Organic Farming Business Plan in India

Written by startup news

September 21, 2022

Organic Farming Business Plan

Hello  dear reader, today we welcome you to a brand new article on organic farming business plan in India. If you are looking for a startup idea and are still confused what to do in the future, we suggest you to consider this business idea.  

If you are looking for some other business idea, say if you want to work as a handyman, you can check out our article on handyman small business ideas. You will see detailed articles on different handyman jobs on our website. If you are interested, do check out our articles by clicking here. 

We all know that the agricultural products which are chemically-treated have been affecting our lives since ages, but people nowadays have realized the importance of eating fresh and healthy food. The scope of organic farming has increased ever since as people are getting more and more conscious about their health.

People are getting aware about organic farming and how greatly it can impact our health. The organic farming business is seeing a rapid growth everyday.

Organic farming ensures to provide you healthy products, which in turn ensures a marked improvement in the lifestyle of a number of people.

This sector attracts many entrepreneurs every year who want to set foot in this business as the incentives being provided by the government of India are surely attractive. Also the practices of this industry are free of unhealthy competition. The rapid increasing levels of health awareness of many people confirm the fact that this industry has a very bright future and you can definitely make good profit out of it.

Now that you know what organic farming is and what is the scope of this business in the long run, let us get into the basic steps of how can you make your own organic farming business plan in India. Do not go anywhere because we are just getting started!

Start with your Organic Farming Business Plan

This industry just like any other demands a thorough research first. You will have to understand this sector well. Your first step can be to connect with the companies which are already a part of this business industry. You can visit there premises and satisfy your curiosity by inquiring about the initial processes they had to go through to start this business.

Your thorough research of the said business industry will help you to understand the various aspects of the organic farming business. You can find great material on a number of subjects in the online platform. If you find the online platforms comfortable, you can dig out the proper research material from there.

We are listing here some concepts that you should keep in mind while building your organic farming business plan.

Understand the Compatibility

The first thing for you will be to understand the compatibility of the quality of soil, the weather, if it is seasonal or extreme and the demand for the organic product in the particular region.

You can contact with the local authorities who can help you in the assessment of the pH levels of the soil, whether the pH is alkaline or basic, water supply and the retention, quality of soil, whether it has the suitable texture or not.

Start by creating a blueprint of an easy-to-understand business plan for organic farming. This will also help you later if you would like to apply for loan.

Make sure that your business plan include some essential points such as the vision of your business, your goals, the variety of organic products you plan to grow, the prevailing levels of competition in the sector, detailed business proposal, the investments required, feasibility of organic farming in the region where you plan to start it.

Get the Suitable Licenses

The following licenses are essential for you to run your organic business comfortably without any obstacle:

GST registration, Micro, Small and Medium Enterprises Development (MSME) registration, Food Safety and Standards Authority of India (FSSAI) registration – Central and State licence and Organic farming certificate issued by the National Programme for Organic Production (NPOP).

Add the Finances in your Organic Farming Business Plan

In India to set up an organic farming business the investment can range from 5 lakhs to 10 lakhs. This amount can vary for different individuals.

Ask for help from the Government

NABARD or the National Bank for Agriculture and Rural Development offers Capital investment subsidies for farming in India. It offers 25% subsidy to purchase pesticide units and biological fertilizers, 33% subsidy is offered for organic farming of vegetables and fruits. You can also avail of credit-linked subsidies.

Build your Brand

Knowing the potential customers is of prime importance as it can help you in the rapid development of your business in the long run.

There are some areas on which you can focus if you want to build your own brand name such as:

  • Hotels and commercial eateries: A number of these hospitality outlets are in constant need of organic products for their clients.
  • Farmers’ markets: The constant increase in demand for livestock, vegetables, dairy products and other chemical-free produce makes it imperative that you target these markets.
  • Coffee Cafes: These are also in constant need of coffee seeds and herbal tea. This demand can help you grow your business.
  • Retail grocery outlets: The consumers are always dependent on retail shops for daily requirements of good organic products. You can supply your products to widen your business.
  • Milk and milk related products: It is a very popular beverage in India and the demand for organic milk is increasing as well. Milk-related products can boost the supply of your organic products.
  • E-commerce: You can go for digital marketing as it is an extremely convenient way to expand your customer base.

Choose your Premises

This solely depends on the scale of your business you wish to set up and the number of animals you might want to rear in the future. This could range from 5-10 acres of land.

Gather the Raw Materials

Here is a list of some of the essential raw materials you can gather if you wish to start your own organic farming business.

  1. Milk
  2. Honey
  3. Neem oil
  4. Groundwater
  5. Extracts of neem seeds
  6. Fish power
  7. Cow urine
  8. Manure

Equipment Required

Some essential equipment you will need for organic farming are tractors, cultivators, which include rotating knives and automated and combined cultivators.

Staff Required

You will need at least 2 workers who have the requisite know-how and a maximum of 5 unskilled workers. You will have to make sure that they are well trained in the usage of the equipment and handling of the machines.

You will have to train yourself in all the required precautions and safety measures involved in the operations of organic farming.

Different Practices of the Organic Business Farming

According to your own choice, you will have to select the method of organic farming you find the most feasible.

Some of the options you can choose from are poly-cropping for crop diversity, Agnihotra or Homa, Biodynamics, Microbe, and Vermicomposting.

You can also study these things in detail and select the one according to the product you wish to cultivate as well as the climatic conditions of that place so that you enjoy your journey and make the best out of your business.

To conclude, our team suggests you to definitely read this article to find out on your own if you would want to do this business in the long run or not. Knowing your passion and working on it makes everything easy, so it is important to find your passion first. 

So, this was our article on organic farming business plan in India. If you liked our content and found it helpful, do not forget to comment below and sharing our article to people who are also looking for a startup business idea. 

Also If you have any other suggestion for such articles, you can comment about that as well. 

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