Tuesday, 15 November 2011

Start a organic Jaggery Extraction Unit


(214). Start a organic Jaggery Extraction Unit

Sugar industry in India is a well-developped industry and one of the largest after textiles. It
provides rural employment opportunities and plays an important role in Indian economy.
Jaggery is also manufactured from sugarcane juice and is very widely used not only in
individual households but also in many eateries, restaurants, clubs and hostels and it has
certain industrial applications as well. Manufacture of sugar involves many technical aspects
and the capital investment is also on the higher side. Compared to this, production of jaggery
is very simple and the capital cost is also very limited. Due to its wide applications, the
market for jaggery is continuously growing.

Jaggery is a typical Indian product with several uses in daily food preparations and it is also
used to make many sweet food preparations. This is a product with scattered market and can
be manufactured in the states like Maharashtra, UP, Gujarat, Bihar, Jharkhand etc.

The demand for jaggery is steadily growing many folds in the urban, rural and semi-urban
areas. There are several applications of jaggery and almost all Indian households use it on
day-to-day basis. Market for jaggery is round the year whereas its production is only during
the sugarcane season and thus factory works for around 6 to 7 months every year. Apart
from individual households, it is used in large quantities in restaurants, road-side dhabas,
other eateries, hostels and clubs and by caterers. It has shelf-life of more than couple of
months. Its production is undertaken at several places but Maharashtra, Uttar Pradesh,
Bihar and Tamil Nadu are the leading manufacturers. In view of constantly growing market,
it should not be difficult for a new entrant to enter and capture the market.

Jaggery manufacturing is done on a small scale by a group of farmers. The juice is extracted
from fresh sugarcane. Then it is filtered and boiled in wide, shallow iron pans with continous
stirring and, simultaneously soda or bhindi juice is added in required quantity. While boiling,
brownish foams come at the top which are continuously removed to get golden yellow colour
of jaggery. The consistency of the juice becomes thick and then it is poured into the small to
medium sized iron or aluminum cans where blocks of jaggery are formed after cooling. Size of
the blocks can vary from 1 kg. to 12 kgs. Finally, these blocks are packed in gunny bags.
From 100 kgs. of sugarcane, 10 kgs. of jaggery is made. The process flow chart is as under:
  • Juice Extraction
  • Filtration and Boiling
  • Cooling and Packing
5.1 Land and Buildings
The total land requirement would be 500 sq.meters which may cost Rs. 1.50 lacs. The built
up area requirement is estimated to be 300 sq.mtrs. and the rate of construction is taken at
Rs.1500/sq.mtr. since the roofing could be of asbestos sheets. The cost of construction would
be Rs.4.50 lacs.