Potato Chips Production in India

How to Start Potato Chips Production in India

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Potato chips production in India has seen a significant increase in customer preference for snack foods. One of the most important tuber crops consumed worldwide the $30 billion dollar industry is huge. Top foreign markets are Europe, America, Africa and China.

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Apart from chips there are many related potato based industries. We have potato powder, potato flakes, potato starch. Others include potato granules, vodka potatoes, potato finger chips, pellets.

  • potato powder
  • potato flakes
  • potato starch
  • potato granules
  • vodka potatoes
  • potato finger chips
  • pellets
Potato Chips Production in India

Potato Chips Production in India Market Study

Before starting the business it is important to conduct market study and assessment. Conduct a feasibility study, understand labor requirements, equipment and raw materials. The study involves market opportunities, supply, demand, estimated future forecast.

Funding

Cost considerations involve plant, machinery, appliances, and maintenance. Others are labor, utilities, factory, raw materials, transportation, and marketing. Approach a trade or commercial bank for long term loans. Loan requirements are deposit of one third amount of loan, guarantors, collateral etc. other fund sources are venture capitalists, micro-financing, partnership, crowdfunding, angel investors.

Labor

Labor requirements are machinery operators, loaders, packagers, and receptionist. Others are plant manager, sales representative, store managers, marketing manager and truck driver.

Site Selection

Lease or acquire small warehouse with adequate utilities for production. The factory needs storage space, loading area, factory production area and equipment. Locate the industry either close to raw material or ready market.

Register the Potato Chip Factory

The first step is to register the potato chip factory. Register the business as a sole proprietorship, partnership or limited liability company. Secure a trade license, insurance cover and tax identification number. There are also food and safety provisions for food handlers.

Licensing and Registration

  1. limited liability company
  2. trade license
  3. insurance cover
  4. tax identification number
  5. food and safety provisions
  6. national food and drug identification number

Raw Materials for Potato Chip Production

The raw materials for potato chips production is basic. Purchase potatoes, spices, cooking oil. Others are cheese, herbs, artificial flavoring, salt and additives. Purchase quality material and source them from reputable manufacturers.

Packaging is also an integral part of the production process. The package should have date of manufacture, expiration date, ingredients, factory address and location.

Raw Materials

  • Potatoes
  • Spices
  • Cooking oil
  • Cheese
  • Herbs
  • Artificial flavoring
  • Salt
  • Additives
  • Packaging

Machinery for Potato Chips Production

There are a few equipment needed for the manufacturer of potato chips. Machinery are both locally fabricated and imported. Machinery are slicing machine, salting drum with inert gas flushing unit and plastic trays.

Others are batch fryer, washing and peeling machine, dewatering machine. We have the fillers, weighing scales, dispensers, stainless steel tools, spin dryer, spicing/coating, flavoring machine and hydro extractor.

Equipment

  • Slicing machine
  • Salting drum with inert gas flushing unit
  • Plastic trays
  • Batch fryer
  • Washing and peeling machine
  • Dewatering machine
  • Fillers 
  • Weighing scales
  • Dispensers
  • Stainless steel tools
  • Spin dryer
  • Spicing/coating/flavoring machine
  • Hydro extractor

Manufacturing Process of Fried Potato Chips

After harvesting they are transported to the manufacturing company. The potatoes are then sorted to separate blemished or diseased ones from the rest. Only quality grade potatoes with large oval shape are used in the manufacturing process. Selected ones are sorted, washed then peeled.

Washing is done in water spray container then they proceed to peeling machine. The slicer cuts them into uniform slices before moving on to blenching machine for 5 minutes.

After blanching they are dried with the spin dryer or hydro extractor then fried. Once the fried chips are cool they are salted, flavored before packaging and sealing.

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Potato Chips Production

Once harvested and sorted they go through the washing and peeling machine. Then proceeds to cutting machine, slicing machine then blanching machine before packaging.

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Fried potato chips making process

  1. Sorting
  2. Washing
  3. Peeling
  4. Slicing
  5. Blanching
  6. Drying
  7. Frying
  8. Flavoring
  9. Packing
  10. Selling

Marketing and Promotions

Promotional involve branding, promotions and marketing. To reach customers appropriate marketing strategy should be put in place. Use flyers, posters, business cards, television advertisement, radio and online advertisement.

Leverage on social media like Facebook, twitter to reach customers. Manufacturers generally sell wholesale to retailers of the product. Customers include grocery stores, market women. Registered retailers, supermarkets, hotels and restaurants.

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