In India, rising disposable incomes and evolving consumer tastes have fueled impressive industry growth. The Indian ice cream market is projected to cross ₹1.5–1.7 trillion by 2036, driven by demand in Tier-2 and Tier-3 cities, quick-commerce delivery, and year-round consumption.
Globally, the plant-based segment is also expanding. According to the IMARC Group, the vegan ice cream market was valued at USD 732.1 million in 2025 and is expected to reach USD 1,075.9 million by 2034 at a CAGR of 4.24%, with Europe leading the market. This reflects a growing preference for healthier and alternative dessert options worldwide, a trend that is gradually influencing Indian consumers as well.
Amid this growth, Arun Ice Cream, a flagship brand of Hatsun Agro Product Ltd., stands out as a strong franchise opportunity. From its humble beginnings as an ice candy maker to becoming a household name in South India, the brand continues to expand nationwide through quality, innovation, and customer trust. Today we will explore Arun Ice Cream Franchise cost in depth.
Arun Ice Cream at a Glance
The ice cream brand, Arun, is a popular name in India and is run by Hatsun Agro Product Ltd. (HAP), one of America’s biggest dairy undertakings. Started in 1970 by the enterprising R.G. Chandramogan, Arun Ice Cream decided to provide quality ice cream to people throughout India, mostly in smaller cities and towns.
Why is Arun Ice Cream different from others? The organization’s USPs are varied and well integrated into its operations.
- Innovator of the Parlour Route: Arun Ice Cream was one of the first in India to bring the distinctive ice cream parlour concept to life.
- Deep Market Penetration: Many brands focus their business on urban or large-city markets, but Arun Ice Cream has expanded into semi-urban and rural areas.
- Optimal products, sold at affordable prices: Arun Ice Cream offers a wide range of ice cream, frozen desserts, kulfi, cones, bars, tubs, and novelties. Arun’s wide range of products appeals to a variety of tastes and preferences.
- Quality and Innovation: Even though Arun Ice Cream is very popular, it has maintained very high quality standards. They focus on developing new options by introducing unique and exciting products. This brand is well known for always using fresh ingredients.
Why Choose an Arun Ice Cream Franchise?
Choosing an Arun Ice Cream franchise is a smart decision for many reasons, especially for entrepreneurs looking to start a stable, profitable business in the food and beverage sector. Here are just a few:
- Established Brand Recognition: Arun Ice Cream is recognized by everyone, especially in South India, with more than 5 decades of trust and brand loyalty.
- Proven Business Model: The Arun Ice Cream franchise model has proven successful, meaning franchisees start a business with a proven operational system, including recipes, production processes, and quality control.
- Low Investment, High Demand: The initial investment for Arun Ice Cream is relatively low compared to many other food and beverage or QSR (quick service restaurant) franchises, making the market much more appealing to first-time entrepreneurs or anyone with limited capital.
- Thorough Support System: Hatsun Agro Product Ltd. provides a comprehensive support system to each of its franchisees across many aspects of running their businesses.
- Minimal Technical Knowledge Needed: The franchise model is designed to be simple to operate; there is no need for extensive prior experience in the food industry.
Arun Ice Cream Franchise Cost 2026
Depending on the store’s location, size, and needs, the estimates offered usually show that it is affordable for people to enter the franchise business. Its reasonable cost and strong brand presence make it a contender for the best franchise in India for those looking to start in the food and dessert sector.
| Category | Details |
| Initial Franchise Fee | ₹1 – ₹2 lakh for brand usage, trademarks, and business model |
| Shop Setup / Infrastructure | ₹2,00,000 – ₹3,00,000 (can vary ₹50,000 – ₹20,00,000 based on outlet size) |
| Equipment & Freezers | Generally provided by Hatsun Agro Product (confirm during inquiry) |
| Inventory Capital | ₹50,000 – ₹1,00,000 for initial stock |
| Working Capital | ₹1,00,000 (for initial months’ operating costs: utilities, payroll, stock) |
| Licenses & Permits | Varies by location (FSSAI, local food authority, etc.) |
| Additional Funds | ₹50,000 for miscellaneous/unforeseen costs |
| Ongoing Fees | 8% royalty fee + 3.5% advertising/marketing fee on sales |
| Profit Margins | Approx. 12% – 15% |
| Potential Additional Income | Possible through brand expansion and cross-selling opportunities |
| Franchisee Net Worth Requirement | ₹12 – ₹15 lakh recommended |
| Estimated ROI Timeframe | 1 to 3 years |
| Business Opportunity | Rapidly growing ice cream market, strong brand recognition, and support |
Totally, you need to invest between Rs 3.5 lakh and Rs 5 lakh to open an Arun Ice Cream. Usually, this total cost takes into account several main elements.
- Franchise Fee: The upfront, one-time fee will be paid to the franchisor to use the Arun Ice Cream brand, trademarks, and business model. The franchise fee generally falls between ₹50,000 and ₹1 Lakh.
- Shop Setup Cost / Infrastructure Investment: This cost covers setting up the physical outlet, including interiors, any civil works, painting, branding, and basic furniture. Generally, this cost can range from ₹2,00,000 to ₹3,00,000, although a few sources show a larger range, between ₹50,000 and ₹20 Lakhs, again, depending on the size, scale, and vision of the outlet.
- Equipment & Freezers: One notable advantage for Arun Ice Cream franchisees is that Hatsun Agro Product generally provides branded coolers and freezers, which minimize the franchisee’s initial expenditure, as these are expensive items.
- Working Capital: Financing needed to cover your daily operating costs for the first few months. Things like debt servicing, utility payments, payroll costs, and everyday inventory purchases, until the business begins to earn income.
- Licenses and Permits: Getting the licenses and permits to run a food business is very important, and where you live will affect these costs.
What is the Profit Margin for Arun Ice Cream Retailers?
Arun Ice Cream retailers average between 20% and 35% profit margins, making this one of the more rewarding franchise opportunities in the frozen dessert field. In the case of a typical outlet with a monthly turnover of about ₹150,000 necessary to cover rent, staff, utilities, and inventory, the total cost is estimated to be around ₹90,000, and the remainder of the net profit is about ₹60,000 every month, or ₹7 ₹20,000 per year. The margins differ depending on location, footfall, and operational efficiency.
The stores located close to schools, colleges, and active markets will do much bette,r and the properly managed stores will be in the upper part of the profit scale.
Other significant aspects influencing profitability and ROI
- Location: Its more profitable when the location can attract high levels of customer traffic and are highly visible.
- Operational: Efficiency in managing the inventory, staff and utilities can contribute greatly to margins.
- Customer Service: Excellent customer service can help create loyalty in customers to return to same store.
- Local Marketing: The franchisee needs to supplement the company marketing but local marketing efforts will help contribute to sales.
- Seasonality: Ice cream is growing to be a year-round treat and consumable, ice cream sales typically happen mostly during warm weather months and festive seasons, you should consider seasonality in the financial plan and criteria.
Key Requirements to Become an Arun Ice Cream Franchise
Becoming a franchise of Arun Ice Cream requires potential partners to meet a few basic criteria to ensure their values and standards align with the brand.
- Minimum Area Requirement: The ideal space for a franchise of an Arun Ice Cream outlet will typically be 100 sq. ft. to 200 sq. ft. for smaller kiosks or takeaway models. On the other hand, for parlours with seating capacity, you will usually need between 2000 sq. ft to 5000 sq. ft. The required area primarily depends on the chosen format and location.
- Location Type: The location is critical to any retail business, especially an ice cream parlour.
- Employee Headcount: A typical Arun Ice Cream outlet requires a small team. Most locations operate with about 1 to 2 persons for basic operations.
- Financial Capability: Potential franchisees must show they have enough liquid assets to cover the initial investment and working capital. Some sources suggest a net worth of ₹12-15 Lakhs may be preferred, indicating overall financial honesty.
- Entrepreneurial spirit and commitment: While experience in the food space is an advantage, Arun Ice Cream is also happy to welcome people with a genuine entrepreneurial spirit, customer-focused people who want to adhere to company processes and quality standards.
- Legal cooperation: Franchisees must be ready to obtain all necessary licenses and permits to operate a food and beverage outlet in their community.
How to Contact Arun Ice Cream for Franchise Opportunities
Official Website: In most cases, people go to Hatsun Agro Product Ltd.’s or Arun Ice Cream’s official websites to get in touch. A “Business Enquiry” or “Contact Us” section should exist on the franchise website.
- Go to the site www.hap.in or www.arunicecreams.in.
- Go to the area of the website that handles business openings or those concerning franchising.
Try to find either an online form or a dedicated email address for anyone interested in becoming a franchisee.
Franchise Inquiry Form: On most corporate websites, there is a form that lets you provide your name and contact information.
Direct Contact Information: Corporate office addresses, phone numbers, and email IDs are often listed on the contact page of Hatsun Agro Product Ltd.
- Telephone Number: 044-24501622 (Hatsun Agro Product Ltd. Corporate Office, Chennai)
- Mail ID: info@hap.in (general inquiry, they can redirect your franchise query)
- Parent Company: Hatsun Agro Product Ltd. (Arun Ice Cream brand)
- Phone: +91 44 2450 1622 (Corporate/Franchise enquiries)
- Email: info@hap.in (general enquiries) / customerservice@hap.in (customer care)
- Fax: 044-2450 1422
- Corporate Address: Hatsun Agro Product Ltd., Domaine, Plot No. 1/20A, Rajiv Gandhi Salai (OMR), Karapakkam, Chennai – 600 097, Tamil Nadu, India
Arun Ice Cream Franchise | Step-by-Step Application Process
Making contact normally marks the start of the structured selection process to check if a partnership with Arun Ice Cream would be successful. In most cases, the steps are somewhat alike, even if some variations exist:
Initial Inquiry/Application Submission:
- The first step, as explained before, is this one. The Hatsun Agro Products website’s online form lets you share your interest.
- Give all the details that are required, such as your personal information, contact details, finances, where you want to be located, and any experience you have in business.
Preliminary Screening & Evaluation:
- Once they receive your application, the Arun Ice Cream team will begin a first screening.
- They will evaluate your abilities, review your finances, and determine whether the given place suits them based on their research and expansion strategies.
- To collect more information before the interview, you could make a phone call or send an email.
Detailed Discussion and Information Exchange:
- If your preliminary application is accepted, you will usually be asked to discuss the details further. An employee may take part in a virtual meeting or visit the company’s office for this step.
- In this section, you will learn more about the model, the backing you receive, and exactly how much you are investing.
It’s the right time to inquire and find accurate answers to your uncertainties.
Site Selection and Approval:
- It’s very important for an ice cream business to be located correctly. Usually, the Arun Ice Cream team helps you select the proper location or approves the place you picked.
- It is very important that the site aligns with the company’s operational and branding standards.
Franchise Agreement and Legal Formalities:
As soon as all the evaluations are done and the location is confirmed, the Franchise Agreement will be provided.
- It outlines the essential terms and conditions that govern the franchisee-franchisor relationship, including fees required, how to operate, support offered, brand names, tenure rules, and renewal options.
- It is very important to get legal advice before signing the agreement.
Support and Benefits for Arun Ice Cream Franchise
Backed by Hatsun Agro Product Ltd., Arun Ice Cream’s franchisees have easy access to the help they need to grow their businesses. Taking part in the Arun family means getting valuable help that is very helpful for new businesses:
Branding & Marketing Support
- Store Branding: Support for branded interior and exterior signage to maintain Arun Ice Cream’s brand identity.
- Marketing Materials: POS materials, posters, and promotional displays provided.
Operational Support
- Branded Equipment: Hatsun Agro Product provides refrigerators and freezers, reducing initial investment.
- Centralized Billing System: Simplified billing and inventory management.
Training & Development
- Product Training: Knowledge of flavors, ingredients, and serving methods.
- Operational Training: Daily operations, customer service, and POS handling.
- Food Safety Training: Hygiene and safety best practices.
Business Support
- Management Assistance: Help in running the outlet efficiently and profitably.
- Performance Tracking: Sales reports and KPI monitoring.
- No Royalty Fee: Many outlets operate without ongoing royalty charges, increasing profit margins.
Is It Worth Investing in an Arun Ice Cream Franchise?
- Minimal cost of entry: To begin with, the total investment is only ₹3.5 to ₹5 lakh, and thus it is entry-level.
- High brand loyalty: The presence of the brand for over 50 years guarantees the immediate recognition and loyalty of the customers.
- No royalty payments: Most franchise systems do not impose royalty payments, which increases the take-home.
- Franchisor support: Equipment, supplies, training, and marketing materials are offered by Hatsun Agro Product Ltd.
- Fast ROI: Break-even can be achieved in 12-15 months; full ROI can be expected in 1.5 to 3 years.
- Expanding market: The ice cream market in India has a growth rate of 17.23% CAGR and this guarantees sustainability in the market.
Comparison with Amul & Other Ice Cream Franchises
| Brand | Total Investment | Profit Margin | Franchisor Support |
| Arun Ice Cream | ₹3.5 – ₹5 Lakh | 20% – 35% | Equipment, stock delivery, training, branding, marketing |
| Amul | ₹2 – ₹6 Lakh | 10% – 20% | Product supply, signage, limited operational support |
| Havmor | ₹5 – ₹10 Lakh | 15% – 25% | Equipment, training, marketing, supply chain support |
| Kwality Walls | ₹5 – ₹15 Lakh | 15% – 25% | Brand support, freezer provision, promotional assistance |
| Natural Ice Cream | ₹10 – ₹15 Lakh | 20% – 30% | Full setup support, training, exclusive product supply |
Conclusion
Pricing follows best finance practices, with customer experience also considered. And when you hear 2,000 crore, think of a folder of ice cream in your mind and name it “Arun Ice Cream”. Arun Ice Creams connect deeply with the Indian psyche, and surges in interest, like ice cream’s ubiquitous presence on social media today, will just continue this lucrative path. When you invest in the Arun Ice Cream Franchise, you enjoy all the advantages of avoiding previously defined struggles of building a brand through Hatsun Agro Product Ltd’s strong leadership.
Invest in Arun Ice Cream with the strengths of its brand and offer, location, a recognized lifetime franchise agreement, customer registration, and a fuller peace of mind seldom matched.
Also want a limited cost to invest. There is a primary sales target, and significant profit is more likely when operating margins (commonly 20 to 35%) and return on investment (frequently 1.5 to 3 years) become more attractive.
Also Read: Natural Ice Cream Franchise cost
FAQs
What should a buyer expect to pay at the outset to purchase a franchise of Arun Ice Cream?
Normally, it costs ₹3.5 Lakhs to ₹5 Lakhs to start a Domino’s franchise, including the franchise fee, setting up the place, and initial stock.
Is there a cost for royalty when I franchise the Arun Ice Cream brand?
Franchisees with Arun Ice Cream do not always have to pay ongoing royalty fees, which is great for their profits.
How much profit can a franchise of Arun Ice Cream make?
Usually, franchisees’ profits range from 20% to 35%, depending on both how much they sell and how well they run their operations.
When will the initial investment be made up for?
It usually takes 1.5 to 3 years for a franchise of Arun Ice Cream to pay back the investment.