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How to Start Organic Fertilizers Business in India?

Sangeeta Soni
Sangeeta Soni
A Farm Preparing Organic Fertilizer

Farmers are getting concerned about the environment these days, hence they are trying to protect the ecosystem by installing compost piles, planting butterfly-attracting flowers, using vertical farming methods, practicing organic farming, etc. 

With this, there is a great scope to start an Organic Fertilizers business. 

Here we will discuss the requirements of this business, government norms, and all the necessary details.  

Organic Fertilizers Business: Setting up a Business Plan 

The first step in starting a business is to create a business plan. Setting a goal and focusing on the market and possible clients, strategy, marketing, and, most importantly, competitors are all necessary when establishing a firm.

There are numerous fertilizer businesses, but beginning an organic fertilizer business is unique in and of itself, as chemical-free goods are in high demand in today's world and may yield significant profits if managed properly.

Permit, Licence & Legal Documents Needed for Organic Fertilizers business

Here is the list of all the legal documents that you will require to start your organic fertilizers business. 

  • Firm Registration- If you are starting a business on your own, you must register your company as a sole proprietorship. And, if you're creating a partnership, you'll need to register with the registrar of businesses as a Limited Liability Partnership (LLP) or  Ltd. company with the registrar of companies (ROR).

  • Trade Licence- This can be obtained from local authorities.

  • GST registration- Get GST number, tax identification number, and insurance certificate.

  • MSME/SSI registration- This will make you eligible for government schemes and subsidies regarding your business.

  • Trademark- Register your brand with a trademark that will protect your brand.

  • EPF & ESI registration- If starting at middle or large level with more than 20 employees, then EPF is a must for Employees State Insurance for workers. And ESI for employees’ provident fund. 

  •  IEC code- If planning to export to other countries, then IEC code is mandatory. 

Location, Production, Specifications 

The location must be chosen with consideration for accessibility to all amenities, such as water supply, drainage, and power, as well as proximity to the raw materials source and desired market, as well as government regulations. Furthermore, fertilizer production must adhere to the requirements outlined in the FCO, Fertilizer Control Order.

And then the final task is to sell the fertilizers. You can directly contact the farmers, or go for wholesale in the wholesale market, or you can also go for online selling through your own website or B2B websites. 

(Also read- Bio-Fertilizers, A Step Toward Organic Farming)

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