Looking for a business plan which can both be low risk and at the same time largely unexplored in the traditional sense until now. Well one of the items that qualifies both the parameters in India, is that of banana and it’s by product. How would you react when you get to know that bananas are one of those agricultural/horticulture products where India is leaps and bounds ahead of the rest of the world? According to the Food and Agricultural Organization Corporate Statistical Database of the United Nations, India accounted for almost 20% of global banana production in 2017.
Related Projects: – Banana Products: Banana Flavour, Banana Puree, Banana Based Industries
Top ten major world producers of banana by country
| Country | Production(million tonnes) |
| India | 30.5 |
| China | 11.2 |
| Philippines | 9.2 |
| Columbia | 7.4 |
| Indonesia | 7.2 |
| Ecuador | 7.1 |
| Brazil | 6.7 |
| Cameroon | 5.8 |
According to Agricultural produce Export Development Authority (APEDA) of Government of India, India exported 135.2 thousand metric tonnes of banana valuing around Rs 415 crore in 2018-19.
Top importers included USA, Belgium, Russia, Germany, Japan etc. Bananas are one of the most consumed and cheapest fruits worldwide: they are the most traded fruit and the fifth most traded agricultural product. The global export value of the banana trade was estimated to be US $11.8 billion in 2017-18, with a retail value between $20 and 25 billion. The global consumption for bananas is estimated to grow at a CAGR of 1.21% for the forecast period of 2019-2024. In the medium term, the global banana market is set to continue moderate growth. The expected population growth will drive the consumption of bananas in the world.
Related Project: – Banana Products (Banana Powder, Banana Puree and Banana Concentrate)
% Share In Global Food Products
| Banana | 9.86 |
| Grapes | 6.85 |
| Apples | 6.10 |
| Avocadoes | 4.44 |
| Oranges | 4.26 |
International Trade Centre & World Banana Forum, 2020
Currently, some 150 containers stacked with bananas are shipped from India per month to markets in West Asia. With 1,800 containers per year, the market is around ₹150- 200 crore. Branded bananas seem to have found favour in Western Asia. Consumers in West Asia appear to have taken a liking for bananas from India. Though India recorded a 45 per cent jump in banana exports in 2013-14, and Qatar, Saudi Arab, Oman, United Arab Emirates, and Kuwait were among the top export destinations, exporters insist much more needs to be done to jump-start the fledgling business. Therefore there is an ample scope for new business and entrepreneurs to enter in this market.
Related Video: – Banana Powder Manufacturing Business
Most of the edible bananas are cultivated mainly for their fruits, thus banana farms could generate several tons of underused by-products and wastes. Now we can take a look at different by products of banana and there potential growth prospects:
- Banana peel: banana peel is a rich source of starch (3%), crude
Protein (6-9%), crude fat (3.8-11%) 24, total dietary fibre (43%). It can be used in wine ethanol production, as substrate for biogas production and as a base material for pectin extraction.
- Banana leaves and sheath: Leaves are used extensively for weaving baskets,
Mats, food wrapper for marketing and cooking, coverings over food, tablecloths, and plates for eating as well as cups for drinking soup.
- Banana pseudo stem, pith and male bud: Various products like chips, fig, ready to serve drink, flour, jam, confections, dehydrated slices, and pickles can be made from male bud, immature fruit and pseudo stem.
- Banana chips: Banana chips (sometimes called banana crisps), with origins in Kerala, India are dried, generally crispy slices of bananas (fruits of herbaceous plants of the genus Musa of the soft, sweet “dessert banana” variety). They can be covered with sugar or honey and have a sweet taste, or are more commonly fried in oil and spices and have a salty or spicy taste.
Related Video: – Banana Processing and Value Added Products from Banana (Food Business)
Banana chips are becoming upscale as more branded snack food companies enter the market. The hitherto cottage industry is now getting a high-tech makeover. Processing the banana fruit to harness it nutritive value, needs to remain keenly sensitive to the price concerns it will place domestically on this energy source. There is a potential to develop several points in state as hubs for cold storage, grading & sorting, processing for value additions and packaging for Products.
The Indian chips market has shown remarkable growth in the past couple of years. The market is forecast to grow with a CAGR of more than 9% in the near future. Banana chip market has huge potential in states like Kerala which has a market size of Rs 600 crore and various national and international brands have shown interest there.
Apart from chips there are products like banana floor, banana powder, banana juice, and banana fruit bar, banana wine which have vast scope for development. In conclusion, contemplating the stated aspects, this business plan proves to be remunerative.
We, at NPCS, with our detailed project plan, guarantees maximum growth potential in the market. Our expert team provides comprehensive information that will help you to attain all the above requirements.
Market Research: – Market Research Report