Toothpaste could be regarded as an essential commodity.
Although there are native alternatives the paste is the most ideal and prolific
method of cleaning our teeth.
There are literally thousands of toothpaste brands and
products in the market place. The products have identical compositions however
the active ingredients, color, taste and functionality are slightly different.
The viscous soft substance main function is to preserve
our teeth from cavities and dentures.
The smooth, soft paste comes in different colors, flavors and packaging.
The common identifier is thin aluminum foil tube of
different sizes and dimensions. Although paste also comes in gel or powder the universally
favored form is paste.
You need to focus on paste research and development
including customer’s preferences and prices. The toothpaste industry is highly
profitable however you face stiff competition from established brands.
Here are a few ideas on how to start a toothpaste
production plant
How
to Start a Toothpaste Production Plant
Estimated
Investment and Funding
A small toothpaste production plant would require
moderate investment. It depends on leasehold, type of equipment, staff strength
and cost of raw material.
Other financial impute are total cost of production,
fixed and working capital. The capacity, output and market acceptability
determines the profit margin.
A standard plant should be able to produce about 7-10
million tubes a year. To secure funding approach a commercial bank in your
area.
Present the business plan, management structure and
provide collateral. The loan should be long termed with fixed interest rate. If
you are averse to loans try target savings or borrow from friends and
acquaintances.
Source
Raw Materials
It is important to have a ready source of raw materials. Secure
supply deals with companies and purchase in bulk to reduce costs.
Common ingredients in toothpaste are glycerin, calcium
carbonate and water. Other ingredients are preserving agents, mustering agent
and perfume. The basic raw materials are easily sourced in the local market.
A List
of Ingredients in Toothpaste
Sodium monofluorphosphate
Calcium carbonate
Glycerin
Bronopol
Aluminum Lactate
Allantoin
Sorbitol
Develop
the Necessary Skill
Before venturing into toothpaste production you need to
acquire knowledge of the production process. Apart from product development and
execution you need basic business skills.
Learn through seminars, manuals, books and practical
experience. Hire an experienced lab technician to develop the product. You need
fully fitted laboratory to develop different tastes and products.
Write
a Toothpaste Production Business Plan
The toothpaste production plan should have a vision and
mission statement. Focus on niche market, customer preferences, popular
products and marketing strategy.
You could hire a freelancer to write the plan or other
professional services. Once you have the business plan add a comprehensive
feasibility study of your preferred location.
Secure
Factory Space
Lease a property that has ample space for machine
installation and storage. The factory should have a loading deck, parking and
good road network.
Make sure the property provides utility such as water and
electricity to aid production. Some good locations are urban areas, closeness
to raw material or within a popular market.
Toothpaste
Machinery and Production Technology
Setup a fully equipped laboratory for product research
and development. Hire experienced chemists or laboratory technicians to carry
out the product development.
Common equipment used by toothpaste production plants are
injection shoulder and shear mixer machines. Others are weighing machine,
sealing machine, mixing vessels, discharge pumps, tube filler and storage
tanks.
The production technology involves homogenizing a mixture,
cooling and filling.
A
List of Equipment/Machinery
Sealing Machine BTSM-50
Chiller Machine -5p
Tune body mold machine 100mc
Vacuum Paste Machine 50ML, 75ML
Register
the Toothpaste Manufacturing Company
Your produce needs to pass a quality standardization test
including food and drugs certification. To operate you need a trade license and
business name.
Register your business with the corporate affairs
commission in your country. The business could operate as a sole proprietorship
or limited liability company.
The product might be subjected to value added tax and
don’t forget insurance. You need a personal identification number for tax
related purposes.
Develop
a Marketing Strategy
Toothpaste is an essential commodity used to prevent
cavities and tooth decay. It is popular in urban and rural areas accounting for
billions of dollars sale worldwide.
To effectively position your paste for profitability
develops an aggressive marketing strategy. Use lots of electronic media
advertisements and radio jingles.
Print huge billboards, posters and banners to highlight
the product. Use commission based sales representatives to find new customers.
Offer free samples in popular supermarkets, malls and
grocery stores. Create fun promotional campaigns and offer loyal patrons
incentives such as prizes or cash rewards.
Attract major wholesalers with good remunerations for
their investment in your product. Finally produce high quality product and use
attractive packaging.
Focus on target demography and niche market to push your
products. Don’t forget to build a website and use online promotions to expand
your reach.
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