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Business Potential Study

Aloe Vera Products

Presented By – Sudeep Nair

Overview of the Proposal

z Aloe Vera products in huge demand for the past few years, worldwide.

z Demand has fueled a production and supply chain of finished Aloe Vera products.

zIn 2009, The global Aloe Vera market was around 110 Billion and registering a growth
percentage of 35% yearly.

z Huge opportunity to tap market potential.

Proposing a business venture involving the cultivation,extraction and production of

z

Aloe Vera Products.

Benefits of Aloe Vera
Aloe Vera (Aloe barbadensis Miller) is a perennial plant of liliacea family with turgid
green leaves joined at the stem in a rosette pattern.

Aloe Vera is an amazing mixture of more than 200 constituents, including

polysaccharides (a complex carbohydrate), enzymes, glycoproteins, amino acids,
vitamins and minerals.

Health Benefits

zDetoxifies Body
zImproves Digestion

zEnhances Immune Support

zReduces Inflammation

zHealthy Skin

zRegulates Energy Levels

zProvides Daily Dose of Vitamins & Minerals

zDental Health

zDiabetes Fighter
Global Business Potential

z Global Demand has risen exponentially.

zUSA,China,Korea,Japan,Australia and most parts of Europe has shown a considerable

demand for finished Aloe Vera products.

zTrade in finished products containing aloe ingredients, are estimated to be over $35 billion
globally.

z In India,Demand of aloe vera gel and powder is increasing by 10-15% per year.

Price of Premium Aloe Vera Powder Concentrate 200x in India ranges from 3500 to 5000
z

Rs per Kg whereas globally it is ranged from $125 to $300.

Manufacturing Potential in India

Vast areas of semi arid land,climatic conditions,soil composition,cheap labour and low
z

manufacturing cost's suitable for Aloe Vera production in India.

zThe states of Rajasthan,Gujrat,Madhya Pradesh,Tamilnadu and Maharashtra are best

suited for cultivation and production of Aloe Vera.

Easy availability of plant saplings, fertilizers, skilled labour,extraction and production

z

machinery.

z The National Medicinal Plant Board of India provides technical support and subsidies.

z Easy availability of Financial support from banks at low interest rate.

Current Range of Products in Indian market

Current Range of Aloe Vera products is divided into two categories -

Oral Products

zGel
zToothpaste

zHealth Drinks

zHealth Capsules

Topical Products

zSkin Care products.

zCosmetic products

zAntiseptic and Anti Inflammatory creams and gels.

zHair care products

Cultivation Procedure

Soil - Commercially grown in well drained loam to coarse sandy loam soils with moderate fertility, pH levels
up to 8.5 are preferred.

Land preparation - Depending upon soil and agro-climatic conditions, 1-2 plough followed by leveling can be
done, Field is divided into 10-15m x 3m suitably sized plots considering slope and source of irrigation.

Planting Time - Suckers or Saplings should be planted in the month of July to August, during the monsoon
season for better yield.

Planting Material - Three to four month old suckers with 4-5 leaves about 20-25 cm in Height.

Varieties/Genotypes - IC 111271, IC 111280, IC 111269, IC 111273 are some of the Genotypes identified
by National Bureau of Plant Genetic Resources for cultivation.

Planting and Spacing - Suckers are planed 15 cm deep and spaced 60 x 60 cm apart

Manuring - 10-15 tones of FYM is applied at the time of land preparation and in the following years.

Irrigation - 2-3 Times after planting, 4-6 times through out the year

Harvesting and Yield - 3-4 Times picking in a year, 15 - 35 ton yield per harvest
Yield and Parameters 

Yield Schedule Year One Year Two to Five

Leaves ( Ton/Hectare ) 360 480

Financial Parameters

Planting Material ( Per Sucker ) 0.50 Rs

Wage Rate ( Per Man-Day ) 120 Rs
Farm Yard Manure ( Per Ton ) 300 Rs

Fertilizers ( Per Kg )

Nitrate 10.50 Rs
Phosphoric Acid ( P205 ) 19.00 Rs
Potassium Oxide ( K2O ) 7.00 Rs
Sale price of Leaves ( Per Ton ) 2000 Rs
Cultivation Costing
Sr. Item Year
No.

Land Cost ( Land Acquired ) 15,00,000 ( Included in Year 1 Total )

Area Of 12 Hectares
Area Assumed – Bhilwara, Pali

I MATERIALS 1 2 3 Onwards

1 Planting materials 3,30,000 0 0

2 FYM 54,000 54,000 54,000

3 22,200 22,200 22,200

Fertilizers

4 Irrigation 14,400 14,400 14,400

5 Plant protection chemicals 14,400 14,400 14,400

Sub Total - I 4,35,000 1,05,000 1,05,000

Cultivation Costing

II LABOUR 1 2 3 Onwards

1 Land preparation 54,000 0 0

2 Preparation of ridges and furrows and planting 54,000 0 0

3 Application of manures and fertilizers 7,200 7,200 7,200

4 Spraying of plant protection chemicals 7,200 7,200 7,200

5 Irrigation 10,800 10,800 10,800

6 Harvesting 0 36,000 36,000

7 Packing, loading etc. 0 18,000 36,000

Sub Total - II 1,33,200 79,200 97,200

GRAND TOTAL 20,68,200 1,84,200 2,02,200

Extraction and Production Technique

Cleaning Of Leaves

Extraction of Juice

Filtration-Cum-Homogenizing

Addition of preservatives
( Sodiumbenzoate and Potassium sorbate )
Extraction and Production Technique

Storage Juice cooled to Concentration and Drying

0.-5 C

Freeze Dried powder packed

Under Nitrogen
Packed and Sold as
Gel

200x powder packaged

and sold
Manufacturing Machinery

Leaf Washing Unit Leaf Extractor and Juicer

Storage Tank Homogenizer–Gel Making Machine

Manufacturing Machinery

Extraction Unit Aloe Vera Shampoo Maker Bottling Unit

FFE for Powder Production Gel Filling Machine Spray Drier for Powder
Manufacturing Costing for Gel 
ALOE VERA LIQUID GEL PROCESS PLANT
(1000Kgs leaves Processing Plant in 8 Hours)

PRICE
1). Bubbling System: Rs. 60,000/-
To arrange in out size civil tank of size 6x8 Feet
to create air bubbles. The bubbling system is
made with S.S. 304 pipes and S.S.(304) mesh.
Compressor line is required to this bubbling
System.

2). Cutting Table & Tub: Rs. 2,00,000/-

a).To cut the leaf on table size 4X8 Feet

b). To wash Alion from leaves after cutting

in warm water under air bubbles.
The tube size is 6X4X2 feet, made with
S.S.304. Provision for Hot and cold water
inlet and drain and also bubbling system.
Compressor line is required for this.

3). Main Process Plant Cost: Rs.12,50,000/-

a). Pulp Extractor:

. Will have seven S.S.304 rollers, with

Fabric Fabric belts. Run with 1.5 HP
Geared Motor. S.S. & Nylon chain
conveyor to separate Pulp and waste
leaf (SAP). Total body made out of
S.S.304. Provision is made to
connect hot water line and
compressor line.
b). Colloidal Mill:

To grind the pulp to 100-5 Microns,

Run with 5HPMotor at 5000 rpm.
All contact parts in S.S.304 and
mounting frame in M.S.
 Manufacturing Costing for Gel 
c). Filtration System:

Will have preservative Mixing tanks,

Vacuum tanks, Bag filters(100/40/50
Microns) & Activated carbon-Filter
System with 1.0HP vacuum
pump and 0.5 HP (2Nos)Positive
pumps. All contact parts are in
S.S.304

d). Pasteurization:

Consists of Plate Heat Exchanger, Refrigeration

System (2.0 Ton). Provision to connect
hot water & cold water supply lines.

4). Hot water Boiler (Fire wood): Rs 80,000/-

5). Storage Tank: ( 2 Nos) Rs.1,20,000/-

500 Ltr capacity Tanks with S.S.304

6). SAP Conveyor: ( 1 No.)

Of 24 Feet length with with 1.0 HP Geared Motor Rs.1,50,000/-

drive. Trough is made with S.S.304.

7) Bucket Conveyor Rs. 1,00,000/-

-------------------
Rs.19,60,000/-
8) Erection & Commissioning Rs. 70,000/-
-------------------
Total Cost including Taxes & Transportation Rs.20,20,000/-
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5P Strategy
Marketing Strategy Based on 5P's
Product

¾Natural Health product

¾Zero Side Affects

¾Medical Applications

¾Cosmetic Applications

¾Bio-Diesel

Pricing

¾Gel – Range's from 160 Rs to 1000 Rs in India, Globally it ranges from $17 to $35
¾Powder ( 200X Concentrate ) - Ranges from 3500 to 5000 Rs in India, Globally it ranges from $125 to
$300.

People

¾Semi – Skilled Labour

¾Horticulturists

¾Pharmacist's

¾Management Staff

¾Operations Staff

¾Distributors and Dealers

5P Strategy

Marketing Strategy Based on 5P's

Placement

Action Plan
¾Channel of distributors and dealers
¾Network sales chain

¾Prompt supply chain management structure

¾Customer support and feedback

Promotion

Print Media Product Display Television Networking

Magazine Advertisements Display in Stores Television Promoting through a

Advertisements network chain of people
Display in Trade Fairs,
Newspaper Advertisements Advertisements on Home Providing a good
Shopping Network incentive structure
Community Events Etc

Catalogue's
Thank You