How to start organic food store in India for profit | organic food shop business plan profit

In today's world everybody wants to be fit and healthy so people are always in search of organic and healthy food. Due to this a business opportunity opens in front of us. In this post we will share organic food shop business idea with you and also help you to understand how to start organic food shop. Moreover, through this blog post you will also get to know about organic food shop business plan, marketing strategies and the most important way to get a license to sell organic food.

What is organic food

Before starting organic business and before opening an organic food shop it is necessary to understand the concept of organic food and organic food business is constantly growing in India. Organic food are such foods that are grown organically meaning no pesticides were used. Crops that are grown within organic farming and later processed as organic vegetables, grains, fruits etc are called organic food. 

Organic food list - Organic food contains vegetables, grains, fruits and processed food such as strawberry

  • apple 
  • grapes
  • eggs
  • grains
  • carrot
  • potato
  • tomato
  • green vegetables
  • green salads
  • herb
  • black pepper
  • sweet potato
  • oregano  
  • broccoli  
  • cauliflower
  • leafy vegetables etc 
  • dairy products such as butter cheese milk curd 

Why organic food is good for health

There are lots of benefits of organic food. Organic crops are grown in natural environments without the use of chemicals and pesticides. Instead of chemicals and pesticides organic crops are grown through natural cow dung and vermicomposting fertilizer etc. Organic fruits and vegetables are full of nutrients without any side effects and in today's era when health is more important than wealth, everybody wants to stay fit and healthy. Organic food helps people to stay fit and healthy due to natural and pure elements in it. Chemicals are always bad for health, however some chemicals effect suddenly and some effects slowly as a slow poison.

Through chemical oriented food people are consuming slow poison due to lack of option and knowledge people were forced to consume that food earlier. But now people are more aware about their health and they know organic food consumption is much more beneficial and healthy then chemical food consumption and this awareness is now creating a difference and slowly but steadily marking a big line between organic farming and chemical farming. You can see the results in upcoming years when organic farming will take over chemical farming but it will take some time because "change needs time". 

Why organic farming is much in demand today

People often ask is organic farming a profitable business! Is organic farming profitable in Ireland, India or globally then we would definitely say yes. Not only in Ireland, USA and India but also in the entire world organic farming is becoming more popular. Right now it is on boom and the organic farming sector is growing day by day.

Indian Prime Minister Narendra Modi is clearly promoting organic farming during his speech he used to speak about organic farming and motivates farmers about organic farming benefits. This straight means the Indian government is planning something big in the field of organic farming.

organic shop

We all know Mahendra Singh Dhoni. He is a former cricketer and world's best captain. Dhoni is well known for his out of the box decisions that made him champion, which are out of the box or bold decision for us that are well practiced decisions for MS Dhoni. You must have heard about MS Dhoni farmhouse (eeja farms) where he is growing organic vegetables and in recent years he has opened an organic food store as well. Dhoni is exporting organic fruits and vegetables out of India and also selling in India. The point is that this man never put his hand in the field of loss. We can say he is a man with much far vision and if he has invested a huge amount at his organic farm including an organic farm shop then there must be a good future in this field. 

How to select place for organic food store

To run your organic food shop with a good profit margin first you need to make a good business plan on organic food store in India. And selection of the place where you should open your organic shop is not only the basic but also the main requirement of this business. You should select an area near the market so that you can easily target a larger number of people. Moreover, the marketplace gives you the facility of easy labor service, transportation, loading and unloading your material in a much easier way. Apart from your convenience you should also survey and select the location for your shop where your customer can easily reach. Moreover, checking the selected place for the shop should not be involved in any illegal issues. 

Organic food store business plan

According to the organic food store business plan you need to think one step ahead of your customers. Therefore we recommend you to list or register your shop in google my business. Registering a shop in google my business is absolutely free of cost, by registering the shop in this listing your shop can be tracked and searched by your customers more conveniently because google my business provides a map facility to viewers and customers who were searching for your shop or products related to your shop.

According to google search history customers are searching organic shop near me and if your shop is registered with google my business then there are more chances of finding your shop address by the customer. Moreover, if your customer finds good services and quality products at your shop then they may give you 4 or 5 stars in Google rating. So always remember to ask your customer to rate your shop and services including products that will help your business to grow much faster. If you will get a good rating then your shop will come in first page of your customers search and first page of google search will automatically send more customers towards your shop. You should also apply for an organic food shop business card to enhance and promote your business. 

organic food store license requirement

License required for organic product - Organic food license in India is required for running your shop without any legal or illegal interruption. To start a business in the food sector it is necessary to apply for a license for organic products.  

  1. You must have to apply for FSSAI license. FSSAI stands for food safety and standards authority of India.
  2. Your organic food store must be officially certified as organic by the organic trade association.
  3. Necessary to take license and food permits under the health department in all the states and therefore it is a necessary step to apply for a food license at your end. 
  4. You should select one of the operating business structures for your business such as limited liability company, partnership or sole proprietorship etc. 
  5. You should apply for a bank account in the name of your organic business Store.
  6. To purchase products you should use a business ATM card. By doing this you can collect credit points for business.
  7. Organic food for fssai license - Fssai license for organic pulses is necessary. 

Indian government trademark

The Indian government will check your food products under their TM check. If your products are found correct according to the Indian government trademark test then only you can sell your food products to the customers. After verifying your food products, the Indian government will stamp mark on your food products called food mark (FM).

Staff for organic food store

it is necessary to hire at least 3 people as staff in your food store. You need to select the staff as per the basic requirements : one receptionist, one cashier and one person who can deal with customers. If you are lacking money then in the beginning you can deal with customers, and involve your family members, later you can hire some people.

You can make marketing strategies weekly with your team where you may give them training on a weekly or monthly basis. Regular meetings and training are necessary for the growth of a small company and remember to start a business it is necessary to hire staff and you have to deal with them as a team. According to history, one person cannot run a big company.

If one person is owning a company and running the company without any employees then the growth will be limited and the growth will suck at some stage. Moreover, for speedy growth you need multiple hands.

Organic food store business investment

  • It is required to invest at least 12 to 15 lakh to start this business on a good scale these amounts are required in various sectors such as:
  • You need a shop in a market location. However, you can select a shop in a remote area of the market to reduce the cost even if this will cost  around rupees 4 to 5 lakh.
  • You need to give salary to staff and this will cost around rupees 2 lakh per year while hiring only two people at the salary of rupees 10000 per month. 
  • To purchase raw material you need to invest on average Rs 4 to 5 lakh. Thus you have to invest a good amount to start and scale your organic food shop. 

Business loan in India

Business loan for new business - Today the Indian government is running lots of schemes and loans to encourage our youngsters' startups and new farming business models. Government is running various subsidies for small businesses through which one can get nearly rupees 20 lakh and start a new business.

You can also apply for the Pradhan Mantri Mudra loan scheme. Pradhanmantri mudra loan yojana is an optimistic yojana or scheme run by the Central Government of India. PM mudra loan Yojana contains three segments and they are Shishu mudra yojana, kishor mudra yojana and Tarun mudra yojana. Through tarun mudra loan scheme one can get around rupees 10 lakh.

How to apply for Pradhan Mantri mudra Yojana

To apply for Pradhan Mantri Mudra Yojana you need to arrange and submit the required documents. You should visit mudra.org.in for more details. 

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