Milk Powder means you all are well aware of milk powder, yes friends, this product is used to make various types of drinks like tea, coffee etc. As we all know that liquid milk gets spoiled in a very short time but in spite of this, packaged liquid milk has been used on a large scale in cities.
But when it comes to milk powder or milk powder, it can be used for a long time, that is why at present tea, coffee etc. are used on various events like wedding, birthday party, anniversary party, birthday party etc. Milk powder is used to make the drink.
Therefore, in the present time, when it remains a challenge to reach liquid milk to urban areas, in such a situation, if an entrepreneur starts the business of making milk powder, then it can come as a profitable business for him. Before we talk about the process of starting this business, let us know what is this Milk Powder Manufacturing business.
What is Milk Powder Manufacturing Business:
If we talk about Milk Powder, it is not only rich in calcium but it is also rich in nutrients. In general, nutrients like phosphorus, protein, potassium, vitamin A, etc. are found in abundance in milk.
By the way, milk powder is a product made from dairy products like milk itself, it is made by dehydrating liquid milk and it has to go through various processes until it becomes liquid milk powder. That is to say, Milk Powder is made by dehydrating liquid milk.
Hence the composition of this dry milk may vary according to the composition of the liquid milk from which it is being made. When this kind of work is done commercially by an entrepreneur keeping in mind his earnings, then this work done by him is called Milk Powder Manufacturing Business.
Use and sales potential
If we talk about the use of Milk Powder, it is used at both domestic and commercial level. For domestic use, it is mainly used in tea, coffee and other drinks that require milk.
While commercially or industrially it is also used in the chocolate industry to make milk chocolate and ice cream, it is also used as a highly nutritious animal feed.
This is the reason why this product has already established a very wide market globally and it is used by people of almost every age group but it is especially preferred by children.
According to a data, the Indian Skimmed Milk Powder (SMP) market grew at a CAGR of 10% from 2011 to 2018. From which it can be guessed that the demand for Milk Powder will continue to increase in the coming times as well.
How to Start Milk Powder Manufacturing Business:
Liquid milk is the most important raw material for manufacturing milk powder and as we have already mentioned in the above sentence that the composition of milk powder can also change depending on the composition of the liquid milk. Therefore, the purer the milk, the better quality the milk powder will be.
Therefore, an entrepreneur wanting to start this type of business should choose a location for his business where pure milk is easily available at reasonable prices. And it is possible in the same area or area where people do animal husbandry, dairy farming. Apart from this, the entrepreneur may have to go through many processes, but here we are trying to know briefly about these steps.
1. Manage the land
Although it may take a month or more for the entrepreneur to manage the land because the entrepreneur needs to manage the land according to his business plan.
If the capacity of the entrepreneur’s plant is more, then there is no doubt that he will need more resources for which he will have to manage more land. But the entrepreneur should arrange the land at the same location where he feels that he will get liquid milk easily and at reasonable prices for manufacturing Milk Powder.
By the way, in the initial phase, the entrepreneur can start this type of business by renting a big condition. Management of land can be done anywhere where there is proper arrangement of road, electricity, water etc. because for this it is not necessary that this type of unit should be in any residential area or local market.
2. Manage Finances
As we have mentioned earlier that the cost of starting a Milk Powder Manufacturing Business depends on the level of plant the entrepreneur wants to set up. Because the entrepreneur will need more resources to set up a higher capacity plant, then the investment will also increase.
Therefore, first of all the entrepreneur should prepare a business plan or project report for his business. In the business plan, where the complete details of the business from starting, how it can be run successfully, etc., while the project report is a part of this business plan.
In which the details of everything from estimated cost to estimated earnings are mentioned. Therefore, the entrepreneur will be able to manage the finances accurately only when he knows the estimated cost through project report or business plan. To manage finance, the entrepreneur has options like government subsidy schemes, own personal savings, bank loans, venture capital etc.
3. License and Registration
To start Milk Powder manufacturing entrepreneur can get the following license and registration.
- You can register your business under Proprietorship.
- Can do GST registration for invoicing and billing.
- One can open a current account in the bank in the name of his business so that all types of financial transactions can be completed easily.
- Being a food and beverage business, a food license may also be required, which the entrepreneur can apply for online through the official website of FSSAI.
- One can also take trade license from local authority like Municipal Corporation etc.
- Udyog can also get Aadhaar and MSME data bank registration done to take advantage of the schemes launched for the MSME sector.
- Trademark registration can also be done to establish and protect its brand.
4. Machinery and Raw Materials
The machinery used in Milk Powder Manufacturing depends on the production capacity of the plant itself. And this is a significant part of the cost involved in starting this business, so the entrepreneur should choose a good supplier to buy them even after negotiating with different suppliers. Some of the major machinery and equipment are listed as follows.
- Storage tank
- Feed pump
- Spray dryer with atomizer
- Baby boiler
- Chilling plant
- Packing unit
- Laboratory Testing Equipment
- Other equipment
The list of raw materials used in the milk powder manufacturing business is as follows.
- Citric acid
- magnesium oxide
- Other Chemical NACL, CACO3
- packing material such as tin container
Manufacturing process of Milk Powder
To make milk powder from liquid milk, it has to go through many processes, whose step by step information is as follows.
1. Separating and Standardizing
Before starting this process all the above mentioned raw materials are delivered to the factory and then a centrifugal cream separator separates the cream and skim milk from the milk. After this, a little cream is added to the skim milk so that the amount of settled remains in it.
2. Preheating Process:
After the separation and standardization process, the preheating process is started, in which the milk is heated to a temperature of 75 to 120 °C. And this process can be done through steam injection, through heat exchangers, or a combination of both.
3. Evaporation process
For Milk Powder Manufacturing, the next evaporation process is carried out, in this process the milk is concentrated at various levels. In this process milk is boiled in vertical tubes under a vacuum at a temperature below 72 °C. And in the same process water is removed from the milk through evaporation.
4. Spray Drawing
In this method the milk is atomized and it is converted into fine droplets by evaporation. It is then placed in a hot chamber where proper flow of hot air serves to dry it. The milk droplets are then cooled down through evaporation itself.
5. Packaging and Storage
The final process in the Milk Powder Manufacturing Process is packing and storing, although there is no doubt that milk powder can be used for a much longer period of time than fresh milk. But in order that it does not deteriorate for a long time, it is necessary to protect it from moisture, oxygen, light and heat. Therefore, plastic bags or tin cans can be used for their packing.