financial firm, but his interest in writing drives him to pursue a career in the writing field.","postViews":9569,"readingTime":5,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/31955"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/22"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=31955"}],"version-history":[{"count":14,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/31955\/revisions"}],"predecessor-version":[{"id":31979,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/31955\/revisions\/31979"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/31976"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=31955"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=31955"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=31955"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}