The Requirement to set up Plastic Toothpick Production

Narendra Kumar

19 Oct, 2019

Plastic Toothpick Production

A Toothpick commonly used for removing dead particulate organic matter from the teeth after a meal. Alternately they are also used to pick up small pieces of appetizers or snacks at parties, cooking shows, etc. Available in wooden, metal, bone, bamboo and food-grade plastic polymer material, there is a growing demand for this commodity in the market as they are used at homes, restaurants, food joints and hotels. Depending upon the type of machinery, the e-commerce business model for Plastic Toothpick Production can be fully automated or semi-automated.

The plastic toothpicks also called the dental picks are slowly getting more preference over the wooden or the other types of toothpicks because of the quality of the material being used. They are believed to clean the teeth better and more effectively causing less harm to the gums.

What is the Industry Statistics at Present in the Country?

The Indian Plastic Toothpick Production industry is growing at a rate of 4%. Other than the growing demand for the disposal of a Plastic Toothpick Production in the domestic market, one can also look at developing plastic toothpicks for the export market. Worldwide, North America held the largest chunk of the toothpick market share in 2017. It is followed by Europe because of the growing number of aged people in this region. The rest of the world is expected to grow at a steady rate in the Toothpick market.

What are the Necessary Licenses and Business Registrations Required for Starting Production?

The Requisite Registrations for the Business to Operate are:-

1. Registration of the business in India. For small-scale business, one can either operate as a one-person company registration as an LLP registration. If the business is to be set up with heavy infrastructure then one can also opt for Company Registration.
2. Trade license is a mandatory document that needs to be applied to the municipal corporation of the place where the business is to start. It is a permission granted by the State government to the business owner to start operations of a trade or a business at the particular premise or location. It needs to be renewed on a periodical or annual basis. This is time-consuming as well as an expensive process.
3. Udyog Aadhaar MSME Registration– this is a 12-digit identification number issued by the Ministry of MSME/SSI for small and medium scale industries. This is essential for sole proprietorship firms and other businesses too to avail benefits from Government grants and subsidies.
4. NOC from the State Pollution Control Board -the board consents to setting up the industry based on whether the factory would harm the surrounding environment and the level of pollution in the area where the factory is being proposed to be set up.
5. GST Registration. This is a tax registration process that is mandatory for any business in India that:

• Has an annual sale higher than Rs. 20 lakh
• Sells his goods and services outside his state of production.
• Is an e-commerce seller.

This is a simple process of registration as one can do so at the online government GST portal. The business owner needs to fill up his PAN, mobile number, email id, and state. A temporary reference number is generated. After all, details are uploaded at the government site, the business will be granted a certificate of registration after verification and approval.

1. ISO certification–issued by the International Organization for Standardization is the proof that the factory is meeting statutory and regulatory requirements in production and other processes as well as achieving excellence in the delivery of goods and customer service. ISO 9001is the latest standard for quality management which consists of eight key principles of delivering quality products and services. The certificate has an expiry date – hence the factory needs to get its audit done at least three months prior to the expiry of the certificate. Other than the internal audits and management reviews, there are the Surveillance Audit and Re-certification audits for re-certification.
2. BIS Certification that is mandatory for food-related
3. For export-oriented business, a license from IEC – IEC or Importer Exporter Code is actually a ten-digit code that is issued by the Directorate General of Foreign Trade^[1] under the Ministry of Commerce and Industry to a business house for carrying out import and export activities.