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Setting Up A Food Processing Unit: What You Need To Plan

The food industry is growing like a forest fire. It is one of the largest industries globally, only after agriculture and textiles.

Changing lifestyles and growing consumer needs have brought about a quick transition to how food is presumed. Long gone are the days when people used to procure all-natural and raw ingredients to cook their meals.

Perhaps, this is a good time to invest in a food processing unit. But, do you know exactly what things you must consider before setting up a food processing unit?

Don’t worry. By the end of this article, you’ll have a ballpark idea about where to begin and what things you must consider for your food processing business.

Deciding Your Product Line

First things first, before you begin with anything else you must decide what products you wish to produce. For example, you can set up a ready-to-cook meal production plant, or you can go for a beverage manufacturing unit.

Your product line would decide the type of equipment you’d need and, of course, your profit margins.

Setting Up The Production Unit

Once you know what you need to manufacture in your food processing unit, you need production machinery. As already mentioned, the type of products you’ll be manufacturing would eventually decide the type of machinery you need.

When considering the manufacturing setup, make sure that you explore leasing and buying options. These minor differences can affect your profitability.

Food Grade Regulatory Compliance

Unlike other businesses, food processing units are regulated by stricter laws. To put this into perspective, from the sanitary ball valves to the ingredients you use, and the final packaging materials, everything must comply with FDA standards. FDA ensures that nothing involved in a food manufacturing unit hampers the nutritional value of the final product.

Besides, there are also regulations for labelling. You would need to consult with a food engineer to get the labels right.

Creating A Distribution Network

An important factor for the success of your food processing business is its distribution network. Like all other FMCG goods, processed food items also rely on a long chain of distributors and logistics.

You would need to enquire about the distributors within your target market. Also, cross-checking the available logistics network would be a prerequisite. Similarly, you need to pay attention to the packaging of the product. For instance, you can consider paper made with die-cutting techniques to ensure utmost safety during packaging. You can visit the given link for detailed information about the same.

Stay Flexible With Your RnD

Most importantly, food processing businesses are subject to consumer preferences. No matter how much you like your own products, ultimately, it’s the consumer who would decide whether your product would be a success in the market or not.

To stay ahead of the competition, you’d need to constantly innovate and create new products. Particularly, if one of your products is not witnessing the success you were anticipating for it.

Apart from these fundamental planning, the success of your food business would also depend on your marketing strategy. You can surely use digital marketing or you can take up the conventional route. But make sure that you focus on creating a brand out of your business. Reports suggest that consumers are more likely to purchase products that come from a familiar brand.

On this note, we hope that this article is what you wanted it to be and has answered all of your initial queries.

 


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PhatStartupsMike McOwen@PhatStartups·
29 Dec 2017

Why is content marketing so important? Find out here: http://thephatstartup.com/money-finance/why-your-business-needs-a-content-marketing-strategy-in-2018/

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Wow, interesting

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