India is the 2nd largest producer of wheat in the world. Wheat is the largest traded agro-commodity among others in the world. Therefore the export of wheat is always profitable for the Indian export industry. The Agricultural and Processed Food Products Export Development Authority (APEDA) is revolutionising Indian Wheat Exporter companies by rebuilding and developing agriculture infrastructure. Owing to its efforts, the agricultural sector has seen a huge growth in terms of production and export in the foreign market and is profitable for both farmers and exporters.
According to the government, following licences and criteria are mandatory to start exporting wheat :-
- APEDA Registration- Exporters require to obtain an APEDA licence which is like a seal of approval from the government related to the standard of the product.
- Import-Export Code- The registered import-export code is required when filing for a registration cum membership certificate (RCMC), which is viewed as a gateway certificate for any foreign trade..
- Company Registration- To start a wheat export business, one needs to get his company registered under either of sole proprietorship, one-person company, partnership company, Limited Liability Company and private limited company.
- Open Bank Account- Once the company is registered, one needs to open a current bank account in the company’s name.
- GST Registration- Once the company is incorporated, one has to apply for GST registration and get a GST number to further perform business activities.
- ESI Registration- Employee State Registration is an insurance scheme for workers working under the producing unit, which is mandatory while producing wheat.
- Employees Provident Fund Registration- EPF registration is necessary for businesses where more than 20 employees work.
- Trademark Registration- Registration of brand name with a trademark is important to protect the brand internationally.
Methods To Find Buyers
There are 2 methods to search for International Buyers-
- Offline Trading Method- Under this buyers can be found through word of mouth,exhibitions,advertisements,middlemen etc.
- Online Trading Method- Under this buyers can be found through some online B2B and B2C portals, Social Media etc.
While some commodities are sold in their raw form others are further processed and sold in the form of branded solutions. Wheat is one such commodity that is sold in all forms, from paddy to processed wheat flour by various companies.
Drawbacks To Trade In The Offline Method
To target the right buyers one must carefully make their decision. Some buyers indulge in fraudulent activities(payment defaults) and others might delay the process of trade (unclear trade requirements, language barriers,distance too far apart etc.), causing much harm to the sellers. It is also difficult for the seller to set the right price due to fluctuating prices and market conditions across the world. Multiple middlemen squeeze out the profits that the seller would make. The seller would have to put in extra efforts to remain secure throughout the process of trade which is tedious, time consuming and hefty on the pockets.
Why Is Online Trading Beneficial?
In comparison to the offline methods of trading, online trading platforms help enhance and simplify the process of trade, making it more transparent. Sellers need to post their availability and await potential buyers to respond and accept the offering through secure channels of trade provided by the online platform.
Finding buyers in the domestic market for your product is hard, but finding global buyers for your product is even harder.The most preferable choice would be to go with B2B platforms like Tradologie that connects you with global buyers for your products in an efficient and cost-effective manner.
Tradologie is the world’s first Digital Trade Hub that simplifies global trade and makes it easier for transacting parties to trade. With 600,000+ global registered buyers on its network, Tradologie facilitates ways of enquiring, filtering, bidding, negotiating and payments under one platform. Join the global trade network of Tradologie and market your Buy Wheat From Manufacturer produce to its registered buyers spread locally and across 100+ countries with complete transparency and without middlemen.