Manufacturing businesses are one of the most lucrative business choices you can make. With high-growth industries like health and beauty, food processing, automotive parts and accessories, and even 3D printing, manufacturing as a business idea has immense potential.
Before you jump into any idea head-on, it's essential to know what makes a good manufacturing business idea and that 50% of new manufacturing businesses are likely to close within five years.
This blog will explore the top seven manufacturing business ideas in India and provide insights into how each one can be profitable.
Top manufacturing business ideas in India
Manufacturing businesses in India are multiplying, and there is a great demand for high-quality products across sectors. With the right investment, you can be up and running in no time!
So, here are the seven best manufacturing business ideas to consider -
Toy Manufacturing
The toy manufacturing industry in India offers several benefits that make it a lucrative business proposition. For instance, the low cost of production, large domestic market, and expanding global demand make it one of the most promising industries in the country.
The toy market globally is a massive one, and India only contributes 0.5% of it currently. As India's manufacturing prowess increases, we can expect the contribution percentage to improve significantly, making toy manufacturing one of the most lucrative businesses around.
Mineral Water Plant
The mineral water business idea is a unique manufacturing business idea for those looking to foray into manufacturing. Not only is there a growing demand for this product, but it also has a high potential for profits.
The mineral water plant business is a manufacturing unit that certifies good and standardised water and sells it to customers. While a mineral water plant idea can be an extremely profitable manufacturing business, there is a lot to ponder before deciding to invest.
Biscuit Making
Biscuit manufacturing involves specialist knowledge and some expensive machinery, but with enough hard work, it can be profitable. The biscuit industry is growing rapidly in India and has plenty of scope for growth.
Biscuit-making can be a small-scale manufacturing business or a full-fledged one with a wide distribution system. You must analyze the market opportunity, determine the items you want to sell, and prepare a business plan. Once you have the basics sorted, the next step is to get the registration and set up the unit/s.
Candy/Chocolate Making
There is an immense potential to make money by starting a chocolate or candy manufacturing business. Of course, you will need to invest in machinery and ingredients, but it is worth it in the long term.
Indians love sweets and chocolates, and candies are one of their favourites. People are always looking for innovative and refreshing flavours, and if you can figure out the likes and dislikes, you can make a name for yourself.
Also, the business requires a minimal initial investment. Rapid urbanisation and the inherent gifting culture in the country will provide a wide customer base for this venture. It is, however, essential that you offer quality products at reasonable rates.
Fertiliser Production
Fertiliser production is a process that helps meet the demands of agriculture, forestry, and manufacturing industries. There are three main ways fertilisers are produced- dry process, wet process, and microorganism fermentation.
Microorganism fermentation is a newer type of fertiliser production that uses microorganisms to break down complex organic compounds into simple nutrients that plants can use. It has seen increasing popularity recently due to its low environmental impact and ability to produce high-quality fertilisers without chemical additives.
But ensure that you have the requisite expertise to handle this complex but innovative manufacturing business idea before deciding to take it up.
Furniture Making
If you're interested in starting a business that involves manufacturing furniture, there are some things you'll need to know. The Indian furniture landscape was valued at USD 17.77 billion in 2020. It is expected to experience double-digit growth of 13.37% and cross the valuation of USD 37.72 billion by 2026.
Indian furniture making has expanded from basic chairs and tables to crafting a diverse range of lifestyle furniture that is globally for its rich handicraft and excellent finish. The increase in global demand for Indian-made furniture has ensured that it remains one of the top manufacturing businesses to invest in.
Spice Powder Manufacturing Business
Most of us know that India is the world's largest spice producer. So, if you're interested in starting a spice powder manufacturing business, be prepared to invest a substantial amount of money and a lot of hard work.
India currently produces 75 of the 109 varieties of spice listed by ISO (International Organization for Standardization). Chilli, turmeric, ginger, coriander, and cumin form 76% of the total production in the country.
In terms of profits, this industry can be very lucrative as the demand for Indian spices worldwide is high. However, like any other business venture, it requires hard work and dedication if you want it to succeed over time. If done right, it can become a very profitable manufacturing idea.
Manufacturing remains a highly lucrative sector in India
Manufacturing business ideas in India are plenty and varied. With the right investment and creativity, you can start your enterprise in this vibrant sector. Given the landscape today, it is not necessary that you stick to proven businesses and can instead try something of your own.
If you need additional help with financing your business, Tata Capital Business Loans can help you find the right funding for your needs and ensure a smooth beginning of your business. Contact Tata Capital Business Loans for all your business loan needs today.
03 November 2022
5 mins read
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