HOW TO START A BUSINESS IN THE FERTILIZER INDUSTRY IN INDIA?
An important factor and element in the agriculture industry are the fertilizers and they are substances that supply one or more of the chemicals required for plant growth. There are two options when it comes to fertilizers as they can be both organic and inorganic. Since India is a country where the major part of the economy depends on the primary sector that is agriculture, fertilizers are the key to ensuring the inflow of both primary and secondary elements required for crop production in the desired quantities.
The fertilizer industry has a very prominent role here and is one of the industries which the Indian economy cannot do without. Being an extremely vital industry as it manufactures some of the most important raw materials required for crop production, it is not wrong to say that the success of the agricultural sector in India is largely dependent on the fertilizer industry.
So starting a business in the fertilizer industry in India is something that also depends on a benchmark that the food industry in India has set is mainly due to the many technically competent fertilizer producing companies in the country. India is home to numerous top-class private and government fertilizer companies and different parts of the fertilizer industry from fertilizers to seeds and fungicides the many fertilizer companies in India are the major reason behind the success story of the sector in India.
TYPES OF FERTILIZERS TO START YOUR BUSINESS IN THE FERTILIZER INDUSTRY
Organic Fertilizer: As the name suggests, organic fertilizer does not contain any chemicals, it is hence the most commonly used fertilizer as they are easily available and extremely safe. The popular organic fertilizers used in agriculture are manure, peat moss, worm castings, slurry, sewage, seaweed, and guano which certainly have a lot of advantages.
Inorganic Fertilizers: These fertilizers are usually produced from chemical compounds like potassium chloride, ammonium phosphates, and ammonium nitrate which can include names like limestone, mined rock phosphate, and Chilean sodium nitrate in India.
How TO START A BUSINESS INORGANIC FERTILIZER INDUSTRY IN INDIA
START WITH CONDUCTING RESEARCH, A DETAILED ONE:
So, while the idea of starting an organic fertilizer manufacturing company in India can be exciting, it is not exactly a cakewalk and it is not something that can be started without proper research and study of the industry.
What your detailed research in order helps you with is knowing how to set up an organic fertilizer manufacturing company and how to leverage on the existing market to sell your products and also how to create new market channels.
GET YOUR BUSINESS PLAN READY
After knowing about the market and its condition, your next step is to start penning down your plan to start your organic fertilizer manufacturing company. Once the business plan for organic fertilizer production is a written business document, it will guide you in setting up and running your business and become a blueprint of your business.
REGISTER YOUR BUSINESS: PERMIT AND LICENCE
One must have registration of their business i.e. sale and manufacturing of fertilizer/ fertilizer mixture/ biofertilizer/ organic manure through filling the Form A2 is issued by Director of Agriculture and District Agriculture Officers with attached Documents required for obtaining A2(sale permission) for wholesale for the whole State with a fee of Rs. 2250.00 deposited through Treasury Challan along with various other documents for which you can check the related website.
SELECT AND LEASE A SUITABLE LOCATION
One cannot just start production of the fertilizers anywhere when it comes to organic fertilizer manufacturing company, you would have to cross-check with the nearest planning and zoning services office to be sure that the location you choose for your business for approval of the same.
What else one should keep in mind is the importance to set up an organic fertilizer manufacturing company in a place notable for farming which will make it easier for you to access your immediate market along with the easy means or transporting for the organic fertilizer if you intend to export or distribute them outside of your state.
SOURCE FOR SUPPLY OF ORGANIC FERTILIZER RAW MATERIALS
Now, just like the production of any other product, this also requires raw materials and those have to be supplied from places and there are various sources for the raw materials used in the manufacturing of organic fertilizer.
Back to step 1, while conducting your detailed research, you must keep in mind that it should pinpoint the best and most suitable raw materials that you can work with. As you are planning for your business to be there for a long run, well, you can negotiate with the management of nearby abattoirs to freely collect animal matters, you can talk to poultry farmers to get the waste from birds, along with ensuring that you negotiate with sewage management authority to collect sewage from them to ensure a steady flow of raw materials.