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Small Manufacturing Business Ideas In India

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In this article, we have featured Small Manufacturing Business Ideas In India. Looking for options to startup with less investment? There are a lot of people who have fewer budgets but want to do something of their own or wish to start a manufacturing unit. But the question that comes to their mind is what kind of small-scale manufacturing they can opt for?

Starting a big business requires a lot of money and involves equally high risk. On the contrary, a small-scale business needs fewer funds and involved fewer risks. It is always advisable to first start with a small-scale business and then expand as you generate revenue.

Things might seem easy and simple, but when you actually implement them, then you realize how tough it is to plan even a small-scale business. Don’t worry, all you need is the right planning to keep the plan working as you wish.

You should always know your budget, then calculate the fixed expenses, know how much product needs to be done initially and also add petty expenditures. Follow up regularly as per your plan so that you can make the changes instantly if anything goes off track. If you follow your list diligently, then success is not far from you.

Profitable Small Manufacturing Business Ideas In India

Small Manufacturing Business Ideas In India

1. Coconut Oil Manufacturing

Coconut oil is used by various people to cook food. Not only is it used in kitchens; in fact, it is also used in manufacturing oil, hair tonics, soaps, cosmetics, etc. This can be a fantastic small-scale business as you can start it with a small amount of capital which can be below 1 Lakh.

The primary raw material required for making coconut oil is dried coconut. If proper standards and quality is maintained, then you can sell it not only in the local market but also in the international market and earn a decent amount of money.

Its demand has increased immensely because of the growing awareness about naturally prepared oils among people. You can either start it at your home if you have vacant land or hire a small space to commence the business.

2. Soaps and Detergent Manufacturing

It is a very low investment business but is evergreen business as people use soaps daily for bathing and washroom purpose. But, before you start this business take a small training and understand the right process of making the soap.

The primary thing required in manufacturing is the raw material, and for making the soap, we have abundant raw materials which America does not have; therefore, they import the soaps from India. Hence, you have an excellent opportunity to export and expand your business.

The soap and detergent manufacturing business would need an investment of around Rs.6,00,000. You can either start this business at home if you have a spare room or take a small area to rent and place your soap manufacturing plant there.

3. Paper Manufacturing

Paper is mostly used in schools and colleges plus is also used extensively in industries for billing and recording business transactions. Paper is used in almost every industry, and it has a high demand, but its investment is not so high.

You just need to search for a commercial place where you can set up your papermaking machine. The space that you would need would depend on the paper size, quantity, and volume. Its demand has increased a lot since the ban on plastic as people have started using paper bags. The capital required to start the business would be around 1-2 lakhs.

4. Handmade Biscuits

Manufacturing cookies and biscuits can be a great business if you love cooking and baking. Various people look for new tastes when it comes to biscuits and cookies and prefer homemade biscuits over others. You can set up a small scale industry as it takes minimal capital to start this business.

It is also said to be one of the most profitable small scale business as you just need a small space, raw material, and only a few people for your help. For getting success in the bakery business, you need to take care of marketing and know the taste that your clients are looking for.

As per the demand, you can choose the products you need to make. The primary things that would be required for setup are an electric oven, grinder, mixer, and raw materials.

5. Candle & Wax product Making

It can be a great idea for a smart start as fancy candles have a lot of demand these days. People light candles not only for religious purposes but also for decoration.

If you make pretty candles with good fragrance, you can not only sell them online but can also approach the hotel industry and restaurants as they always buy scented candles for creating a pleasing ambiance.

You would not need a lot of space to start this business; it can be created in a single room as well. The capital required for starting this business is just Rs.50, 000 if you have your own space. This business can also be done part-time by students, homemakers, or people who hate doing 9 to 5 jobs.

6. Homemade Chocolates

Almost everyone loves chocolates, and starting this business can be great if you love making chocolates. This business does not require must investment, nor does it require a lot of marketing. People who love chocolates like trying new flavors and variants.

Nowadays, people prefer homemade products over chemically made products, and the same goes for chocolates. Homemade chocolates are healthier and even tastier, so there is a massive requirement for them in the market.

The demand increases even more during the festive season as people gift each other chocolates. You can also take orders from a pastry shop or can deliver in hotels in their bakery.

7. Fertilizer Production

There is a high demand for fertilizers as they are essential for plant growth. Local farmers are always in need of fertilizers, pesticides, and insecticides. If you are into farming, then you would have various ideas for making fertilizers.

As India is an agricultural country and two-third of the land is used for cultivation; hence farmers need fertilizers to make the soil more fertile to increase production.

These days organic farming has become a trend because people are more and more awareness on healthy living. Thus, you can start preparing organic fertilizer with natural products; it would help you earn a lot of money from it.

You would need a small space, or you can also start this business at home with an investment of around Rs. 50,000.

8. Papad Making

In Tamil, we call papad Appalam, it is a very tasty snack and can be an excellent home-based manufacturing business idea. Along with papad, you can also make sabudana fritters as it has a huge demand all around the year. Starting this business is very simple and requires very little workforce.

The essential thing required to start this business is a good recipe and equipment such as a gas stove, utensils, raw material, and a sheet for drying the papads. If you want to start it on a commercial basis, then you would also need packing sheets and a sealing machine.

Homemade papads can be sold easily in the local market, or you can contact any departmental store and supply them with all your production. You can start this business with just Rs.20,000 to Rs.30,000 and expand as the demand increases.

9. Cottage Butter, Paneer and Ghee

These are a few things that everyone used and prefers buying of the best quality. You might be surprised to know that India is one country that is the highest producer of milk. There are various villages in India where 5 out of 10 homes have a cow, buffalo, or goat.

But, in cities, people do not get pure ghee or paneer; therefore, they have to buy chemically made products.  Cottage butter has various health benefits, and there are very few manufacturers of it. Therefore, if you have sources, then you can start your own small scale business of producing cottage butter, paneer, and ghee.

If you make pure ghee and it tastes well, then you can earn a lot of money by selling it in the cities. This business would require a capital of around 2 lakhs as you would need to buy cattle and rent a space where you can keep them plus their feed.

Conclusion: Small Manufacturing Business Ideas In India

People like tea because it acts as an energy booster and is simply indispensable. Basically, India is the largest grower and producer of tea in the world.

Additionally, the business has a tremendous export potential also. Even the export sector of India has experienced an increase in the export of this commodity.


Jitendra Vaswani is the founder of SchemaNinja WordPress Plugin, prior to SchemaNinja he is the founder of many internet marketing blogs, and He is a successful online marketer & award-winning digital marketing consultant. He has been featured on HuffingtonPost, BusinessWorld, YourStory, Payoneer, Lifehacker & other leading publications as a successful blogger & digital marketer. Jitendra Vaswani is also a frequent speaker & having 8+ yrs experience of in the Digital Marketing field. Check out his portfolio( Find him on Twitter, & Facebook.