Popcorn is a popular snack item among the every age group of the population. Also, this is a healthy snacks item. Any individual can start popcorn manufacturing business with small capital investment. Here in this article, we intend to explore how to start a small scale popcorn manufacturing business.
Popcorn or Popping Corn is a type of corn which explodes from the kernel and puffs up after heating. However, there are special varieties of corn that give improved popping yield. And these varieties are most suitable for the production. However, the shape and colour of the kernels; and the shape of the popped corn are the most important consideration in this business.
The industrial popcorn production demands a comparatively small space and infrastructure for commencing. Even you can start the business from home. In India, you can initiate this business with a startup capital of Rupees 10 Lakh onwards.
Popcorn Market Potential
This is a very delicious and tasty snacks item from the user point of view. Additionally, the product is also safe and healthy for consumption. This product is becoming equally popular among the consumers and the manufacturers. Some of the important factors attributing to the growth of it’s market in India are increasing consumption from tier I cities.
In addition, the growth of multiplexes in the country and entry of a number of manufacturers with innovative flavors are also the major reasons. Therefore, the snacks, that eternal movie-time munchy, has become a sizzling business in India these days. According to an industry leader, the popcorn market in India is increasing very fast – especially in multiplexes. And the gross profit margin is very lucrative. Therefore, starting a popcorn manufacturing business is a profitable venture for the entrepreneurs.
Popcorn Manufacturing Business Legal Compliances
In starting this business you will need to get registration and licenses from the different Govt. agencies. However, it is advisable to check your state law before commencing the business. Here we put some of the basic considerations.
- First of all, register your business entity with ROC. However, you can start the business as proprietorship enterprise.
- Apply for MSME Udyog Aadhaar online registration.
- Additionally, you must obtain the certification from FSSAI.
- Register your brand name with Trademark
- Generally, popcorn is a Vatable item. Check the VAT & CST rule of your state.
Popcorn Manufacturing Plant Setup & Machinery
For starting a small scale manufacturing unit, you will need to have 500 Sq Ft space at least. However, according to the size of the operation, you will need to provide the space. Additionally, you will need to arrange the utilities like electricity, water, and skilled manpower.
There are different types of popcorn machines are available in the market. However, you must procure a machine according to your desired quality and quantity output. Furthermore, evaluating the quality of popcorn is another major consideration in selecting the machine. Check what percentage of the kernels will pop, and how much each popped kernel expands. The expansion is an important factor to both the consumer and vendor.
Additionally, you will need to have a weighing scale and pouch sealing machine for your manufacturing unit.
Popcorn Manufacturing Process & Raw Materials
The product is produced by heating kernels until the internal moisture expands and pops through the outer shell of the kernel, allowing the starch within to expand and cool. The machine will do everything to produce crispy popcorns. Finally, you will need to pack the product with the moistureproof packaging materials. Generally, corrugated outer cartons are used for the transportation and bulk handling of the items.
Raw Materials For Popcorn
Generally, corn or maize is the primary required raw material. Additionally, you will need to procure salt, butter, flavours, spices etc. Furthermore, you must arrange the packaging materials for finished popcorn packaging.