Planning to invest in cold storage involves knowing how much money is spent to open cold storage. In case, you do not have much of an idea, you may contact NSSPL. Mr. Yogesh Dahiya, the MD, himself will resolve your queries.
Why are cold storage businesses required?
The wastage of vegetables and fresh fruits is high around the globe. Generally, countries producing high quantities of food crops are contributors to food wastage. Cold storage is necessary to extend the shelf life of the products. The cold storage avoids gluten, allows storing post-harvesting produce, and reduces bottleneck transporting. Thus, during high production, the foods can be stored and sold later in good condition at a high price. Yet, you must learn from experts how much money is spent to open cold storage.
Cold storages are essential as it decreases the wastage of perishable commodities. It helps farm products to be available at any time to consumers. The remunerative costs available to farmers are good, and to consumers, it is at affordable prices in fresh condition. The NSSPL MD says the demand for processed and packaged food has stirred the need globally to look for cold storage. The lifestyle habits of working people have compelled them to open more numbers of cold storage facilities. To begin with, one can try to know the 500 MT cold storage cost in India.
How much money is spent to open cold storage?
The minimum investment in a cold storage business is 30 to 40 lakh. It is on the cold storage room type you choose, single or multiple products storage facilities.
Working on the business plan is crucial. The cold storage business is a one-time investment. It is a service that preserves fruits and vegetables from spoiling. It retains the freshness for a longer time. The initial investment is much higher even for a 500 MT cold storage cost in India in comparison to other small businesses.
The cold storage business thrives in developing and developed countries. There are product-specific types of cold storage, where potato is exceptional, and another cold storage type is multi-purpose. The multi-purpose returns on cold storage are profitable and higher. The cost of 500 MT cold storage cost in India is 50 to 70 lakhs.
This blog is also worth reading for you:- Is there demand for cold storage in Hyderabad?
Cold storage Investment cost
The cold storage initial investment cost is high. The investment is required to cover buying land, constructing the cold storage building, getting permissions, licensing, and arranging utilities such as water and electricity.
Investing significant capital in buying cooling machinery is mandatory. To ensure long-term sustainability, consider buying updated machinery. Further, consider the working capital expenditures, the monthly costs that entail utility bill payments, staff salaries, and promotional expenses.
Investment Cost includes:
- Buying cooling machinery
- Renting or purchasing land and building the cold storage facility
- Hiring experienced, skilled and professional staff and their salaries
- Getting local authority permissions and government licenses
- Paying water, electricity, and other related monthly bills
- Advertising, promotion, and marketing expenses
- Daily expenditure and capital
A cold storage business in India is not an impossible task. But, you need to prepare a business plan in detail. Incorporate information relating to cold storage businesses to be used. Consult, with the MD of NSSPL seeking ideas about maintenance and cleaning cold storage plants, targeting audience, and product promotion. It is a must to know the humidity level, how to preserve the product, and check the temperature. Consider clean trays, storage bins, and containers with timely service.
One name, NSSPL, call them now!
