How to start Meat Processing Business in India?
Do you know India stands top in producing the meat; hence the meat processing business is into good profits even though you plan to set up a small-scale meat processing plant. Meat is one of the most consumable food items in the country. Therefore it must have the longest shelf life. Meat processing business needs proper business planning and should have investment for meat processing plant business in India.
Meat processing business in India requires proper planning, along with acquiring various licenses and permits is mandatory. When it comes to the production of meat, India has attained the leading spot. As Indian customers have become conscious of including protein-rich foods in their diet, meat has become a highly consumable foodstuff in India.
The diversification associated with the availability of processed meat in the market helps in the escalating growth of the meat processing business in India. Establishing a meat processing plant is a perfect idea concerning meat business.
The reason for the quick growth in demand for processed meat is for the increasing awareness of protein-rich diet also about the diversities of the processed meat available in the market that will aid to boot the meat processing business.
There are various types of meat processing plants which are available that are categorized as mentioned below:
- Chicken processing plant
- Pork processing plant
- Goat processing plant
- Sheep processing plant
- The freshwater fish processing plant
- Seafood processing plant
Licenses and Registration for Commencing Meat Processing Business in India
The licenses and permits needed for the meat processing business in India may vary from one state to another.
The mandatory licenses and permits for the meat processing business are-
Firm Registration
You can initiate your firm either as a small scale meat processing plant or medium-scale meat processing plant in the form of a partnership firm or proprietorship. If you want to commence your meat processing business in the form of partnership, you must go for the registration as a Private Limited Company or as an LLP (Expanded as Limited Liability Partnership) with Registrar of Companies.
Trade License
A Trade License is a certificate that permits the applicant in order to initiate a specific business or trade at a particular place. The Licensing Department of the Municipal Corporation of concerned states would issue this form of license.
MSME/SSI Registration
If you are interested in attaining the benefits of the government schemes[1] and government subsidies, you should mandatorily have MSME registration.
GST Registration
Meat processing unit owner must acquire a GST number as well as the tax identification number and insurance certificate.
Food Safety License
It is mandatory to acquire Food Safety License for performing business operations concerning eatables and food items from the Health Department of the respective state. As per FSSAI rules and regulations, it is necessary to obtain a Health Trade License and Food Safety License.
EPF Registration
If you have the total number of employees more than 20, EPF Registration becomes an essential thing.
Pollution Certificate
Since there is significant involvement of pollutants in most of the meat processing businesses, acquiring a Pollution Certificate is essential.
Trademark
If you crave for your brand’s security and eliminate copyright issues, get your brand name registered with a Trademark.
Import Export Code (IEC Code)
Import Export Code is a 10-digit identification number whose issuance takes place from the office of Director General of Foreign Trade. If your business is on the way to entering the export segment of processed meat products to countries outside the Indian border, the need for IEC code emerges and becomes compulsory for exporting any food product.
FSSAI License for Meat Processing Business in India
FSSAI, an apex body governing under the Ministry of Health and Family Welfare of Central Government, ensures that the food quality is as per FSSAI guidelines, and the food is following the nutritious requirements. It runs several projects as promotional activities for consumers’ health and ensures food safety at all levels. Acquiring the FSSAI License is mandatory for the individuals involved in the processed meat industry as it got categorized under the food processing industry.
A valid FSSAI License is required for all types of food-related operations and to ensure sanitary, protection, and better hygienic conditions. The food safety authority is gearing up for the initiation of the hygiene-rating certification for meat processing units, meat shops, fish shops, etc. Since the entire world is making efforts to survive amid the novel Coronavirus, FSSAI is endeavoring to increase sensitization among the consumers and FBOs concerning food safety and hygiene issue. According to the sources, the hygiene rating scheme would come into effect from the year 2021. Anyone found operating meat processing business in India without FSSAI License would have to bear the consequences on legal grounds.
Meat Processing Business Plan
Before coming up with a strategic business plan concerning the meat processing business in India, you should understand the demand prevailing in the market. You must also conduct market research and get knowledge about the different types of processing meat businesses along with the possible opportunities that they hold. After accumulating all the information and writing down a proper meat processing business plan, you can set a different future for your meat processing business in India.
Points you must consider while framing a meat processing business plan are meat processing plant size and capital investment that is the lifeline for all types of business. Also, an analysis of customers’ business plans is a wise decision at the time of creating your meat processing business plan.
Step-by-Step Guide on Meat Processing
Given below are the stepwise guide on meat processing-
Step 1- Reaching the Meat Processing Plant
At the time of selecting livestock along with the raw materials, try to be cautious. Also, you need to ensure that the livestock supplier is in proximity to the meat processing plant. Thus, livestock won’t have to cover a long distance.
Step-2- Stunning Part
After the arrival of livestock at the meat processing firm, the staff members need to take care of it properly. Quick processing of livestock in a painless manner takes place in modern processing factories.
Step-3- Slaughter Process
Modernistic technology has reduced livestock uneasiness by cutting the throat of livestock in one shot. The efficient workers and well-managed equipment have made the slaughter process smoother than ever.
Step-4- Process of Evisceration
After the slaughtering process comes to an end, the livestock would have to go through the process of evisceration in which removal of feathers and skin takes place before the further steps.
Step-5- Cleaning and Chilling
After the removal of parts of livestock, it has to go through the cleaning process prior to inspection. Put them into the chiller for maintaining the freshness.
Step-6- Inspection Process
After that, the inspection of livestock takes place, and if any problem gets diagnosed, specific livestock will get eliminated from the processing plant.
Step-7- Extra Testing
After passing the inspection process, testing of livestock takes place for microorganisms like Salmonella.
Step-8- Second Processing
After passing all the above processes, the livestock gets classified as wings, drumsticks, leg quarters, thighs, and even more.
Step-9- Packaging
After the classification of livestock, packaging takes place under several packages. In order to extend shelf life, put it into a blast tunnel.
Step-10- Shipping
Eventually, the livestock gets packed under boxes, labelling on the classification basis, and ready to reach the customers’ hands.
Tips to Start a Successful Meat Business in India
The cooking of meat is highly popular throughout the world, especially when there are parties or celebrations. Many people favour chicken, mutton and fish meat as part of their diet. These are many reasons why starting a meat business is a great option if you seek ways to make money.
Meat production will comprise large portions of the food market in the next few years, and it means you’re on the right track when picking the right niche. If you intend to sell meat, and all that goes with it, be the most prestigious and develop a lucrative business. It will take more than just passion, and starting a meat business will require a well-planned strategy and some basic understanding. The growing demand for Indian meat in the international market has led to rapid growth in exports, unlike any other time. The Agricultural and Processed Food Products Export Development Authority (APEDA Registration), more commonly referred to as APEDA, provides non-stop support to develop animal husbandry infrastructure and export red meat in India.
- Create a Perfect Business Plan
It is the first stage to begin the meat business. Design it with care and consideration of all necessities. A well-devised plan is vital for every type of business. Name, logo, registration, money investment, licence, profit analysis, a list of documents, etc., matters a lot.
- Manage Your Finances
Send samples to be approved after receiving the order. It is a crucial procedure for executing the order, which is extremely beneficial and fulfils the client’s needs. Terms of payment must be thoroughly discussed, and the specific terms must be defined clearly and in a proper manner.
- How Can I Contact the Clients?
It is the most important method to reach out to customers. To do this, you need prospective buyers to boost your meat business. You must identify your potential customers. Buyers will be able to approach you when they recognise your most-demanded markets. You can conduct your business online and make attractive offers due to the rise of digitisation in the present and the future.
Digital strategies should be more prominent as people use more internet-based methods to do business. The reach will be greater, and the message will be delivered quickly. You can take follow-ups effortlessly via email or telephone.
- Space Required to Begin Meat Processing
The processing facility will require a minimum area of 1500 sq. feet. Also, it’s important to select a location that will ensure you can access the raw materials and market. It’s necessary to ensure drainage, power, and water. You will need to install a refrigerator system to prevent the growth of bacteria.
Daily sanitisation is essential and must be done to ensure safety and hygiene. Processing equipment for meat is not safe. Therefore, you must employ skilled individuals to operate your company. Training is essential.
- Registration and Licence
We all know that India produces high-quality buffalo meat that is highly sought-after, and it ensures a successful meat raising and trade. According to the government, before you can begin exporting meat, certain licences are required.
- APEDA Registration: The exporter has to get An APEDA Registration. It’s like getting acceptance from the Govt. regarding your products’ quality.
- Import Export Code: Import Export Code or IEC is a ten-digit crucial business description number required for International Trading. Additionally, the IEC is registered, and Import Export Code is required when filing for the Registration Membership Certificate, also known as RCMC, to obtain APEDA membership.
- Registering of Firms: The first step is to obtain the Company’s Incorporation. According to the procedure, the company needs to be registered with an attractive brand name, logo and text.
- GST Registration: GST registration assists you in gaining your business to become recognised, and it also opens many opportunities for your Company. In addition, it is compulsory to complete GST registration for each business.
- FSSAI Registration: A spice powder can be a food product. Therefore it is necessary to obtain a food processing licence or FSSAI Registration, which is essential for the meat selling industry.
- Halal Certification: The document is issued from the Muslim authority of the country exporting it. It certifies that an agri-food product or pharmaceutical product meets the specifications required by Islamic law to be consumed by the Muslim people. Halal Certification becomes mandatory when you decide to export meat to Islamic countries.
- Trade Licence: A trade licence is an official document that allows the person to open any type of business or trade within a particular region. Therefore, getting a Trade Licence from the local authorities is essential.
List of Raw Materials for Meat Processing
- Spices
- Livestock
- Sauces
- Edible oil
If you feel an investment in raw materials and machinery will not be sufficient, government loan schemes support small businesses to grow fast.
- Processing of Meat
Many methods are used to process meat, and meat selling will only be possible once you process meat. We provide you with some methods for making meat.
The initial step in processing meat is the slaughtering of animals, and the next step is trimming the carcass and trimming and segregating the various organs. After that, you need to sterilise the meat to eliminate the bacteria that may be present within the meat.
The bacteriological qualities in the meat determine the duration of sterilisation, and the characteristics of the meat also determine it. The presence of a large amount of fat within the animal could influence the process of sterilisation.
Other aspects include slaughtering conditions and the sanitary conditions following the slaughter. After this, the meat is simmered in the sauce with the other ingredients and then canned at the end. The final step is meat selling.
- List of the Machinery Needed for Meat Plant
- Automated rapid patty maker
- Meat grinder
- Dehydrator and hydrator
- Meat mixer
- Sterilisers
- Sausage stuffer
- Sausage linker
- Chillers and slaughtering arrangements
- Vacuum sealer
- Transportation
Transport is an integral part of any business. It is important to create plans to reduce your transport costs to make good profits. It is more beneficial to purchase the equipment and machinery you require instead of leasing/renting.
- Packaging
The next stage is the packaging. When packaging processed meat, you must follow all the protocols and adhere to quality standards. Also, it must meet the terms of quality inspection. Exporting can help you get high revenue in meat selling. However, it is not an easy task since it’s perishable. So, you need to adhere to the quality control procedures. You should use palletised Packaging to minimise the chance of contamination. Also, you must ensure the use of plastic wrap and vacuum wrapping techniques.
Conclusion
All the meat processing business owners should acquire FSSAI License along with other permits for operating meat processing business in India. If they failed to get the required licenses, they must be ready to bear legal actions. Processing meat is complicated because it involves several stages. However, having accurate and trustworthy information will make it much easier to establish and manage. There is no reason to stop you from achieving your goals, especially when you partner with the top suppliers and attract clients daily. Sell good meat, and your clients will go nowhere except your shop to buy meat in future!
DR RAVINDRA SINHA, BVC,PATNA
REFERENCE-ON REQUEST.
IMAGE-CREDIT GOOGLE
