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Fruits Dehydration and Processing Business

Capacity 0 Plant and Machinery cost 0.00 Lakhs
Working Capital 0.00 Rate of Return (ROR) 0.00 %
Break Even Point (BEP) 0.00 % TCI 0.00 Lakhs
Cost of Project 0.00Lakhs


Fruits Dehydration and Processing Business. Opportunities in Setting up Fruit Processing Industry. Start a Dehydrated Fruits Business


Fruits are an important source of nutrition. Fresh fruits having short lifespan have added advantage to its substitute market of dried fruits. Additionally, increasing health awareness among consumers have a positive impact on the dried fruit market. Moreover, growing R&D to bring innovations regarding its applications in various product lines is adding fuel to market growth. They are highly used in the dairy as well as bakery industry owing to their flavor enhancing-ability. On the other hand, owing to their nutritional value, application of dried fruits in snacks and breakfast cereal is widely focused.

Dehydration of fruit is one of the oldest forms of food preservation techniques known to man and consists primarily of establishments engaged in sun drying or artificially dehydrating fruits and vegetables. Although food preservation is the primary reason for dehydration, dehydration of fruits also lowers the cost of packaging, storing, and transportation by reducing both the weight and volume of the final product.

Drying (dehydrating) food is one of the oldest and easiest methods of food preservation. Dehydration is the process of removing water or moisture from a food product. Removing moisture from foods makes them smaller and lighter. Dehydrated foods are ideal for backpacking, hiking, and camping because they weigh much less than their non-dried counterparts and do not require refrigeration. Drying food is also a way of preserving seasonal foods for later use.

Preserving fruit to extend its shelf-life, with ensuring its safety and quality, is a central preoccupation of the food industry. As a result, there has been a steady stream of new ‘minimal’ preservation techniques. At the same time, the development of the hurdle concept has led to renewed interest in the use of more traditional preservation methods and the ways they can be combined with newer technologies.

Uses of Dry Fruits:

1.       It can be directly used as nutritional food.

2.       It can be used for making different variety food products on fruit base industry as well as in the commercial complex.

3.       It can be used for extraction of fruit base flavours as well as food colour ingredients.

4.       It can be used for making different variety of sweet meat.

5.       It can be used for making mixed flavour in the different variety of food ingredients.

6.       Dried fruits are a great snack, being convenient and easy to pack no matter the season or activity. Dried fruits can also be added to granola or hot cereals, salads, pilafs, meat dishes and much more.

7.       Dried fruits are excellent in cobblers, breads, pies, puddings, gelatin salads, milk shakes and cooked cereals.

8.       It is used as basic food material whenever needed before the expiry date of packaging.

9.       It may be used for the preparation of different flavours and pigments from the fruits.


Market Outlook

Global consumption of dehydrated fruits continues to grow on the back of changing lifestyle and consumer purchasing pattern. At the same time, increased efforts to develop solutions that allow extended food preservation without the use of unhealthy preservatives is also driving the popularity of dehydrated. By 2023, the global market size for dehydrated fruits is expected to surpass UDS 38 Bn up from 22.34 Bn in 2016. This indicates towards a strong growth of the market during the review period (2017-2023). Dehydration of fruits enhances their shelf life, which also makes a positive impact on profit margins for retailers as the spoilage rate reduces. Healthiness is major factor that also comes into play – dehydration usually preserves most of the nutrition and other properties of fruits. Therefore, they are popular among health-conscious consumers.

Global dehydrated fruits market is anticipated to be driven by various factors. Increasing massive growth of sports drinks and supplements, the growth of dehydrated fruits is increasing at a high pace. Additionally, the sports nutrition is undergoing a transitions of new product development, which, in turn, accelerates the growth of the dehydrated fruits

Increasing disposable income of the consumers coupled with the growing urban middle class population is anticipated to fuel the sales of ready to eat food products which is considered to be one of the major factors for the rising growth of dehydrated fruits in the developing economies.

Dehydrated fruits are majorly used in ready to eat foods, fruit bars, soup, energy drinks, beauty products, aromatherapy oils, bakeries, organic paints, etc. It can also be sold individually like raisins, dried figs (Anjeer), banana chips dried mangoes, dried oranges, dates, coconut, sun-dried tomatoes, dried potato chips, amchur powder, chili powder, food flavoring etc. It is also used as flavoring by many kinds of manufacturers.

Dehydrated fruits are mostly used by space stations, hikers, campers, hotels, restaurants, organic food retail stores, herbal tea manufacturers. It is a life saver in areas that are affected by disasters like earthquakes, flood, etc. as most of dehydrated products do not require any cooking or refrigeration.

It can be done at household level as well as at a large scale. At a small level, ladies in house make pickles, amchur powder, chili flakes, snacks, spices, etc. by sun drying it and preserving it with the help of salt, oil and preservatives. It is a good business option for household ladies and people who have small amount of capital to work with. The demand for dehydrated fruits is developing gradually as consumers become more accepting of convenient food options.

Apart from the noticeable benefit of dehydrated fruits in terms of longer shelf life, the nutritional benefits offered by the products are increasing the consumer base for the market. Moreover, the availability of seasonal fruits in dehydrated forms is further reinforcing the market’s growth. The rise in health awareness and development of a nutrition-conscious diet pattern is expected to broaden the scope of development of the market in the forecast period.

The dehydrated fruits market is segmented on the basis of type and form globally. The type basis of segmentation is consists of fruits. The form basis of segmentation of the market comprises of granules, powder, and others. The powder segment is predicted to control a substantial market share in the dehydrated fruits & vegetable market globally through the forecast period.

Dried Fruit Market

Dried fruit market is categorized on the basis of type, drying method, application, end-use and geography. On the basis of type, the market is divided into dried dates, dried grapes, dried prunes, dried apricots, and others. Based on drying method, the market is divided into solar drying, vacuum drying, freeze-drying, microwave drying, and others. In terms of application, dried fruits market is classified into commercial and household. Based on end-use, dried fruits market is divided into household, foodservice, food processing, bakery products, cereal and snack bars, fruit snacks, dairy products, chocolate & confectionery, beverages, frozen desserts and ice cream, others (jams, ready meals, and infant nutrition).

Rising global urban population and per capita income are factors responsible for the boost in demand for industry products such as fruit snacks and cereals. Demand for dried fruits from food manufacturers, such as confectionery and bakery, as well as dairy companies is increasing all over the world, as these buyers purchase processed fruit products from industry operators for utilization of fruits in their manufacturing processes. Advancements of modern retail formats, such as convenience stores and increased penetration of online stores, particularly in the Asian countries is resulting in increasing product visibility and improved product information. This enables easier accessibility to food products, such as dried fruits, to consumers.

Rising consumer awareness over the health benefits offered is helping the industry to boost its demand for dried fruits. Growth in the market is benefited by the increased acceptance of diets rich in prunes, almonds, raisins, figs and apricots. Dried fruits are estimated to grow in popularity as a nutritionally rich alternative to fresh fruits, especially in countries with cold weather conditions.

Dehydrated Food

The global dehydrated food market is growing at a fast pace and is anticipated to observe significant growth over the next seven years till 2023. Expanding demand of food products with wide shelf life along with rising demand for seasonal products all over the world is expected to intensify the growth of dehydrated food market over the period 2016-2023. Apart from this, enhancing demand of food producers to preserve food products for longer duration is also fostering the growth of dehydrated food market worldwide and is likely to fuel the growth till 2023.

Dehydrated food market can be segmented on the basis of technology which includes spray dried, freeze dried, vacuum dried, sun dried, hot air dried and others. Traditionally among all these segments sun dried process of dehydration was the major segment in terms of usage by food manufacturers followed by hot air dried process. However due to the introduction of new technology spray dried is expected to account for largest share in terms of market revenue contribution, followed by freeze dried during the forecast period. Vacuum dried segment is expected to show a consistent growth as compared to others. Limited usage in food products is expected to be the restraining factor for the growth of vacuum dried technology in dehydrated food market in the near future.

Rising demand of food products with longer shelf life coupled with the increasing demand of seasonal products across the year is supporting the growth of dehydrated food market during the forecast period. Moreover, increasing demand of food manufacturers for preserving food product for longer period so that they could use it as an ingredient in their final product is also fuelling the demand of dehydrated food market during the forecast period.

The Leading Market Players in the Global Dehydrated Fruits Market

The leading market players in the global dehydrated fruits market primarily are DMH Ingredients (U.S.), FutureCeuticals, Inc. (U.S.), Kanegrade Limited (U.K), Saipro Biotech Private Limited (India), NutraDry (Australia), Paradise Fruits Solutions Gmbh & Co. (Germany), Activz LLC (U.S.), Baobab Foods, LLC (U.S.), Milne MicroDried (U.S), Herbafood Ingredients GmbH (Germany)



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Ø  Introduction

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·         Properties

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·         Uses & Applications


Ø  Market Study and Assessment

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Project at a Glance

Along with financial details as under:


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  •    Production Schedule

  •    Land & Building

            Factory Land & Building

            Site Development Expenses

  •    Plant & Machinery

             Indigenous Machineries

            Other Machineries (Miscellaneous, Laboratory etc.)

  •    Other Fixed Assets

            Furniture & Fixtures

            Pre-operative and Preliminary Expenses

            Technical Knowhow

            Provision of Contingencies

  •   Working Capital Requirement Per Month

             Raw Material

            Packing Material

            Lab & ETP Chemical Cost

           Consumable Store

  •   Overheads Required Per Month And Per Annum

         Utilities & Overheads (Power, Water and Fuel Expenses etc.)

             Royalty and Other Charges

            Selling and Distribution Expenses

  •    Salary and Wages

  •    Turnover Per Annum

  •   Share Capital

            Equity Capital

            Preference Share Capital


  •    Annexure 1:: Cost of Project and Means of Finance

  •    Annexure 2::  Profitability and Net Cash Accruals


                Expenses/Cost of Products/Services/Items

                Gross Profit

                Financial Charges     

                Total Cost of Sales

                Net Profit After Taxes

                Net Cash Accruals

  •   Annexure 3 :: Assessment of Working Capital requirements

                Current Assets

                Gross Working. Capital

                Current Liabilities

                Net Working Capital

                Working Note for Calculation of Work-in-process

  •    Annexure 4 :: Sources and Disposition of Funds

  •    Annexure 5 :: Projected Balance Sheets

                ROI (Average of Fixed Assets)

                RONW (Average of Share Capital)

                ROI (Average of Total Assets)

  •    Annexure 6 :: Profitability ratios


                Earnings Per Share (EPS)


             Debt Equity Ratio

        Annexure 7   :: Break-Even Analysis

                Variable Cost & Expenses

                Semi-Var./Semi-Fixed Exp.

                Profit Volume Ratio (PVR)

                Fixed Expenses / Cost 


  •   Annexure 8 to 11:: Sensitivity Analysis-Price/Volume

            Resultant N.P.B.T

            Resultant D.S.C.R

   Resultant PV Ratio

   Resultant DER

  Resultant ROI

          Resultant BEP

  •    Annexure 12 :: Shareholding Pattern and Stake Status

        Equity Capital

        Preference Share Capital

  •   Annexure 13 :: Quantitative Details-Output/Sales/Stocks

        Determined Capacity P.A of Products/Services

        Achievable Efficiency/Yield % of Products/Services/Items 

        Net Usable Load/Capacity of Products/Services/Items   

       Expected Sales/ Revenue/ Income of Products/ Services/ Items   

  •    Annexure 14 :: Product wise domestic Sales Realisation

  •    Annexure 15 :: Total Raw Material Cost

  •    Annexure 16 :: Raw Material Cost per unit

  •    Annexure 17 :: Total Lab & ETP Chemical Cost

  •    Annexure 18  :: Consumables, Store etc.,

  •    Annexure 19  :: Packing Material Cost

  •    Annexure 20  :: Packing Material Cost Per Unit

  •    Annexure 21 :: Employees Expenses

  •    Annexure 22 :: Fuel Expenses

  •    Annexure 23 :: Power/Electricity Expenses

  •    Annexure 24 :: Royalty & Other Charges

  •    Annexure 25 :: Repairs & Maintenance Exp.

  •    Annexure 26 :: Other Mfg. Expenses

  •    Annexure 27 :: Administration Expenses

  •    Annexure 28 :: Selling Expenses

  •    Annexure 29 :: Depreciation Charges – as per Books (Total)

  •   Annexure 30   :: Depreciation Charges – as per Books (P & M)

  •   Annexure 31   :: Depreciation Charges - As per IT Act WDV (Total)

  •   Annexure 32   :: Depreciation Charges - As per IT Act WDV (P & M)

  •   Annexure 33   :: Interest and Repayment - Term Loans

  •   Annexure 34   :: Tax on Profits

  •   Annexure 35   ::Projected Pay-Back Period And IRR