Considering the benefits of honey and honey products, starting a honey processing business in India will surely turn out a profitable business idea. Moreover, India’s government is also focusing mainly on beekeeping and provides loans and subsidies on beekeeping in India. Recently, Bee farming in our country is turning out as the best Agri-Business, providing employment to many.
Since prehistoric times, honey has been harvested by humans for both food and medicine. Honey contains high levels of fructose, glucose and has about 70 to 80 percent sugar, which gives it sweetness. Talking about the benefits of honey, it also has antiseptic and antibacterial properties. Further, honey benefits include helping in preventing acid reflux, relieving cold and cough symptoms, fighting infections, and many more. It is a perfect alternative to sugar and can be used in meals instead of sugar, offering a healthier option.
Basics of Honey Processing Business
Before beginning with the honey processing business, it is better to have some basic knowledge about beekeeping. With the right knowledge, setup, and motivation, you can start with your operations. You can start with few beehives and slowly scale up as you gain experience in beekeeping. Some of the things to be considered before starting a Honey Processing Business are listed below:
Buying the Necessary Equipment
Before deciding to start a honey processing business, you will have to purchase the necessary equipment required to run the business. Required equipment includes the beehives for the honeybee colonies, protective gear, including beekeeping suits, gloves, and veils. This safety equipment is extremely important for you to work safely around the bees. The size of your business will decide the quantity of necessary equipment required. Depending upon your geographical location, beehives may come in many different designs. Some of the popular designs are the Langstroth beehive, the Warre beehive, and the British National beehive. The honey extractor is another very important piece of equipment needed for the honey processing business. Large honey extractors are required to extract honey from many beehive frames in one single day.
Honey Bee Colony
You cannot set up a honey processing business without the bees. Once you’ve bought the required equipment, the next thing you need is a bee colony. To establish strong honeybee colonies across the apiary, it is essential to get a healthy honeybee colony. You can also improve the genetics of the honeybee colony by introducing new queen bees.
Protecting Honeybee Colonies in Winter Season
Winter is a tough season for bees as they can’t leave their hive to get food elsewhere. During winters, they guard their hive and warm it. It may happen during winters that bees retreat to the inner parts of the hive and leave the entrance unguarded. It allows robber bees and pests to attack the hive through an unguarded entrance and steal their honey. Therefore to keep the honey bee colonies healthy during winters, beekeepers should regularly inspect beehives. Beekeepers can also opt for insulated beehives that lose less heat during winters.
A sound Business Plan
For any business to flourish well, it requires a sound business plan according to which the work should happen. A business plan will create a framework for you on which you can start and achieve long term goals. While creating a business plan for your honey processing business, carry out market research to investigate the market opportunity. It will give you acumen into the competitiveness of the market and potential customers. The business plan should be created based on strategic research, and accordingly, the investments should be made in the business.
A perfect business plan clearly defines the goals of the business. It also establishes the feasibility of the business by evaluating the internal and external business environment of the honey processing business.
The business plan for the honey processing business should include:
A break-even analysis will help you determine the price of your beehive products. It gives an idea of how many beehive products you will have to sell in order to make a profit.
For any business plan to be successful, it requires a good marketing strategy. Marketing is an important aspect of a business plan. In the honey-making business, beekeepers can distribute honey products individually or through marketing firms. For beekeepers with a large bee colony, it is suitable to sell through firms and utilize its brand presence in the market. If you have an efficient marketing plan for your honey business, you can enter new markets and gradually increase the market share. A solid marketing plan will help you raise competitiveness in the honey-making business.
Packaging of honey products also plays an important role in their marketing. Honey and other beehive products which have attractive packaging improve the marketing of the product. Beekeepers may have varying sizes of packaging depending upon the quantity needs of their customers.
Registrations and Licenses Required to Start a Honey Processing Business
Given below is the list of permits and registrations required to start a Honey Processing Business:
Firm Registration: The first step required to set up a honey processing business involves the firm’s registration. It is advised to incorporate the company as a One Person Company in your business’s initial stages.
Trade License: Once you have registered the firm as One Person Company, the second thing you will need is a Trade License from the local state authority.
FSSAI License: Since honey is a food item, therefore FSSAI license is also required to start a Honey Processing Business. Without an FSSAI license, you won’t be able to run the operations of your honey business. Moreover, you will also have to follow the guidelines of the Food Prevention Act.
GST Registration: GST registration is also needed in case the turnover o your business is above the specified limit.
Import Export Code: India is one of the largest hone producing and exporting countries in the world. More than 50% of honey production in India is exported to other countries, including destinations like the United States, Saudi Arabia, United Arab Emirates, Bangladesh, Canada, etc. Therefore, it is important to collect the import-export code if you wish to export honey.
Bureau of Indian Standards (BIS) Certification: BIS certification is also required to set up a honey processing business.
Machinery Required
Many types of machinery and equipment are required to carry out the bee farming and honey processing business.
Some of the tools and equipment required to harvest the honey from beehives are listed below:
Honey Extractor: It is a device that uses centrifugal force in extracting honey out of the comb. Honey Extractors are available in various sizes and styles as per the budget. It is advised to consider a honey extractor that can at least take in four frames at a time. Honey extractors are available online, so you can order and have it shipped to your home.
Honey Uncapping Knife: A Honey Uncapping knife is used to quickly and cleanly slice honey from the honeycomb. The electrically-heated uncapping knife helps you remove the ‘lids’ to extract honey from the combs. In the case of an electric knife’s unavailability, you can use a large serrated bread knife.
Honey Strainer: The next step after extracting honey is to strain it. It is essential to strain extracted honey before bottling it to remove some tiny bits of wax, sticky bees, and other small particles. Any conventional kitchen strainer can be used to strain the extracted honey.
Beekeeper Suit: A Beekeeper suit is an essential item for any beekeeper. It gives them the confidence to work safely around the bees. It is advised to use a good quality suit, preferably made with light color. It should always be checked that the suit doesn’t have any hole, which gives the bees an opportunity to enter in. To cover the hands, leather gloves should be used that cannot be easily penetrated by a bee.
Other Tools
- Bee Brush: This tool comes into use for brushing off the bees from the frames before they are placed into the extractor. While using the bee brush, use them gently so that no bees are harmed during the process. The ideal process of brushing off the bees is by turning the frames upside down before brushing.
- Double Uncapping Tank: This device is used to collect wax cappings when they are sliced off the comb. As it is said, the sweetest honey comes from the cappings; this device helps in harvesting wax cappings and gets back the honey that drains from the cappings.
- Honey Bottling Bucket: These buckets are used to store and bottle honey. Honey bottling buckets are excellent in storing and bottling honey as they come with an airtight lid.
National Bee Board & Beekeeping Loans and Subsidies in India
If you wish to start Beekeeping in India, India’s government offers subsidies and runs numerous programs to help those wishing to start a honey processing business. The Government of India provides a 35 percent subsidy on bee farming business in India. In view of the excellent scope for increasing productivity due to cross-pollination, it was proposed to revive beekeeping activity in the country by pooling various departments’ resources. Accordingly, the National Bee Board was established in June 2006 with the objective of Beekeeping’s overall development by promoting scientific Beekeeping in India.
National Bee Board also offers training to those who aspire to start a beekeeping business but have no knowledge about it. The Board has been initiating steps for quality honey production and other beehive products for overseas and domestic markets by improving various crops’ productivity through bee pollination. Various board schemes are eventually increasing the employment opportunity in the rural sector, thus enhancing the income of beekeepers and farmers.
Government bodies like Khadi Village and Industry (KVIC) play a vital role in strengthening India’s beekeeping activity. KVIC also provides financial aid to beekeepers through various schemes such as
l Capital Expenditure Loan on subsidized interest.
l Working capital loan on subsidized interest.
Apart from KVIC bodies like Khadi and Village Board (KVIB) and District Rural Development Agency (DRDA), it also offers subsidized loans for honey processing business in India.
Aatmnirbhar Sena’s Role in Promoting Honey Processing Business in India
Our honourable prime minister’s conception of making India a self-reliant nation largely depends upon the development of local businesses, local products, and small industries. Considering the benefits of beekeeping and the demand for honey products government is focusing on the honey processing business in India. To further the vision of ‘self-reliant’ India, our organization Aatmnirbhar Sena is helping aspiring entrepreneurs to set up their business from scratch. For those aspiring to make a fortune in Honey Processing Business, Aatmnirbhar Sena provides a training program, offering loans to develop the confidence of entering the entrepreneurial world in them.
Final Words
The desire for honey in the global market is ever-increasing, and the key market for honey is the medicinal and ayurvedic industry, domestic retail market, food products, and exports. Based on your budget, you can decide upon the market you wish to target through your business. For providing financial assistance in the honey processing business, our organization will be collaborating with financial institutions of the country like leading banks of the country, NBFCs, etc. Our team comprises experienced business people, CAs, CSs, and Lawyers who will guide you by creating a perfect business plan and managing the company’s registration and compliance.
In the beekeeping business, you can start with small scale beekeeping and gradually up the ladder. With experience and increased financial capacity, you can expand your honey processing business to the size you set out to achieve. For any assistance in setting up the honey processing business, you can contact Aatmnirbhar Sena. Our team will work every bit to help you achieve your dream of running a successful honey business. By helping aspiring entrepreneurs, small scale and local businesses, Aatmnirbhar Sena eventually wishes to make India a ‘self-sufficient’ nation.
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Jul 30, 2020
