Setting Up a Green Pea Processing Plant: Raw Material, Machinery and Cost Breakdown

Establishing a successful agro-processing venture begins with understanding the intricacies of production, and setting up a green pea processing plant is no exception. This sector presents significant opportunities for entrepreneurs, MSMEs, and investors aiming to capitalize on the growing demand for processed vegetables. With the rising consumption of convenience foods and the global focus on food preservation and waste reduction, green pea processing offers a viable, scalable business model.

IMARC Group’s “Green Pea Processing Plant Project Report 2025: Industry Trends, Plant Setup, Machinery, Raw Materials, Investment Opportunities, Cost and Revenue” report provides a comprehensive guide on how to successfully set up a processing plant. The green pea processing plant cost report offers clarifications on various aspects, such as unit operations, raw material requirements, utility supply, infrastructural needs, machinery models, labour necessities, transportation timelines, packaging costs, etc.

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What is Green Pea Processing?

Green pea processing involves cleaning, blanching, sorting, freezing or drying, and packaging fresh peas to enhance their shelf life and usability. Processed green peas are commonly available as frozen or dehydrated products, used in domestic cooking and by food service businesses.

Applications and Industry Demand

Processed green peas are widely used across multiple industries:

• Frozen Food Industry: Ready-to-eat meals and mixed vegetable packs.
• Catering and Hospitality: Hotels and airlines require year-round supply.
• Export Markets: Countries with limited agricultural capacity import frozen vegetables.
• Institutional Use: Schools, hospitals, and government food programs rely on preserved vegetables.

With a growing focus on healthy eating and plant-based diets, demand for frozen and processed vegetables continues to surge, making green pea processing an attractive investment.

1. Definition and Purpose

What is a Green Pea Processing Plant?

A green pea processing plant is an agro-industrial facility designed to handle large volumes of fresh green peas. The plant performs value addition by cleaning, blanching, cooling, freezing or drying, grading, and packaging green peas in a hygienic, efficient, and scalable manner.

The primary goal is to increase the product’s shelf life while retaining nutritional value, color, and taste. This supports both local consumption and export opportunities.

1. Market Analysis and Emerging Trends

The processed vegetable market has experienced steady growth due to changing consumer lifestyles, increased disposable incomes, and urbanization. Within this market, frozen peas hold a significant share owing to their year-round availability, ease of storage, and minimal preparation needs.

Key trends influencing green pea processing include:

• Growth of cold-chain logistics in emerging markets.
• Technological advancements in IQF (Individual Quick Freezing) and dehydration methods.
• Increasing demand from vegan and vegetarian food sectors.
• Government support and agriculture-based subsidies for MSMEs.

1. Raw Material and Machinery Requirements

Raw Material Requirements

The essential raw material is freshly harvested green peas, ideally sourced directly from farms or through cooperatives to ensure freshness and reduce supply chain costs. Critical factors include:

• Peas with uniform size and color
• Moisture content and sugar levels appropriate for freezing
• Free from stones, pods, and plant debris

Other consumables include:

• Clean water (for washing and blanching)
• Packaging materials (polyethylene bags, cartons)
• Food-grade additives (as permitted under regulations)

Machinery Requirements

Setting up a green pea processing plant requires a well-planned production line. Machinery requirements vary depending on processing capacity and level of automation. Common equipment includes:

• Feeding Conveyor: For uniform feeding of peas.
• Washing Machine: Removes dirt and contaminants.
• Blanching Unit: Softens peas and deactivates enzymes.
• Cooling System: Rapidly cools blanched peas.
• Grading and Sorting System: Ensures uniformity.
• IQF Freezer or Dehydrator: Freezes or dries peas for preservation.
• Packaging Machine: For sealing and labeling.
• Cold Storage Unit: Maintains product quality post-processing.

An automated or semi-automated setup can significantly enhance productivity and reduce labor dependency.

1. Process Flow Diagram

A standard green pea processing workflow involves the following steps:

1. Reception and Sorting: Manual or automated removal of foreign matter.
2. Washing: Multi-stage water bath or spray system.
3. Blanching: Hot water or steam blanching for enzyme inactivation.
4. Cooling: Immediate cooling using chilled water or air.
5. Grading and Inspection: Mechanical or manual grading based on size and quality.
6. Freezing/Dehydration: IQF for freezing or fluidized-bed dryers for dehydration.
7. Packaging: Vacuum or nitrogen-filled pouches.
8. Storage and Dispatch: Cold storage until shipment.

Each stage must be optimized to maintain hygiene, efficiency, and nutrient preservation.

1. Cost Breakdown and Setup Cost Analysis

Setup Cost Analysis

Setting up a green pea processing plant involves multiple cost components. While exact figures vary based on location, capacity, and automation level, the following are key expenditure areas:

• Land and Infrastructure: Land purchase or lease, construction of production halls, cold storage, utility areas.
• Machinery Costs: Procurement, installation, and maintenance of processing line.
• Utilities and Energy: Power, water supply, and waste management.
• Manpower and Training: Skilled and unskilled labor, training programs.
• Licensing and Compliance: Registration, FSSAI licensing, pollution control clearance.

Operating Expenditure (OPEX)

• Raw materials and packaging
• Labor wages
• Electricity and water
• Equipment maintenance
• Logistics and transportation
• Marketing and distribution

Financial Forecast and ROI

A well-structured cost breakdown helps evaluate the project's long-term viability. Typically, MSMEs aim to achieve break-even within 3–5 years, depending on production scale and market outreach. High ROI is achievable with efficient sourcing, minimal wastage, and strong market linkages.

1. Regulatory and Compliance Factors

To ensure legal and operational legitimacy, green pea processing plants must comply with multiple standards:

• FSSAI Registration: Mandatory for food processing units.
• Pollution Control Board Clearance: Required for water and waste management.
• ISO & HACCP Certifications: To ensure food safety and quality management.
• Local Agricultural Department Approvals: For subsidies and procurement links.

Adherence to these norms not only ensures compliance but also builds consumer trust, essential for domestic and export markets.

1. Summary of Findings

Setting up a green pea processing plant offers a promising venture for entrepreneurs, MSMEs, and agribusiness investors. With rising consumer demand for frozen and processed vegetables, a well-equipped facility with efficient machinery and quality raw material sourcing can deliver long-term returns.

Key success factors include optimal cost management, adherence to regulatory guidelines, and adoption of advanced processing technologies. When planned strategically, the venture offers scalable growth with a high potential ROI and market sustainability.

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FAQs

1. What is the minimum land required for setting up a green pea processing plant? The land requirement depends on plant capacity, but typically, a small to medium-scale unit needs 0.5 to 1 acre including processing and storage areas.
2. What kind of green peas are suitable for processing? Sweet, tender, and uniformly matured peas are ideal. They should be harvested at the right stage to ensure taste and texture after processing.
3. Is it necessary to include an IQF system in the plant? An IQF system is highly recommended for maintaining product quality during freezing. However, it can be replaced with alternate freezing methods for small-scale operations, albeit with trade-offs in efficiency.
4. How long does it take to set up a processing unit? From planning and procurement to installation and licensing, setting up may take between 6–12 months depending on project scale and readiness.
5. Can MSMEs avail government subsidies for green pea processing units? Yes. Various central and state-level schemes support food processing units with subsidies on machinery, cold storage, and working capital assistance.