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Investment Opportunities Series: Flavored Sugar Cube
Economy, Business And Markets

Investment Opportunities Series: Flavored Sugar Cube

Most Iranians consume tea with sugar cube daily and this offers a golden opportunity to investors seeking new lucrative fields.
In the past, households bought conical loaves, from which pieces were broken off with iron cutters. But nowadays people prefer to have their sugar at the ready.
The cubes are made by pressing granulated sugar, mixed with a bit of sugar liquid to help glue them all together. Machines form them into cubes, air-dry them and then package them.
At present, a new generation of sugar cubes is being produced; they are flavored with chocolate, lime, cinnamon, spearmint or saffron.
Only three factories are producing flavored sugar cubes in Iran and the rest are active in underground workshops or home-based businesses. Therefore, investment in the production of flavored sugar cubes would turn out to be productive, the Persian daily Forsat-e Emrooz reported.
No study has categorically proven artificial food colors to be harmful. But there are studies that give cause for concern, suggesting that synthetic food dyes may contribute to conditions like ADHD and even cancer. Therefore, it is advisable to use all-natural colorings and flavors for the sugar cubes. By using natural dyes, you can also win the trust of customers trust.
To set up a factory with the capacity of producing 100 tons of flavored sugar a day, you need a 5,000-square-meter plot of land, sugar cube making and flavoring machines (each flavor requires a separate machine). The machines, however, are not very expensive ($8,570 each). All in all, you need an initial investment of 5,000 million rials ($142,857) and 30 personnel. You also need to set aside 500 million rials ($14,285) for packaging machinery.
However, if you intend to establish a small-scale business, a 20-square-meter space is enough. In this case, your customers would be your acquaintances or neighboring stores. Home sugar cutter machines crush up to 200 kilograms of lump sugar per hour and are worth around 40 million rials ($1,142) each. They produce 880 kilograms of sugar cubes out of one ton of loaf sugar and the remaining sugar powder can be sold to confectionaries.
Flavoring can be done in large trays, which is not costly. You also need to allocate 20 million rials ($571) for the wrapping machine.

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