Start a Chocolate Making Business in India: A Complete Guide

Chocolate Making Business
Shivani Jain
| Updated: Sep 25, 2020 | Category: FSSAI

The term “Start a Chocolate Making Business in India” denotes the business idea that revolves around manufacturing and selling Chocolates in India.

Further, due to enormous demand and global acceptance of chocolates, a chocolate business experiences an upward surge in the terms of Demand and Profitability. Also, it is evolving as one of the fastest growing start-ups ideas in the upcoming years.

In this blog, we will discuss the concept of “Start a Chocolate Making Business in India” and the checklist involved for the same.

Concept of Chocolate Business in India

“Nine Out of Ten People Like Chocolate and the Last Person Always Lies”

The term “Chocolate” denotes a “Sweet Treat” that appeals everyone, irrespective of the age, income level, gender, and generation. It acts as a Soul Satiating Delight for everyone.

Further, the term “Chocolate Business” denotes a business idea that deals with the preparation of chocolate items, cocoa and other materials of similar nature, dairy products, sweeteners, permitted artificial flavors and food ingredients.

Growth of Chocolate Business in India

As per a report published by the Techsci Research, the Indian Chocolate Market is expected to grow at CAGR (Compound Annual Growth Rate) over 16% to cross $ 3.3 billion by the year 2023.

Further, as per a report published by the Business Wire, the Indian Chocolate Market is expected to cross $1833.28 million by the end of 2024.

Furthermore, as per a report published by the 6Wresearch, the Indian Chocolate Market is expected to grow at CAGR over 19% during 2017 to 2023.

As a result, a chocolate business experiences an upward surge in the terms of Demand and Profitability.

Checklist to Start a Chocolate Making Business in India

Checklist to Start a Chocolate Making Business

The steps involved in the checklist to start a chocolate making business in India are as follows:

Research the Market

The first and foremost step in the checklist to start a Chocolate Making Business in India is to research about the market and existing competition. As we know there are already established commercial chocolate brands operating in India, such as Cadbury, Nestle, and, Amul; and other Homemade Chocolates, so giving competition to such brands and chocolatiers requires proper market study and research.

Further, the term “Market Study and Research” include observing and penning down the factors as follows:

  1. Flavors and Types of Chocolates consumed more;
  2. Things that a Consumer want in his/ her chocolate;
  3. Price Range that has More Consumers;
  4. Shop and Retailers that are engaged in Selling Chocolates;

Location of the Business

Next important step in the Checklist to Start a Chocolate Making Business in India is to find a suitable place to start a Chocolate Store. The factors such as profitability and demand majorly depend on the place chosen for starting the business.

Further, it is always advisable to choose a location that is has a high foot-fall but not many competitors.

Arrange Finances

Before starting any business, the first thing required is to arrange finances to meet business expenses. Further, to arrange finances one can either use his/her own savings, or can approach traditional banks or angel investors.

Moreover, to start a Chocolate Store in India, at around Rs 4 lakhs to Rs 6 lakhs are required as investment.

Develop a Product Line

The term “Develop a Product Line” denotes the types of chocolates, variety, and flavors that the entrepreneur will provide to his/her customers.

Further, it is advisable to explore new flavor, product, and unconventional combinations to attract more customers.

Supply of Raw Materials

In the next step, the entrepreneur needs to make arrangements for the supply of raw materials, such as dairy products, sweeteners, permitted artificial flavors, cocoa, and food ingredients.

However, to increase the count the customers, it is advisable to use quality products and raw materials. Further, the term “quality” denotes the items that bear FSSAI Logo[1] .

Buy Robust Equipment

Every person who is willing to start a business related to Food Items needs to purchase robust and good quality equipment. The reason as to why one should choose a robust and good quality instrument is that one time investment is better than continuous maintenance.

Further, the equipment required for starting a Chocolate Making Business in India are as follows:

  1. Cutters;
  2. Hand Tools;
  3. Chocolate Melters;
  4. Panning;
  5. Tempering;
  6. Bean Bar Equipment;
  7. Cheese Waxing Machines;
  8. Chocolate Refrigeration;
  9. Depositing;
  10. Enrobing;
  11. Molding;
  12. Refrigerator;
  13. Spinning;
  14. Weighing and Finishing; and
  15. Packaging of the Chocolate;

Obtain Licenses and Permits

Obtain Licenses and Permits

The Licenses and Permits required to Start a Chocolate Making Business in India are as follows:

Company Registration

Every business entity that is starting a business in India needs to compulsorily obtain a Company Registration. Further, the business formats suitable for starting a chocolate business in India are Sole Proprietorship Firm and Partnership Firm.

FSSAI License

A FSSAI License in India is regulated by the provisions of the FSS (Licensing & Registration of Food Business) Regulations 2011. Further, it is compulsory for every FBO (Food Business Operator) to acquire FSSAI License before commencing its operations.

Health Trade License

Another important License for an FBO is Health Trade License. Only a Municipal Corporation or Department of Health of the concerned State has the authority to issue Health Trade License.

Trademark Registration

It is advisable for every FBO (Food Business Operator) to obtain Trademark Registration in order to protect the Brand, Logo, and Name from Duplication or Imitation.

GST Registration

The owner of the business needs to open a Current Bank Account in the name of the business to obtain GST Registration.

IEC Code

If in case the owner wants expand his/ her business globally to attract more customer, then he/ she needs to obtain an IEC Code or Import Export Code from the DGFT (Director General of Foreign Trade).

Trade License

For starting a chocolate making business in India, it is mandatory for the owner to obtain a Trade License from the Local Authority.

Labeling of Vegetable Fat

In this step, every owner must keep this thing in mind that as per FSSAI Guidelines, it is mandatory to specify the amount of Vegetable Fat on the wrapper of the food product. For example, if the product contains cocoa butter then the same must be specified on the label in Bold.

Hire Skilled Workforce

It is always suggested to hire professional and qualified workforce other than unqualified to manage the affairs of the business. Moreover, a qualified workforce will be more courteous, knowledgeable and helpful than an unqualified workforce

Join Local Markets

Now, the owner needs to join and approach local market and retail shops to have knowledge regarding the opportunities and advantages available for the budding entrepreneurs. Moreover, the same will be helpful in attracting more and more customers.

Go Digital

Another way of raising profit and attracting customers is to make appearance on Social Media. The different ways of making appearance on social media are as follows:

  1. Create an Instagram Page;
  2. Write Blog about Chocolates;
  3. Invite Food Bloggers;
  4. Click Food Pictures;
  5. Create Facebook Page;


In a nutshell, the main reason as to why every embryonic entrepreneur wants to start a chocolate making business in India is the enormous demand and global acceptance of chocolates.

Further, it shall be relevant to note that a lot of licenses and approvals are needed to start a chocolate making business in India, which can no doubt be a tiring and intricate task. Reach out to Swarit Advisors, our professionals will help you out in obtaining Trademark Registration, GST Registration, FSSAI License, etc., in a hassle free and straightforward way.

Also, Read: Checklist to Start a Bakery in India

Shivani Jain

Shivani has completed her B com LLB (Hons) and has the experience of writing various research papers during her college time. Earlier she was working as an Associate in a Delhi based Law Firm, but her interest in writing made her pursue Legal Content Writing as a career. Her core area of interest is in writing about various legal enactments, tax, and finance.

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