How to apply for HAFED Distributorship in 2023-Cost & Profit Margin

How to apply for HAFED Distributorship in 2023-Cost & Profit Margin

Do you want to do your own business at the present time? Do you want to do a business whose distributorship is given by the government? Because business has become an attractive opportunity in recent years for individuals seeking financial freedom and growth. Such a promising opportunity is Haryana State Cooperative Supply and Marketing Federation Limited (HAFED) Distributorship.

HAFED is India’s leading cooperative federation, providing a range of products and services in various sectors. It is a Haryana Government owned institute. In this blog, we will know How to apply for HAFED Distributorship, along with this, we will also know how much total investment will be required for this business, what will be the profit margin and what will be the risk in it, so let’s start from the beginning.

Overview about HAFED

How to apply for HAFED Distributorship in 2023-Cost & Profit Margin

HAFED is a state level organization in the cooperative sector in Haryana with an annual turnover of more than Rs.10,000 crores. Which was established in 1966. It aims to support farmers and rural development by providing essential food products and marketing services.

HAFED is playing a pioneering role in serving the farmers of Haryana as well as consumers in India and abroad by providing hygienic and quality consumer products. HAFED’s diverse product range includes Cereals, Edible Oils, Dairy Products, Fertilizers, Seeds, Pesticides and many more.

HAFED: Essential Facts

1 Trade Name Haryana State Cooperative Supply and Marketing Federation Limited
2 Type Cooperative
3 Chairman Shri. Kailash Bhagat
4 Founded 1966
5 Founder Government of Haryana
6 Headquarters Corporate office, Sector-5, Panchkula (Haryana)
7 Area Served Worldwide
8 MD Shri. J. Ganesan (IAS)
9 Annual Turnover Rs. 17,700 Cr (FY 2021-22)
10 Website hafed.gov.in

 

Why HAFED Distributorship?

How to apply for HAFED Distributorship in 2023-Cost & Profit Margin

  1. HAFED is a protected and financial purpose institute protected by the Haryana Government.
  2. It India’s leading cooperative federation that has earned the trust of generations of consumers. Being associated with such a respected name boosts your credibility and builds customer confidence which gives you a competitive edge.
  3.  It has a wide product range including Cereals, Edible Oils, Dairy Products, Fertilizers, Seeds, Pesticides and many more. Thus, you can cater to a diverse consumer base.
  4.  We require a low investment cost to start this distributorship and it also provides us with a high profit margin.

HAFED Distributorship Model

Following are the Distributorship model operated by HAFED

  1. Consumer Product Model
  2. Cattle Feed Model
  3. Pesticide Business Model

You can do business with one or two or all three of these models by connecting to any corner of India. Let us know in detail about their Distributorship model one by one.

Consumer Product Model

How to apply for HAFED Distributorship in 2023-Cost & Profit Margin

It provides you well-known products known for its supreme quality and purity such as SPD Basmati Rice, Non-Basmati Rice, Kachhi Ghani Mustard Oil (Agmark Grade-1), Refined Soybean Oil, Refined Cotton Seed Oil, HAFED Desi Wheat and its Atta, HAFED Sugar, HAFED Turmeric Powder etc. to sell as your distributor.

Cattle Feed Model

How to apply for HAFED Distributorship in 2023-Cost & Profit Margin

HAFED offers top-notch cattle feed products, which are specially made in its well-equipped processing units in Rohtak and Sirsa, Haryana. These high-quality products are supplied to customers through dedicated distributors both within and outside the state under the brand name “Hafed.”.

Pesticide Business Model

How to apply for HAFED Distributorship in 2023-Cost & Profit Margin

HAFED also offers farmers top-quality and tested pesticides and insecticides through a network of distributors within and outside the state. These pesticides are made in a well-equipped Pesticide Plant located in Taraori, Karnal, Haryana.

HAFED Distributorship Cost

How to apply for HAFED Distributorship in 2023-Cost & Profit Margin

To take HAFED distributorship, you have to make 2 main investments. The first investment you will have to make is to set up a shop on a piece of land for the HAFED and a Godown to store the material. The second investment is you have to pay to buy the company’s product.

Apart from this, you will also need some investment, such as in the necessary license, some equipment, in marketing, investment to take your product to your shop etc.

In this, your total investment may take from 8 to 12 lacs, the total investment varies depending on the quantity of products you take from them. If you buy a product below Rs 50,000 from them, then you have to pay 4% extra. The distribution fee for HAFED is ₹10000 which is refundable.

Note: –Click Here to see Price list of HAFED Products.

HAFED Distributorship Profit Margin

If we talk about its profit margin, then the profit margin of each product is different. And if we talk about the overall profit margin, then you get an overall profit margin of 8 to 12 percent on this, if you sell their product for 5-10 lakhs every month, then you get 1.5% extra as a bonus. And on selling more than 10 lakhs, you get an extra 1.75% bonus.

Requirement for HAFED Distributorship

How to apply for HAFED Distributorship in 2023-Cost & Profit Margin

  1. The first and most important requirement, for this you may need an investment of 8-12 lacs.
  2. You also need a space of min 600 sq. ft which is needed for their Shop and warehouse.
  3. Interested candidates are encouraged to commit themselves to the HAFED Business, adhere to company standards, and uphold its legacy.

Document Requirement for HAFED Distributorship

  • Aadhar card of applicant
  • Pan Card of applicant
  • Passbook of applicant
  • GST Number
  • FSSAI License
  • Business Insurance
  • Address Proof of Outlet
  • Electricity Connection document
  • Passport size photo of applicant

How to apply for HAFED Distributorship

To apply in this, after clicking on the given link, you have to take out the print out of the form from there, after taking out the print out of it, you have to fill that form completely carefully. After that you have to send this form by post to its official address or on its official email.

How to apply for HAFED Distributorship in 2023-Cost & Profit Margin

Official Address: –

THE HARYANA STATE CO-OPERATIVE SUPPLY & MARKETING FEDERATION LTD.
Corp.Off. -Sector-5, Panchkula-134109

Phone: 0172-2590520-26
Fax No. 0172-2590711

Email: hafed@hry.gov.in

Note: – You should consider the terms and conditions of HAFED before taking the dealership, after reading them thoroughly and carefully by clicking on the link provided.

Risk in HAFED Distributorship

While HAFED distributorship offers numerous opportunities, it is essential to be aware of the challenges that might arise:

Competition: The retail and agricultural sectors can be highly competitive. Distributorship needs to devise effective strategies to stand out from competitors.

Logistics and Supply Chain: Efficient management of logistics and the supply chain is crucial to ensure the timely delivery of products to customers.

Evolving Market: The market demands and trends might change over time. Flexibility and adaptability are essential traits for sustained success.

Regulations and Compliance: Dealers must adhere to legal and regulatory requirements to avoid any legal issues.

Conclusion

HAFED is a state level organization in the cooperative sector in Haryana with an annual turnover of more than Rs.10,000 crores. It aims to support farmers and rural development by providing essential food products and marketing services. HAFED’s diverse product range includes Cereals, Edible Oils, Dairy Products, Fertilizers, Seeds, Pesticides and many more. For this you may need an investment of 8-12 lacs. You also need a space of min 600 sq. ft which is needed for their Shop and warehouse and you get an overall profit margin of 8 to 12 percent.

Every business has some merits as well as some risks to them, so according to me, consider each and every aspect before starting this Business. If there are any questions related to this Business, then you can ask us your question in the comment box below.

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FAQs

What is the function of HAFED?

HAFED is a state level organization in the cooperative sector in Haryana with an annual turnover of more than Rs.10,000 crores. Which was established in 1966. It aims to support farmers and rural development by providing essential food products and marketing services.

What is the full form of Hafed headquarters?

The full form of Hafed is Haryana State Cooperative Supply and Marketing Federation Limited.

Who is Chairman of HAFED?

Shri. Kailash Bhagat is Chairman of HAFED.

Who is the New MD of HAFED?

Shri. J. Ganesan (IAS) is New MD of HAFED.

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