Is growing horseradish profitable as a business and what are the features of its agricultural technology on an industrial scale?

Horseradish is traditionally used in Russian cuisine, giving jellied meat or okroshka a unique taste and pleasant spiciness. Wasabi, which we associate with sushi and rolls, is also a type of horseradish. This useful plant is successfully used in folk and official medicine and even to produce rocket fuel.

From the article you will learn how to grow a hectare horseradish and organize a business.

Is it worth growing horseradish as a business?

Information about the profitability or unprofitability of such a business is very contradictory. The material was prepared after studying a significant amount of information, based on existing knowledge and personal life experience.

Advantages and disadvantages

Business benefits include:

• lack of competition in the domestic market;
• low cost, small initial investment;
• insignificant human participation in the production of the product;
• quick return on investment;
• simple agricultural cultivation technology.

Among the minuses are:

• the need to search for markets;
• little knowledge of business.

Profitability

Profitability refers to the efficiency of resource use (money, fixed assets, personnel). The indicator is measured in monetary terms.

Return on sales in the first year can be more than 60%. From 1 hectare of horseradish crops at the end of the season we get a profit of 299,000 rubles. with a sales volume of 480,000 rubles.

When calculating efficiency, divide the financial result by revenue and multiply by 100%:

299,000: 480,000 x 100% = 62.29%.

Where to begin

It is necessary to evaluate the idea in relation to your capabilities, abilities, natural conditions, specific circumstances of place and time. Studying materials on the topic (reading articles, watching videos) about the specifics of business and the peculiarities of growing crops, consulting with experts should help in creating a holistic picture of your prospects.

Required capital

Costs up to the time of planting the vegetable include:

• acquisition of land;
• purchase of tools, equipment, seed;
• soil preparation: cleaning, plowing, harrowing;
• fertilization;
• hiring workers.

After planting the horseradish, expenses will be incurred for:

• crop treatment, care;
• harvesting.

In different regions, the cost of land for acquisition or lease varies, so it makes sense to calculate the costs of its purchase yourself. Here are the approximate costs for purchasing seed material, carrying out preparatory and maintenance work:

1. The purchase of planting material for 1 hectare will cost 90,000 rubles.
2. Preparing the soil for planting will require 30,000 rubles. for 1 hectare. This includes the costs of plowing and harrowing.
3. Application of mineral fertilizers per 1 hectare of sown area will cost 16,000 rubles.
4. Caring for crops (watering) and harvesting will require at least 45,000 rubles. for every hectare.

Business plan

When drawing up a business plan for a project, we include in it:

• Product Description;
• market analysis;
• characteristics of potential buyers;
• production plan and cost calculation;
• promotion plan;
• organizational and financial plans.

The total investment consists of acquisition costs land, agricultural machinery, fertilizers, insecticides, hired labor, and transportation costs.

There are no monopolists in the production of vegetables in Russia; the demand for horseradish root far exceeds the supply in our market. That's why business by growing horseradish will not have significant competition.

What is needed to implement the idea

To start producing crops on an industrial scale, need to decide on business registration. It can be carried out by an individual entrepreneur, a limited liability company or a farm. The authorized capital of the LLC is divided into shares.

Important! The participants of the company are not liable with all their property for its obligations. The risk of their losses in connection with the activities of the company is within the value of shares in the authorized capital.

Business registration is carried out at the tax office at the place of residence. Registration period is 3 days from the date of submission of documents.

Variety selection

The most famous and common varieties:

• Atlant,
• Tolpukhovsky,
• Valkovsky.

They are more suitable than others for industrial cultivation because they are drought-resistant, hardy, and less susceptible to diseases and pests.

The variety that is mainly grown in Russia is Atlant.. Its roots are white with a gray tint. The rhizome has a tuberous surface with small peripheral roots. Length - from 20 to 50 cm, diameter - up to 5 cm. The period from planting to the beginning of the leaves dying is about 130 days. The variety is mid-season and has good keeping quality.

How to grow horseradish on an industrial scale

Chernozem or loamy soil is most suitable for cultivating horseradish.. When grown on light soils, the sharpness in the taste of horseradish is lost. Optimal soil acidity is pH 6.0-6.5.

Before planting, the soil is plowed (dug up) and harrowed. When growing over a large area, small equipment in the form of shovels, rakes and a walk-behind tractor are not enough. You will need a tractor, additionally a plow, a harrow, and a cultivator. For watering, an irrigation system is purchased (manufactured).

To get a good harvest, the soil is fertilized before planting. Both organic fertilizers and complex mineral fertilizers, including nitrogen, potassium, and phosphorus, are suitable.

Select cuttings of rhizomes with a diameter of about 1 cm and a length of 20 cm. They are planted manually in holes at an angle of 30°.

Landing is in progress into damp soil. The optimal distance between rows is 70 cm, between cuttings - 35-40 cm. The best time for planting is April.

Light-loving plant. Caring for the crop consists of weeding and watering during dry periods. It is also recommended to remove flower shoots and lateral roots to obtain a large root.

Harvesting of roots occurs in late October - early November. After cleaning and sorting, the dug roots are placed in boxes and stored in low temperature rooms. Under normal conditions, the roots quickly dry out, wrinkle and lose their presentation.

Collection leaves for canning It is best to produce in August - September.

For reference. According to vegetable growers, it is enough to plant horseradish once - the plant grows quickly.

Possible problems and mistakes to avoid

If you correctly plan the organization of your business and follow the technology of growing crops, there should not be any major difficulties.

Purchasing harvesting equipment may be problematic. When growing horseradish over a large area, it is unwise to harvest it only by hand, although the share of such labor is large (cleaning, pruning, sorting).

The only farmer who grows horseradish on an industrial scale in Russia removes the rhizomes with a special harvesting machine, custom-made in Switzerland. The operating principle of this machine is the same as potato harvester. The soil is loosened in rows at a certain depth, due to which the roots appear on the surface of the earth.

Productivity per 1 ha

On 1 hectare of land you can grow from 4 to 6 thousand horseradish bushes. From such a number of plants, when harvesting, it is possible to obtain about 20,000 kg of root.

60% of rhizomes have commercial quality. The remaining 40% is used as planting material, sold for planting, processed into powder, or made into our own products.

Sales of products

The sales market in Russia is large, but not studied. A huge amount of horseradish roots are imported into the country from China. The only large producer of the vegetable in Russia is A. V. Tarabrin, a farmer from the Tula region. According to experts, horseradish root imported from abroad is less valuable, and table horseradish produced in Russia partly consists of powder made from dried root. Considering these circumstances, we can conclude that vegetables grown in Russia will be in great demand.

Possible sales options:

1. Sales to processing enterprises.
2. Delivery to public catering outlets and chain stores.
3. Sales to the pharmaceutical industry.
4. Sales for the needs of the defense industry.
5. Sales on the market.

Competition

There is no need to talk about competition when there is only one large crop producer in the whole country. Growing horseradish as a business will allow the entrepreneur to receive significant income.

How much can you earn this way?

The larger the land plot, the greater the profit from it. Of course, subject to production technology, including timely application of fertilizers. The experience of farmer Tarabrin speaks of the prospects of the business in the conditions of central Russia.

Profit calculation example

Expenses 90,000 rubles were spent on purchasing planting material. Treatment of the site cost 30,000 rubles, application of fertilizers - 16,000 rubles. Caring for crops and harvesting required 45,000 rubles.

We expect to receive from 1 ha 20,000 kg of horseradish root. 60% of the resulting vegetable will be 12,000 kg. The root sells for 40 rubles. for 1 kg. RUB 480,000 will be received from the sale.

Let's sum up the costs: 90 000 + 30 000 + 16 000 + 45 000 = 181 000.

Find the difference between the amount received and costs: 480 000 – 181 000 = 299 000. According to the most general estimates, the profit will be 299,000 rubles.

Reference. Calculations were made in case of lack of own equipment and work performed with a hired tractor.

Conclusion

Is it worth starting a “crappy” business? The answer is definitely positive. The return on investment in the first year of operation indicates the prospects of the business and its profitability. By starting a business now, you can find your niche in the vegetable production market and succeed.