How to start your own granulated sugar business
About sugar production
Sugar production is a fairly large branch of the food industry. It has about 320 enterprises. They specialize in the production of products, which are divided into sugar-sand and sugar-refined.
As a rule, sugar refineries are located near the sugar beet sowing sites and operate seasonally. The production of granulated sugar at modern enterprises is quite large-scale. Thus, large and well-equipped factories can process up to 6 thousand tons of beets.
Refined sugar production involves the production of lump refined sugar or refined granulated sugar. Such factories are located in large cities and can operate all year round.
Features of sugar
Both refined sugar and granulated sugar are high quality food products that are characterized by a sweet taste. In addition, it is practically pure sucrose. It can be easily and completely absorbed by the body, allowing you to quickly restore the lost energy.
It is a disaccharide that, under the influence of enzymes, breaks down into glucose and fructose. In addition, sucrose is readily soluble in water and forms supersaturated solutions. As the temperature rises, its solubility increases.
Sucrose can be in a crystalline or amorphous state. In terms of chemical structure, sugar is a weak polybasic acid that, when reacted with alkali or alkaline earth metals, produces compounds called saccharates.
It should be noted that thanks to fructose, invert sugar is hygroscopic, therefore, it slows down the hardening of bread, prevents the process of candying jam, and also prevents marshmallows, marmalade, fondant or other confectionery from drying out.
Sugar market analysis
The production of granulated sugar always remains promising, since sugar has been and will remain a basic commodity. He always has a stable demand, which does not pass.
It should be noted that the sugar business is characterized by rapid growth. This is due to the reconstruction of factories and an increase in their production capabilities. In addition, one can notice a positive trend in the consumption of sugar by the population.
So, if you specify statistics, then a person consumes about 20 kg of this product per year, not counting the amount that is included in other delicacies. And although doctors do not recommend eating a lot of sweets, believing that it negatively affects health, the general functioning of the body and can lead to diabetes, the demand for sugar does not decrease. That is why a high-quality business plan for a sugar factory is a good opportunity to organize a well-thought-out production and get a good profit.
The food industry is traditionally one of the most resistant to market changes, since the demand for products in this area is constant and stable. The only exceptions are the so-called. “Elite” products: delicacies, expensive types of chocolate, etc.
But the most simple and inexpensive - both in production and in terms of investments in technology - products are often the most profitable, since they are included in the minimum consumer basket and are in great demand.
In the ideal case, the food product produced should be one-component - increasing the number of items in the recipe accordingly increases the investment in production: for many ingredients, more and more machines are required. At the same time, the production of such a product should not only pay for itself, but also bring a tangible dividend, that is, be in increased demand, since simple one-component production usually produces an inexpensive product.
There are several dozen highly profitable food industries, and one of them is the production of granulated sugar.
Such production meets all of the above parameters: one-component product - made from sugar cane or (in Russian conditions) sugar beet; the consumption of the product is simply enormous: in addition to practically every inhabitant of the country, food industries consume even larger quantities of sugar. The cost of equipment for the production of granulated sugar is low (detailed consideration below).
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Of course, this production, like others, has its pluses and minuses. In this case, the disadvantage can be called the attachment of sugar factories to raw materials - i. to places where sugar beet grows. In the case of our country, such regions are the Central, Volga and Southern Federal Districts - in other regions, production is possible only on imported (imported) raw materials.
There is also a positive point: more than 90% of sugar produced in Russia is produced from imported semi-finished product - raw sugar. This significantly increases the cost and, accordingly, the selling prices of such sugar. And production from local raw materials is always cheaper - this will make it easy to enter the market using dumping prices.
Granulated sugar production technology
The technological chain of sugar production can be divided into several main stages, and the first of them is washing and cleaning of beets from foreign objects. The fact is that during harvesting, especially mechanized harvesting, up to 10-12% of the mass of beets are, in addition to the actual adhering earth (soil), tops, straw, sand, slag, stones and even individual metal objects.
Investments: from 3,500,000 rubles
Payback: from 1 month
In the food industry, there are several branches of production with high profitability: almost all people consume products. One of the promising business areas is the production of sugar from sugar beets. Let's consider the advantages and risks of such a business and calculate the possible costs.
According to statistical studies, every resident of our state consumes about 20 kilograms of sugar a year. The product is in constant demand, and if you organize the production of sugar as an enterprise, it will bring a high income.
More than 90% of sugar in Russia is produced from imported raw materials. The prices are quite high.
If you use local raw materials, you can benefit greatly from the difference in selling price.
This kind of production requires a decent start-up capital. You need to buy expensive equipment and hire skilled workers. There are two ways to organize your business:
- Purchase a ready-made plant. You immediately get a well-established production with high capacity, infrastructure and often with proven supply channels. However, maximum caution is required, because sometimes decaying buildings with outdated equipment are offered. In order not to get into such a situation, use the services of a competent appraiser.
- Buy or rent the necessary premises and assemble the production workshop yourself from a variety of machines and assemblies. For a novice businessman, this is the most suitable way.
You can sell products in bulk to hypermarkets, confectionery factories, catering establishments and canneries.
The food industry is an industry that is highly resistant to any changes in the market, since the demand for food never falls. One of the most profitable businesses in this area is sugar production. This product is included in the minimum consumer basket, therefore it is very popular with domestic consumers. In this article, we will deal with the technology for the production of sugar from sugar beet and tell you how to organize such a business.
Sugar production is a fairly large industrial sector. In our country, granulated sugar and refined sugar are produced by more than 300 enterprises. This high-quality natural food product is an essential commodity, therefore, there is a consistently high demand for it in any economic conditions.
Sugar entrepreneurs periodically renovate their factories to increase their productivity. Due to this, this market segment is developing at a rapid pace.
According to statistical studies, every citizen of our country annually consumes about 20 kg of sugar. Despite the fact that excessive consumption of this product can negatively affect human health, the demand for it does not fall. Therefore, if you organize sugar production as a business, it will be profitable.
Such a business, in addition to advantages, also has disadvantages. The most important of them is that mini-factories for the production of sugar from beets are tied to the places where the raw materials are grown. If you use imported raw sugar, the cost of production increases significantly. Therefore, entrepreneurs mainly use domestic raw materials.
Are you wondering which production is profitable to open in 2021? The most profitable and affordable option is sugar production. But in order to organize such a business, you need to issue permits and register a legal entity. You can also open an individual entrepreneur, but, in this case, you will not be able to conclude contracts with large organizations.
In addition, it is necessary to bring the production premises into full compliance with the requirements of the fire inspection, SES and other regulatory bodies. All existing norms should be clarified directly with these organizations, since they may differ significantly in different regions. Finished products must fully comply with special GOSTs.
On the territory of our country, sugar is produced from sugar beet. But gradually these raw materials begin to replace alternative proposals:
- Sorghum stalks. This product comes from China. Sugar made from such raw materials is no different from the usual for all products;
- Malt sugar is made from starchy rice. Such raw materials are produced by Japan;
- Palm juice is produced in Southeast Asia;
- The main suppliers of sugar cane are Brazil and Cuba.
Sugar is a commodity that is consumed all year round in all parts of the world, and those who make sugar are known to generate sales continuously if the business is well managed. The profitability of the business is quite high, since it is used not only in everyday life, but also in confectionery enterprises, in the production of beverages and food, in pharmacology and many other fields.
The annual consumption of sugar by the average Russian is about 20 kg per year and in spite of everything it continues to grow. Despite the fact that there are large companies that are engaged in sugar production, the fact remains: starting a small sugar business has minimal barriers to entry with a relatively low start-up capital.
One of the factors that motivates aspiring entrepreneurs to start a sugar company is the fact that the sugar market covers people of all races, cultures, financial backgrounds and ages. Despite the fairly high competition, an enterprising businessman can occupy his own niche and receive a stable income. Consider in the article the nuances of a sweet business.
In any business, this is the very beginning. Here you can choose the form of IP or LLC. But for the production business, it is better to take the second option right away, as this will allow working with large companies.
Documents required for LLC registration:
Taxation choose a simplified tax or a single tax on imputed income.
You will need to obtain permission from the fire, sanitation and environmental services as the product is food grade. Also, it must comply with GOST:
- R 52647-2021 - “Sugar beet. Technical conditions ",
- Р 53036-2021 -" Sugar beet. Test methods ";
- R 52678-2021 -" Sugar production ".
How sugar is obtained: production technology
A sugar factory can produce several types of product, these are:
The technology of sugar production from different types of raw materials is not fundamentally different, there are only some nuances. The main raw material for the production of the product in Russia is sugar beet. Production goes through the following stages:
- Cleanup. Perhaps this is one of the important stages. The fruits are washed in a beet washing machine to remove dirt and various impurities.
- Slicing. In a special machine, the fruits are processed, the result of which is small chips, which are easier for further processing.
- Spin. The machine squeezes out dark-colored beet juice from the obtained shavings. It contains 13-15% sugar.
- Concentration. The resulting juice is evaporated to a syrup. After this procedure, the sugar content increases to about 70%.
- Crystallization. Special installations process the syrup into a crystallized mixture called massecuite.
- Final process. The massecuite can be further processed to obtain a higher quality product.