Export of Meat and Meat Products from India

As we know India is the biggest buffalo meat exporting country (Carabeef) globally, with a smaller amount of sheep meat. Production and export of meat from India originated in the year 1969, During the last 49 years, the quantity of meat & Processed Meat exported from India has been progressing and so also the number of countries to which it is exported.

Any meat business sees export as a lucrative opportunity. Small scale or new businesses in India feel exporting meat as a hard task to complete. The initial paperwork requires your most attention, reaching buyers and not shipping at all Sometimes people are insistent on how to start a new venture. Below we have gathered all the information step by step for your better understanding of processed meat exports. This will help you prepare your actions and plan effectively.

Scope of Meat Export in India

Since 1996, India’s meat output has increased by 4 per cent each year. Currently, buffalo meat is processed at a rate of 21%, poultry at 6%, and seafood at 8%. Moreover, We have 171 meat processing industries, 4600 slaughterhouses, and 15 abattoirs in our country. India exports 93.29 per cent of its meat with the HS code 02023000 According to estimates, Vietnam was India’s largest beef export market in 2017, bringing in 488 million dollars.

Thus, India is having great potential for the production and export of meat due to the availability of sufficient resources in the market.

Understand Meat Business in India

Almost 6.3 million tonnes of meat are produced in India each year, making it the world’s fifth-largest producer of meat. Experts estimate that India produces 3% of the world’s meat. 515 million animals exist in the country, making it the biggest cattle population in the world.

It is estimated that India’s meat industry was worth about Rs 3.3 lakh crore in 2019, with more than 90 per cent of the sector being unorganised. In terms of online sales, 0.2 per cent or Rs 700 crore was generated. Meat delivery companies such as Licious, Zappfresh, FreshToHome, TenderCuts, etc. Thus, the Meat Business in India also shows a growth trend that might help new startups, in the long run, to expand in different sectors and earn huge profits.

How to start Meat Export Business in India

The demand for Indian Beef, Carabeef, and Goat meat in the foreign market has sparked an immediate increase in the export industry like never before. The meat export companies in India are at now shares more than 35% in the world meat-producing status.

Also, the Agricultural and Processed Food Products Export Development Authority (APEDA Registration) better known as APEDA has serving nonstop for development in animal husbandry infrastructure and red meat export business in India.

The Demand of Processed Meat Market in India

The rapid expansion in demand for processed meat in India is due to the increasing awareness from the protein-rich diet; the categories of processed meat ready in the market will also help boost the meat processing business.

Why Red Meat Export is Profitable in India?

• The reasonable chicken turned to the principal protein in the pandemic. But beef suppliers are outperforming the poultry suppliers in 2020.
• Indian buffalo meat is in demand as it is approximately 95%  lean and blends well with other meat.
• A plenty of Indian slaughterhouses follow the “Halal Method”. This meat is very popular in Asia and Middle East countries.
• Also, India is the largest exporter of buffalo meat globally, so there are frequent opportunities in the export sector for a newbie.

Different types of meat processing foods available in India 

• Chicken Processing Plant
• Pork processing plant
• Cattle Processing Plant
• Goats & Lamb Processing Plant

Registration & License for Meat Export Business in India?

As we know, India produces quality test buffalo meat which is in great demand. It assures successful meat rearing and trading as well. To commence exporting meat, a few licenses are mandatory as per the Govt. norms.

APEDA Registration:

The exporter is expected to obtain an APEDA Registration. It is like permission of approval from the Govt. concerning the standard of your product.

Import Export Code: 

Import Export Code or IEC is a 10 digit key business description number that is necessary to International Trading. Also, the registered Import Export Code is required while filing for Registration cum Membership Certificate, better understood as RCMC for APEDA membership.

Registration of Firm:

To commence the Spice business in India. Firstly, obtain Company Incorporation or Company has to be stabilised as per procedure with an attractive name and logo.

GST Registration:

GST registration assists you in getting your business in getting recognition also opens several opportunities for your business. Also, It is obligatory to take GST Registration for every business.

FSSAI Registration:

Spice powder is a food item so you require to get a food operation license or FSSAI Registration which is necessary for the meat food industry.

Halal Certification

The certificate issued by the Muslim authority of the exporting country certifying that a certain agri-food or pharmaceutical product reaches the requirements demanded by Islamic law for its consumption by the Muslim population.

Although, Obtaining Halal Certification becomes compulsory when you decide to export meat in Islamic countries.

Trade License:

A trade license is a document/certificate that permits the applicant to start a particular trade or business in a distinct area. Hence, it is important to Obtain a Trade license from local authorities.

List of Raw Material Applied in the Meat Processing

• Edible oil
• Livestock
• Sauces
• Spices

List of Machinery Required For Meat Plant

• Meat Grinder
• Automatic Rapid Patty Maker
• Dehydrator & Hydrator
• Sterilizers
• Meat Mixer
• Sausage Linker
• Vacuum Sealer
• Sausage Stuffer
• Slaughtering Arrangements & Chillers

So, these are the procedures to start a meat business in India.

Processed Meat Market In India

The rapid increase in demand for processed meat in India is due to the increasing awareness from the protein-rich diet; the varieties of processed meat available in the market will also help boost the meat processing business.

Different types of meat processing plants are available in India which fall under different categories, like

• Chicken Processing Plant
• Pork processing plant
• Cattle Processing Plant (At present various laws are applicable on matters related to cow slaughter. Out of the 29 Indian states, while cow slaughter is prohibited in 20 states, beef is legally and independently available in states like Bengal, Kerala, Assam, Arunachal Pradesh, Nagaland, Mizoram, Meghalaya, and Tripura)
• Goats & Lamb Processing Plant

Meat Processing Business Plan

The most important factor is to draw a meat processing business plan, you need to do market research when starting any product-based business, plus you need to know about the market demand and different types of processed meat.

You need to identify availability of raw materials in that particular area. Once you have collected all the information and prepared the Meat Processing Business Plan, it will help you to take a viable business decision.

Meat Processing License & Registrations

The meat processing business comes under the food processing industry, so it calls for various food processing licenses. The required registration and licenses for the meat processing business may vary from state to state.

List Of License & Registration Required For Meat Processing Unit

Listed below are the license and registration needed for meat processing unit.

Registration Of Company

• To start a processed meat export business in India, first of all, you have to register a company.
• Listed below are five main class of companies in which the entrepreneur can incorporate in India

Sole Proprietorship

The sole proprietor company is the uncomplicated structure of company incorporation in India. One person administers sole ownership, i.e., a sole proprietor.

One-Person Company

A company made by one person can be considered as One Person Company (OPC). The Indian government introduced it in the year 2013. Until 2013, an individual cannot register a company; he needed to have a minimum of 2 directors to incorporate a company.

Partnership firm

The entrepreneur needs a partnership deed to register a partnership firm, an agreement signed between the partners. This agreement will include all the duties & obligations of the partners.

Limited Liability Partnership (LLP)

LLP endures the benefits of other business structures, corporations, partnerships, and sole proprietorship. LLP is designated as feasible enterprises, and LLP segregates the owner’s personal and business liabilities.

Private Limited Company

A private limited company is a body that has a minimum of two and a maximum of 200 members.  It cannot lift the public’s reserve; it means that the company cannot issue its shares in public. There is no paid-up capital is needed to set up a private limited company.

GST Registration

A return is a document containing a statement of income that the taxpayer has to file with the tax administration authorities. It is used by tax authorities to calculate tax liability. Under GST, a registered dealer has to file a GST return which includes:

• Purchases
• Sales
• Output GST (On sales)
• Input Tax Credit (GST paid on purchases)

Food Establishment License (Trade License)

The Food Establishment License is a document that allows the applicant to commence the sale of a meat business in a specific area. It is issued by the licensing department of the Municipal Corporation.

MSME Incorporation

MSME registration will make you eligible for government schemes and facilities, so if you want to get government subsidy or schemes about your business then you have to apply for MSME / SSI incorporation.

Trademark Registration

• Register your brand name with a trademark that will protect your brand internationally.
• Trademark registration will make easy for customers to identify your brand.
• Registered trademark is a right created which can be sold, assigned, franchised or commercially contracted.

Food Safety And Standard Authority Of India (FSSAI License)

Processed meat industries are categories under the food processing industry; therefore, you have to get FSSAI license.

Importer-Exporter Code

If you are planning to export processed meat product to other countries then you have to obtain IEC License which is important for export of product in any business.

Halal Certification

• It is a document issued by the Muslim authority of the exporting country certifying that a certain agri-food or pharmaceutical product meets the requirements demanded by Islamic law for its consumption by the Muslim population.
• To obtain “Halal Certification” becomes mandatory when you decide to export meat in Islamic countries.

Area Required For Meat Processing Plant

• The minimum area required to start a meat processing plant is 1500 square feet.
• When selecting the location of the area for the meat processing plant, you need to ensure that those are the locations that should be accessible by the market as well as the raw material supplier.
• Also ensure that the area should have facilities like water supply, drainage facilities and electricity facilities.

Raw Material Used In Meat Processing Industry

The main raw material used in the meat processing industry is of course livestock, where you have to select raw materials according to the process and purchase livestock on regular basis.

List Of Raw Material Used In The Meat Processing

• Edible oil
• Livestock
• Sauces
• Spices

List Of Packaging Raw Material Used In Meat Business

• Polyethene
• A Single/ Multilayer Film
• Skin Packaging
• Aluminium Cans For Canned Processed Meats

List Of Machinery Required For Meat Plant

• Meat Grinder
• Automatic Rapid Patty Maker
• Dehydrator & Hydrator
• Sterilizers
• Meat Mixer
• Sausage Linker
• Vacuum Sealer
• Sausage Stuffer
• Slaughtering Arrangements & Chillers
• Captive Bolt Stunner & Splitting Saw
• Electronic Rail Scale
• Slaughtering Arrangements & Chillers
• Plastic Barrels
• Pressure Pumps
• Hydraulic Lift And Trolley Rack
• List of Processing Equipment Used In Meat Processing Unit
• Weight Scales
• Bacon Slicer
• Vacuum Tumbler
• A Band Saw Knife Sharpener
• Meat Injectors & Mixer

List Of Packaging Equipment Used In Meat Business Plant

• Refrigerators/ Ice Machine
• Box Scale
• Freezer Carts
• Pressure Washer And Pumps
• Vacuum Packaging Machine

Concluding Remark

The requirement for processed meat is increasing day by day. The market potential for meat export is also high for meat processing plants. Therefore, it is recommended that you look into how to initiate the meat export business in India.

Compiled  & Shared by- Team, LITD (Livestock Institute of Training & Development)

Image-Courtesy-Google

Reference-On Request.