Do you want to start a small scale noodle manufacturing business? The noodle making process is comparatively simple and almost anyone can start noodle business in India with a small investment.
Noodles manufacturing can be quite a profitable business in India. It is cooked regularly in most houses and you can also sell noodles to clubs, restaurants, street food trucks, kiosks and so on.
Exporting your produce is also another option, as there is good potential in the Asian Pacific region. China leads the noodle market, followed by India, the US, Indonesia and Japan. The demand is present in both urban as well as rural areas.
Selecting the Product Before you Start a Noodle Manufacturing Business in India
There are many types of noodles that are popular in the Indian market.
- Select the production of noodles that are in local demand. For instance, there are instant noodles, egg noodles.
- You can produce instant noodles that contains spices and oils etc. or opt for plain noodles that have to be mixed with spices during preparation.
Ready to eat type noodles are more profitable with great potential in urban areas with popular brands being Knorr, Top Ramen and Maggi.
- You can also sell fresh wet noodles to local restaurants and shops.
- Consider value addition products like vermicelli, spaghetti and pasta as well, along with packaged soup from the same production unit, while diversifying.
Analysing the Market for Noodles Manufacturing in India
Any noodles manufacturing business needs proper market research and analysis to check out if it is viable.
- The global demand for instant noodles will be about 145 billion packs by the year 2020 and India ranks among the major share for this demand, ranking 5th in global demand for instant noodles.
- Check out the demand for instant noodles and plain noodles in the local restaurants and fast food outlets in your area.
- Contact other noodle manufacturing units and see how their plants work. Find out the difficulties that they are facing, so that you can develop alternative plans.
- Noodles are very popular in India due to its sensory appeal as well as the ease of preparation it offers to homemakers. It also has good nutritional content and can be stored for long periods.
- Noodles manufacturing business is a viable business in India, as the product is congenial with different sauces and flavorings.
- Improved standards of living in India has resulted in increased consumption which is supposed to go up steadily in the years to come.
- At present, the noodles market in India is dominated by Maggi and Top Ramen, though there are also plenty of small and medium sized companies that manufacture noodles all over the country.
- The demand for noodles manufacturing has increased, so there is ample scope for new manufacturing units in this sector, especially for catering to the demands in rural and semi urban sectors in India.
- Apart from local consumption, there is also good potential for exporting to the Middle East and European countries.
Financing for Noodle Business
You will need financing for the noodle making machinery, raw material, labor payment, license and registration and marketing of the business.
- Prepare a business plan for noodle formulation and manufacturing and start making applications for loans from financial institutions.
- Fixed capital expenditure is needed for land, building, plant, machinery and some preliminary expenditure for operations.
- You will also need working capital for raw materials, packaging, finished goods and some working expenses towards labor, rent, taxes, etc. in a noodles manufacturing business.
License/Registration of Noodle Manufacturing Unit
In order to start a noodle making business, you have to follow the legal guidelines.
- Visit the nearby administrative office to get details of legal procedures for noodles manufacturing business.
- You will need a certification from the FSSAI or Foods Safety and Standards Association of India.
- You will need to register your business and get a trading license, then apply for VAT registration.
- A BIS certification is also mandatory, along with compliance with PFA Act and with GMP.
- Register the company name and trademark. You can also opt for ISO 9001 certification.
Warning: Follow and abide by all the regulations or your manufacturing license could get canceled.
The product must meet specifications of the PFA. The BIS specification for manufacturing of noodles is IS:1485: 1976.
Location of Noodle Manufacturing Plant
If you’re planning to setup a plant, you might need to select the right location.
- For a small sized operation, you will need around 700 sq feet space, for manufacturing the noodles, as well as for packaging it and storing it, along with some office space.
- While selecting a location, check availability of skilled labour and check out the tax rates of the place as
- Check out logistics like whether you are close to your target customer market, as this can improve delivery times and increase profits.
Maintain a good height for your noodles manufacturing workshop and keep exhaust fans in order to have a comfortable environment in the factory and not violate any pollution control regulations.
You can also opt for a noodle making business from your home and your own kitchen. Start on a small scale right from your home and then invest more as the business flourishes and look for a good manufacturing location nearby.
Noodle Producing Machinery/Equipment
You will initially need to purchase at least a small scale noodles making machine.
- There are two types of machinery available in India for manufacturing noodles. One is a semi automatic one and the other is a full automatic one.
- Other equipment needed for the noodle manufacturing process will include:
- Powder mixer ( Stainless steel ones are more expensive)
- Dough mixer
- Machine for making noodles with various die heads
- Dryer machines used in food processing industries, which can be designed and customised according to your requirements.
- Weighing scales
- Buckets, trays, pouches, outer boxes, etc.
- Water boiler
- Utilities like water and electricity as well as manpower and transport.
Research for the best machinery for noodle manufacturing. It is important to select the right machine, as a wrong choice could affect the quality of your final product. Get expert advise for machinery suitable to your requirements.
Raw Material for Manufacturing Noodles
- The major raw materials for noodles production are wheat flour, vegetables, starch, salt and sugar, refined vegetable oil along with different flavors.
- Additives can be in the form of preservatives and permitted colors.
- For packing, you will need polythene bags as well as labels, cartons etc. You will find all these raw materials available in the nearby market.
Remember: You can formulate your recipe based on the taste or flavor you want to impart to the final product.
Tip: Use the formula from a reliable source. Learn about the factors that affect the quality of noodles.
Noodle manufacturers must choose the correct wheat type, proper processing method, and formulation for producing the right color and quality of noodles.
Noodle Making Project Report and Plan
While preparing a project report for your small scale noodles manufacturing company, try covering all the aspects of the business.
- Analyse the market potential and your target customers.
- Find out the availability of plant, machinery, raw materials and financing requirements.
- Start negotiating with collaborators or partners and make the required investment decisions.
- Make estimates of the raw material costs, the cash flow plan, balance sheet and so on.
- Make market surveys and assess the feasibility of the project in the chosen location.
- Go through the manufacturing procedure and whether you will need technical counseling for setting up the project.
Manufacturing Process of Noodle
Get familiar with the manufacturing process for making noodles. How to manufacture noodles? The process is simple and does not need much skilled labour.
- Make a checklist of the basic raw materials needed for the noodles making process.
- Get all the machinery for making noodles, for measuring, cutting, folding, drying etc.
- The process involves dry mixing and then kneading the flour in a mixture machine. It is then put in steel rollers in the noodle manufacturing machine. A sheet is made and it is then cut to the desired sizes.
- The chowmein is then boiled in a boiler machine and later it is dried so that all the moisture content is removed and the oil sticks to the noodles.
- The product is then weighed and packed.
- The machine for making noodles uses high technology and manufacturers can produce all types of pasta with different ingredients like Rava, rice flour, all purpose flour and so on.
- You can also produce different shapes of noodles, like Fusilli or Penne, Vermicelli, Macaroni in different shapes.
Wrap Up – Noodles Making Business in India
If you are hungry and wish to cook something quickly to satisfy your hunger, the first thing you’d reach for is a packet of noodles, right?
Starting from kids to the elderly, all age groups love eating noodles in their homes or in restaurants, thereby giving the business a huge demand.
Starting a noodles manufacturing business seems to be surefire formula for success. However, you need to follow the above check list in order to make it viable.
Today, there is rapid industrialisation in India and the people’s purchasing capacity has also increased. They have also changed their eating habits and have started preferring ready to eat foods, especially working couples in urban areas.
So, it makes sense to start such a viable manufacturing unit like a noodle manufacturing one. All the best!!