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Essential Oils, Phytochemicals, Aromatic Chemicals, Aromatic Compounds, Spice Oils and Oleoresins Projects

Essential oils are liquids that are generally distilled (most frequently by steam or water) from the leaves, stems, flowers, bark, roots, or other elements of a plant. Most essential oils are clear, but some oils such as patchouli, orange and lemongrass are amber or yellow in color. Essential oils contain the true essence of the plant it was derived from. The chemical composition and aroma of essential oils can provide valuable psychological and physical therapeutic benefits.

Spice derivatives include spice oils, spice oleoresins and essential oils that are put to various uses in different industries. Spice oils and oleoresins form an important part in our foods. The oleoresins present are the 'true essence of the spice' and consists of the volatile essential oil and the nonvolatile resinous fraction containing total flavour of the spice. Oleoresin can replace whole of ground spice in food and flavour formulations without spoiling any flavour characteristics. It has great advantages as compared to spices.

Hence oleoresins are largely used for flavoring of food particularly by large scale food processing and flavoring industries like meat canning, sauces, soft drinks, pharmaceutical preparations, perfumery and soap, tobacco, confectionery and bakery. The demand of spice oils and oleoresins in the developed countries is increasing day by day as more and more spicy snacks are being introduced by fast food chains with standardized tastes.

The spice oils and oleoresins are specially suitable for such snacks in that they can be used very conveniently (without any handling of the raw spice like ginger, chilli, onion, etc.) and producing a standardized effect on taste. This is the reason practically all plants in India, numbering to more than twenty five per cent exporting their products to these nations. The demand is increasing and more and more plants are being commissioned for 100% export. Spice derivatives are widely used in pharmaceutical industry, beverage industry, food processing industry and chemical industry.

The industrial sector consumed 55 per cent of the total usage of spices and herbs. The retail sector consumed 35 per cent of the total usage of spices and herbs.

The catering sector consumed 10 per cent of the total usage of spices and herbs. India's spices export has risen by 5% in dollar terms in December 2009 on an annualized basis. During December 2009, export of spices from India has been 29,850 MT valued Rs.408.06 crores (87.50 million US $) as against 31,375 MT valued Rs.404.89 crores (83.25 million US $) in December 2008. During December 2009, the spices, which have shown substantial increase in export, are Cardamom (Small), Chilli, Garlic, Nutmeg& Mace, Curry Powder and Spice oils and oleoresins, according to Spices board.

During April-December 2009, a total quantity of 358,205 MT of spices valued Rs.3953.74 crores (825.55 million US $) has been exported from India as against 366,100 MT valued Rs.4116.31 crores (926.95 million US $) during April-December 2008. Compared to last year, the export has shown a decline of 2% in volume, 4% in rupee value and 11% in dollar terms.

The decline in spices export, which was in the range of 20% to 25% during the first two quarters of the financial year, has now come down to 2% to 4% as compared to the corresponding period of last year. The major spices exported during the period are Chilli, Mint Products, Spice oils & oleoresins, Cumin, Turmeric, Pepper and Coriander. The Spice oils & oleoresins including mint products contributed 34% of the total export earnings. Chilli contributed 23% followed by Cumin 10% and Turmeric 7%.

During April-December 2009, the export of Cardamom Small, Celery, Garlic, Nutmeg & Mace, Curry Powder, Other seeds and Misc. spices are higher in terms of both quantity and value as compared to the same period of last year. However, export of spices viz. Pepper, Cardamom (Large), Cumin, Fennel, Fenugreek, Vanilla, Mint Products and Spice Oils & Oleoresins have shown decline both in terms of quantity and value as compared to last year.

Coming to the perfumes and fragrances sector, market for perfumes and fragrances, as perceived in western parlance, is of a recent origin. The perfumes and fragrances market had remained confined to small quantities of scents, eau de colognes, deodorants and after shave lotions. Presently there are some 500 companies in the fragrance industry, for the small volumes, a little too many. The small scale sector is dominating the market. The unorganized market could be four times the size of the organized market.

The growth in demand for perfumes and fragrances over the last 15 years has been phenomenal. From a very small demand of 950 tonnes in 1990-91, it grew to 12,500 tonnes in 2000-01. The market for the product is estimated to have expanded by over 50% in three years to 18,300 tonnes in 2003-04. It is further expected to grow to 26,650 tonnes in 2006-07 and to 36,400 tonnes in 2009-10.

The organized sector is dominated mainly by the multinationals. The unorganized sector, with hundreds of units producing a large number of domestic concoctions, caters to the high upper-middle tier of the market for low price-end of products. The share of the small and informal sector is estimated at about one-third of the total market.

The Indian Spice oils and oleoresins industry is engaged in continuous innovation and upgradation of process and products to meet the new global demand.

Pre-feasibility study on Oil Manufacturing Business

The essential oil manufacturing industry is still young for most countries. The fact that it is new demands caution before making any investment. The first precautionary step is a pre-feasibility study report.

From the feasibility study, you can identify the preferred plant material that offers the most viable production. Here, you also examine the different extraction techniques and determine the most feasible.

Some extraction approaches include:

  • Steam distillation
  • Cold pressing
  • Solvent extraction
  • CO2 extraction

During the study, you should analyze each of the above techniques in terms of required technology, equipment, and efficiency. Alongside this, the report highlights the economic viability of each approach, giving you a chance to decide the best option.

After deciding on the herbal plant and the extraction process, you can decide on a viable economic model for the project.

 

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This report helps you understand the viability of the project by disclosing details like machinery required, project costs and snapshot of other project financials

The report provides a glimpse of government regulations applicable on the industry

The report provides forecasts of key parameters which helps to anticipate the industry performance and make sound business decisions.

 

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Our research reports broadly cover Indian markets, present analysis, outlook and forecast for a period of five years.

The market forecasts are developed on the basis of secondary research and are cross-validated through interactions with the industry players

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EUCALYPTUS OIL - Manufacturing Plant, Detailed Project Report, Profile, Business Plan, Industry Trends, Market Research, Survey, Manufacturing Process, Machinery, Raw Materials, Feasibility Study, Investment Opportunities, Cost and Revenue, Plant Economic

Eucalyptus oil is obtained by the distillation of leaves and terminal branch lets of Eucalyptus globulies (Blue Gum Tree). The oils obtained by the steam distillation of leaves and terminal branches of various species are distinctive in character. Australia is the largest producer of eucalyptus oils. About two thirds of the worlds supply of medicinal oil and third of industrial oil come from that country. The oil is used mainly for medicinal purposes. It is used as an antiseptic and deodorant. It is inhaled to relieve cough in chronic brachiates, asthama, catarchal colds and to prevent infections. The oil is also used for scenting soaps. The main use of Eucalyptus oils for industrial purposes are as disinfectants and deodorants. Australia has prominent position as the main supplier of Eucalyptus oil is now being challenged by Spain and Portugal, which countries are steadily increasing their supplies of oil. There is a good scope to invest into this project.
Plant capacity: 100 Kgs. / DayPlant & machinery: 12 Lakhs
Working capital: -T.C.I: 61 Lakhs
Return: 45.00%Break even: 46.00%
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CURCUMIN - Manufacturing Plant, Detailed Project Report, Profile, Business Plan, Industry Trends, Market Research, Survey, Manufacturing Process, Machinery, Raw Materials, Feasibility Study, Investment Opportunities, Cost and Revenue, Plant Economics

Turmeric is native to Asia and India. It is very important spice in India, which produces nearly the whole worlds crop and used 80% of it. It has been used in Indian systems of medicine for a long time. Turmeric is a very unique and versatile natural plant product combining the properties of a spice of flavourant, a colourant of brilliant yellow dye, cosmetic and a drug. Curcumin also protects the liver from a number of toxic compounds. It has several medicinal properties like stomachic, carnivative, tonic, blood purifier, vermicide and antiseptic. According to recently larger use of curcumin in the pharmaceutical and food industries, it is observed that few private companies are engaged in the manufacturing of curcumin. About more than 70% of our products are exported to European countries. As a whole it can be concluded that there is good export demand of it. There is good scope for new entrepreneurs.
Plant capacity: 40 Kgs. Curcumin / Day, 40 Kgs. OilPlant & machinery: 105 Lakhs
Working capital: -T.C.I: 4 Crores
Return: 43.00%Break even: 40.00%
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EXTRACTION OF OIL FROM ARTEMISIA VULGARIS - Manufacturing Plant, Detailed Project Report, Profile, Business Plan, Industry Trends, Market Research, Survey, Manufacturing Process, Machinery, Raw Materials, Feasibility Study, Investment Opportunities

Artemisia Vulgaris plants seem to have originated in Eastern Europe and Western Asia. Most of these species are found growing wild and abundantly all over the temperate and cold temperate zones of the world. The flavor of Artemisia Vulgaris oil is warm, almost pungent but also bitter sweet, showing a slightly cooling effect in higher dilution. The flowering stems are used medicinally. The main constituents are an essential oil, with cineole and thujone, tannins and bitter compounds. Mugwort is used as a general tonic. It is a traditional treatment for nervous disorders, insomnia and gynaewlogical complaints. In cooking, mugwort is a useful condiment for roast meat, especially pork and mutton. Most of the medicinal plants extensively used in the traditional system of medicines are obtained from the wild sources. According to the international standards organization, there are about 70 spices and condiments, which have been approved and recognized. It has been found that there is largely demand increase of the herbal medicinal concrete due to the better awareness of the medicinal used. It can be predicted that there is very good scope for the new entrepreneur.
Plant capacity: 1500 Kg. / AnnumPlant & machinery: 39 Lakhs
Working capital: -T.C.I: Cost of Project : 146 Lakhs
Return: 43.00%Break even: 52.00%
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EXTRACTION OF SPICE OLEORESIN (Chilly)- Manufacturing Plant, Detailed Project Report, Profile, Business Plan, Industry Trends, Market Research, Survey, Manufacturing Process, Machinery, Raw Materials, Feasibility Study, Investment Opportunities

Chilly is available in throughout India. It is one of the abundantly domestically used as well as commercially used spices. For extraction of chilly oil and oleoresin, there will be use of solvent extraction process or steam distillation process. Chilly is an important cash crop in India. Its annual production is 8.4 lakh tonnes out of which only 10% is being exported to other nations. Spice oils and oleoresins serve as an alternative to whole and ground spices. On addition of oleoresins, all the flavour components of the spices are released in the food. It can be used in the medicinal purpose, aromatherapy, preparation of derivatives of essential oils and oleoresin etc. India is the largest producer and consumer of spices in the world. The present production of spices is around 2700 lakh tonnes per annum, which accounts for 30% of the world production. As a whole manufacturing of spice oleoresin is a good business, which has bright scope in our country as well as in the export market.
Plant capacity: Chilly Oleoresin ” 9 MT / Annum, Chilly Oil ” 2.16 MT / Annum, Ground Chill Powder ” 58.50 MT / AnnumPlant & machinery: 137 Lakhs
Working capital: -T.C.I: Cost of Project : 274 Lakhs
Return: 38.00%Break even: 46.00%
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Manufacture of Celery Seed oil - Manufacturing Plant, Detailed Project Report, Profile, Business Plan, Industry Trends, Market Research, Survey, Manufacturing Process, Machinery, Raw Materials, Feasibility Study, Investment Opportunities, Cost and Revenue

Celery, Apium graveolens L is cultivated for its seeds and essential oil. An improved method has been developed for maximum yield of essential oil with higher content of phthalides (the valuable constituent of oil ), in short time, making the process economical. The method involves hydro distillation. In India Celery, Apium graveolens L is mostly cultivated in Punjab, Haryana, and U. P. for its seeds. The seeds are used as spice to flavour soups, salad, tomato juice and sauces and for extracting essential oil or oleoresin. Of late they have attained ever increasing popularity among food products. Indian celery is considered to be best in the world and that is why it is in great demand in European countries. In 1999-2000, 4038 MT of seeds worth Rs.9.5 crores and its oleoresin 146.5 MT worth Rs. 4.5 crores were exported. Oleoresin is prepared by extracting the celery seeds with volatile solvents like alcohol and driving off the alcohol in vacuo. On steam distillation it yields pale yellow essential oil with characteristic rich long lasting spicy odour, the principal components of which are d-limonene and saline. The oil is used for flavouring food products, liquors and pharmaceutical preparations. Celery is recommended for rheumatic arthritis, antispasmodic, aphrodisiac, nerve stimulant and hypertension. It also induces mensuration in non pregnant woman. It is better known as a medicinal herb than a garden vegetable. The important constituents of its essential oil are phthalides which impart medicinal value to the oil and possess strong characteristic celery aroma. The major phthalides being 3-butyl phthalide, 3-butyl tetrahydrophthalide or sedanolide, and apiole. Others being 3-butyl –4-5-dihydrophthalide or sedananolide. These form high boiling constituents of the oil besides the low boiling monoterpene hydrocarbons e.g. α –pinene,α -terpinene,γ -terpinene, β -pinene, limonene etc. The conventional process gives a yield of 1.3 to 1.8% of oil in 36 hours with phthalides content of 10 to 12%. The method used here gives a yield of 2.44-2.68% in 4-4.5 hours and the phthalides content in the oil 23 + 2%.
Plant capacity: : 300 Kg celery seeds / batch & 4 batches a day i.e.1200 Kg celery seeds / dayPlant & machinery: 25 Lakhs
Working capital: 12 Lakhs (One Month)T.C.I: -
Return: 1.00%Break even: N/A
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ROSE OIL EXTRACTION - Manufacturing Plant, Detailed Project Report, Profile, Business Plan, Industry Trends, Market Research, Survey, Manufacturing Process, Machinery, Raw Materials, Feasibility Study, Investment Opportunities, Cost and Revenue

Out of 5000 varieties of roses in India, only fasli Rosa and Edward Rose yield rose oil. The Fasli variety is found in Aligarh and Edward rose in kannauj. Rose oils are in constant use in perfume spray industry, toilet soap industry and talcum powder industry. India exports 60% products to overseas market and 40% is indigenously sold. The production of cosmetics and toiletries doesn’t require large-scale capital equipment. There is a bright scope for small entrepreneurs to enter into this field.
Plant capacity: 500 ml / DayPlant & machinery: 13 Lakhs
Working capital: -T.C.I: 88 Lakhs
Return: 47.00%Break even: 37.00%
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ESSENTIAL OIL - Manufacturing Plant, Detailed Project Report, Profile, Business Plan, Industry Trends, Market Research, Survey, Manufacturing Process, Machinery, Raw Materials, Feasibility Study, Investment Opportunities, Cost and Revenue, Plant Economics

Essential oil is produced from different type of flowers, leaves and herbs by steam distillation or by solvent extraction process. There are several kinds of essential oils. Cardamom oil is used in the confectionery, bakery, canning, soap & soft drink industry. Seeds oil is used in the cosmetics & confectionery industry. Sandalwood oil is used in the pharmaceutical perfumery cosmetics and toiletries industry. India exports essential oils of lemongrass, citronella, sandalwood, palmarosa in adequate volume. A substantial quantity of other essential oils, namely, cardamom, kokum ginger and eucalyptus are also being exported. India also imports peppermints, patchouli, clone, and lavender, lately, production of jasmine isolates in South India has also started for exports. Stiff competition among manufacturers in the country has resulted in undercutting and low margins. There is competition in buying raw materials as well as selling the products abroad.
Plant capacity: 250 Gms.( Rose oil)& 50 Kg Eucalyptus Oil/DayPlant & machinery: 22 Lakhs
Working capital: -T.C.I: 92 Lakhs
Return: 42.00%Break even: 48.00%
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RAJNIGANDHA & ROSE FLOWER PLANTATION WITH OIL EXTRACTION - Manufacturing Plant, Detailed Project Report, Profile, Business Plan, Industry Trends, Market Research, Survey, Manufacturing Process, Machinery, Raw Materials, Feasibility Study, Cost of Project

Rajnigandha a 16-120 cm high with stout tuberous rootstock, leaves basal, liner those on the stem much shorter, flower tunnel shaped, waxy white fragrant in long terminal racemes. There are more than 5000 varieties of roses in India of which only a few yield essential oils. The varieties that are grower in India for obtaining essential oils are Rosa damascena mill (Fash Rosa) and Rosa Borboniana Desp (Edward Rose). Rajnigandha oil finds various uses in perfumes & flavouring agents. It is used for scenting of soaps, sprays and disinfectants. It is also used in little quantities in ice creams, candies and baked goods. Rose oil is produced in large quantities mainly in Uttar Pradesh. It exports 60% products to overseas market and 40% is indigenously sold. The two major exporting countries are Japan and India and its creditable for this industry to take about 40% of share where other Indian industries have hardly a share of less than 1% of the world market. This indicates that new entrepreneurs can well invest into this project.
Plant capacity: 33.33 Kgs. Rajnigandha Oil/Day, 400 ML Rose Oil/DayPlant & machinery: 27 Lakhs
Working capital: -T.C.I: 108 Lakhs
Return: 55.00%Break even: 35.00%
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GINGER OIL - Manufacturing Plant, Detailed Project Report, Profile, Business Plan, Industry Trends, Market Research, Survey, Manufacturing Process, Machinery, Raw Materials, Feasibility Study, Investment Opportunities, Cost and Revenue, Plant Economics

Ginger is one of the oldest and most important spices used in different kinds of food preparation. Ginger possesses a warm pungent taste and a pleasant odor, hence it has a wide use as a flavoring in numerous food preparation, beverages, ginger bread, soups, pickles and many soft drinks. There are two general types of ginger viz. fresh green ginger used for the preparation of candied ginger (in sugar syrup) and dried or cured ginger applied in the spice trade, for extracts, oleoresins and for the distillation of its volatile oil. The main application of the ginger oil is in confectionery, beverages, and baked products. The demand of ginger oil is ever increasing whether as beverages in its own right or as a complement to alcoholic drinks such as whisky or rum is estimated to have good increase. It has good export and domestic demand. There is good scope for new entrepreneurs.
Plant capacity: 20 Kgs./DayPlant & machinery: 9 Lakhs
Working capital: -T.C.I: 162 Lakhs
Return: 51.00%Break even: 32.00%
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CULTIVATION AND SUPER CRITICAL OIL EXTRACTION(CHILLI, GINGER AND LARGE CARDAMOM)- Manufacturing Plant, Detailed Project Report, Profile, Business Plan, Industry Trends, Market Research, Survey, Manufacturing Process, Machinery, Raw Materials

In agriculture, cultivation is the process of growing vigorous plants on aerable land. It is usually associated with large-scale agriculture, as opposed to small-scale gardening. Cultivation requires fertile soil, water & seeds. Its usually begins with sowing of the seeds in the appropriate season. In the process of cultivation a farmer may be required to fill the land, weed control and ultimately harvest the crops. This practice has been perfected into the professional art of agronomy, where it is analyzed by specialized agronomists to maximum efficiency cultivation is very common with farm owners. A relatively new method of extraction that is being employed is called carbon dioxide extraction, or CO2. The required equipment used for this method is quite expensive but yields a higher volume of essential oil, making more expensive oil such as frankincense and myrrh more widely available. These oils are mainly used in medicines and food industries. There is very good domestic as well as export market for this product. There is good scope for new entrepreneurs.
Plant capacity: 2388 Kgs Cardamom Oil/Annum,18000 Kgs Chilli Oil/Annum, 31500 Kgs Ginger Oil/Annum Plant & machinery: 1300 Lakhs
Working capital: -T.C.I: 2200 Lakhs
Return: 34.00%Break even: 41.00%
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  • One Lac / Lakh / Lakhs is equivalent to one hundred thousand (100,000)
  • One Crore is equivalent to ten million (10,000,000)
  • T.C.I is Total Capital Investment
  • We can modify the project capacity and project cost as per your requirement.
  • We can also prepare project report on any subject as per your requirement.
  • Caution: The project's cost, capacity and return are subject to change without any notice. Future projects may have different values of project cost, capacity or return.

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