30 Profitable Small & Medium Scale Manufacturing Business Ideas in India

You know, there’s this powerful quote that goes, “No matter what anybody tells you, words and ideas can change the world.” And honestly, it’s so true! That’s exactly why we’re here today—to spark some ideas and bring a little inspiration your way.

We’ve put together a curated list of manufacturing business ideas that have the potential to give you BIG profits right here in India. Some of these businesses can be started with as little as 50,000 rupees! Read this post till the end and let us know which business idea you like the most. We’ll come up with a detailed plan for that particular idea to help you get started.

Let’s dive in!

Most Popular Small Manufacturing Business Ideas

1. Women’s Footwear

Let’s kick things off with women’s footwear! Women today love experimenting with new and unique styles to spice up their shoe collections. The demand for cruelty-free, non-leather, fashionable yet comfortable footwear is growing like never before.

Machinery Cost depends on how automated the process is and the type of footwear you plan to make, but you can start with a small-scale machine setups with a cost ranges between 10 to 15 lakhs.

Specialize! Whether it’s formal shoes, party wear, or super comfy everyday footwear, focusing on a niche can really help you stand out. Check out brands like Kanabis or Sole Sisters – they’ve made a mark by offering unique, stylish, and ethical options.

2. Paper tray manufacturing

Next up, we’ve got paper tray manufacturing, a business that’s really taking off lately!

With growing awareness about eco-friendly packaging, products like egg trays, food trays, and fruit trays are in high demand. And if you’re looking for a profitable and sustainable venture, starting a paper tray business—especially for egg trays—is a great option.

For raw materials, you’ll need recycled materials like waste paper and pulp. It’s cost-effective and environmentally friendly!

The machinery cost depends on your scale of production. For small-scale setups, you’re looking at around 5 lakh. But if you want to go all-in with a fully automatic setup, it can go up to 30 lakh.

Also read:

A Step by Step Guide to Starting an Egg Tray Manufacturing Plant

3. Folders and File Manufacturing

Here’s another fantastic idea—file and folder manufacturing!

India has a huge market for office supplies, and files and folders are always in demand. Whether it’s for offices, schools, or personal use, there’s a steady need for both basic and customized options.

You can make these from plastic, paper, or PVC. For paper-based products, the main raw materials are wood pulp or recycled paper, which are processed into sturdy cardboard.

The cost of machinery for making paper files and folders depends on your production scale. Manual machines start at ₹1 lakh, while automated options can go up to ₹7 lakh.

Watch on video

4. Hair Wigs and Hair extension

Let’s talk about a glamorous and fast-growing business—hair wigs and extensions!

The demand for wigs and extensions is booming, especially among women who love experimenting with styles. The Indian human hair extension market is already worth ₹11 billion and growing fast!

Thanks to trends in hair styling, fashion, and social media, more people are willing to pay a premium for quality wigs and extensions to change up their look effortlessly.

To start this business, you’ll need some specialized machines, with costs ranging from ₹2 lakh to ₹7 lakh, depending on the scale and type of production.

You can follow the brand ‘Nish Hair’ by Parul Gulati — a hair extensions and hair care products company with a net worth of over ₹50 crore.

5. Homemade Cookies

Next up—homemade cookies! Who doesn’t love a good cookie, right? Especially when it’s packed with new and exciting flavors! Indians have a serious sweet tooth, and the demand for tasty treats is always high. If you think you can serve pure delight on a platter, this could be the perfect business for you!

To start a cookie-making business, you’ll need machinery like mixing machines, baking ovens, and cooling conveyors. The cost can range from ₹4.5 lakh to ₹20 lakh per piece, depending on the type and capacity of the machines.

For inspiration, check out Sweetish House Mafia. Founder Neha Arya Sethi started the brand from a small scale, and now it has a strong presence across cities like Mumbai, Pune, Kolkata, and Bangalore.

6. Toy Manufacturing

Next is a fun and exciting business idea—toy manufacturing!

India’s toy sector is booming. It was valued at $1.7 billion and is expected to grow to $4 billion by 2032. With rising demand for high-quality toys, especially modern and electronic ones, this is a fantastic opportunity to tap into both the domestic and international markets.

The Indian government is also supporting local toy manufacturing through initiatives like the PLI (Production Linked Incentive) scheme, making this the perfect time to get started.

To set up a small-scale, automated toy manufacturing unit, you’ll need an initial investment of around ₹8 lakh to ₹15 lakh and later you can scale into a big scale business.

7. Agarbati manufacturing

Let’s talk about a business idea that blends tradition, spirituality, and creativity—incense sticks, or agarbatti manufacturing! Agarbattis are an essential part of religious rituals, meditation practices, and even aromatherapy. The demand for them stays consistent throughout the year and spikes during festivals.

The Indian agarbatti market is massive, with an annual production value of ₹7,500 crore. It’s also a strong player in exports, making it a great option for those looking to go global.

The process of making agarbattis is relatively simple. You can start this business with a modest investment of ₹2.5 lakh to ₹5 lakh, depending on the scale of production.

For inspiration, look at Nirmalya Incenses, which featured on Shark Tank’s second season. They’ve made waves by creating incense from floral waste—a unique and eco-friendly concept.

8. Concrete Block Manufacturing

Next idea is the concrete block manufacturing business!

Concrete blocks are precast solid cement products that are becoming the preferred choice in India’s booming construction industry. From residential buildings to bridges, malls, and industrial projects—these blocks are in high demand.

A few years ago, red bricks were the go-to material. But now, people are switching to concrete blocks because they’re durable, versatile, and have a modern aesthetic.

Starting this business requires machinery and raw materials, with an investment ranging from ₹20 lakh to ₹65 lakh, depending on the scale, location, and equipment you choose.

9. Ginger Garlic Paste Manufacturing

Here’s a flavorful and profitable idea—ginger and garlic paste manufacturing!

Ginger and garlic paste is a staple in Indian kitchens, making this a high-demand product year-round. The market is already valued at ₹1,875 crore and continues to grow steadily.

Starting this business is relatively simple. First, secure a workspace and ensure you have water and electricity supply in place. This business offers attractive profit margins of up to 60-70%!

You can begin with a small investment—starting as low as ₹70,000—and scale up to over ₹10 lakh, depending on the equipment and production capacity.

To stand out, focus on proper packaging and branding. A good-looking product always grabs attention and builds customer trust.

10. uPVC Door and Window Manufacturing

Next idea is a strong and sustainable business idea—uPVC door and window manufacturing!

uPVC doors and windows are highly sought after for their durability, low maintenance, and energy efficiency, making them an excellent choice for modern construction projects.

The market for these products is growing rapidly, and your target audience includes homeowners, builders, developers, and commercial establishments.

One of the best parts of this business is its impressive profit margin of 30-35%. You can start a small-scale unit with an investment as low as ₹1 lakh, scaling up to ₹9 lakh or more depending on the capacity and quality of the production setup.

11. Utensil Scrubber Manufacturing Business

Next idea is a strong and sustainable business idea—uPVC door and window manufacturing!

uPVC doors and windows are highly sought after for their durability, low maintenance, and energy efficiency, making them an excellent choice for modern construction projects.

The market for these products is growing rapidly, and your target audience includes homeowners, builders, developers, and commercial establishments.

One of the best parts of this business is its impressive profit margin of 30-35%. You can start a small-scale unit with an investment as low as ₹1 lakh, scaling up to ₹9 lakh or more depending on the capacity and quality of the production setup.

12. Hand Sanitizer Production

Next business idea is to promote hygiene and has a consistently high demand—hand sanitizer production!

Since the COVID-19 pandemic, hand sanitizers have become an essential part of everyone’s daily routine. People keep multiple bottles—at home, in the car, at the office, and even on the go. This makes it a great business opportunity for aspiring entrepreneurs. From pocket-sized bottles to larger family packs, there’s a lot of room to innovate and meet diverse customer needs.

To start a sanitizer production unit, you’ll need an investment of around ₹16 lakh to ₹25.5 lakh, depending on your scale of production and the equipment you choose.

13. Tissue Paper Manufacturing

Let’s talk about a clean and profitable business idea—tissue paper manufacturing!

With the growing emphasis on hygiene, the demand for tissue paper products like facial tissues, paper towels, and regular tissue paper is increasing every day. This makes it a promising business venture in India.

The tissue paper business offers healthy profit margins—around 15-20% for wholesale and 20-25% for retail sales.

You can start this business with an investment of ₹3 to ₹5 lakh for the necessary tissue paper making machinery. It’s a relatively low-cost setup for a high-demand product.

14. Disposable plates & Cups Manufacturing

Let’s talk about a clean and profitable business idea—tissue paper manufacturing!

With the growing emphasis on hygiene, the demand for tissue paper products like facial tissues, paper towels, and regular tissue paper is increasing every day. This makes it a promising business venture in India.

The tissue paper business offers healthy profit margins—around 15-20% for wholesale and 20-25% for retail sales.

You can start this business with an investment of ₹3 to ₹5 lakh for the necessary tissue paper making machinery. It’s a relatively low-cost setup for a high-demand product.

15. Rubber Floor Mats Manufacturing

Next Idea is “Rubber floor mats manufacturing!”

Rubber mats are widely used in places like gyms, playgrounds, hospitals, public areas, and industrial settings. Their durability and slip-resistant surface make them essential in spaces where safety and comfort are priorities.

The investment for this business depends on your scale of production. For a small-scale unit, you’ll need a machine costing around ₹6 to ₹7 lakh. If you’re aiming for a large-scale setup, the investment can go up to ₹4 crore.

This business caters to a wide range of customers, from individual buyers to commercial and industrial clients. With the right strategy, you can carve out a niche in this thriving market.

16. Jute Bag Production

Next business idea is Jute bag manufacturing!

With the growing demand for sustainable products, jute bags are becoming increasingly popular both in India and international markets. They’re not just eco-friendly but also stylish and perfectly in tune with today’s trends.

Starting this business on a small scale requires an investment of around ₹4 to ₹5 lakh. This includes a cutting machine and 5 to 6 sewing machines to kickstart your production.

The Northeastern region of India, including Tripura, Assam, Manipur, Sikkim, and Arunachal Pradesh, is a great location for this business since raw jute is readily available there.

17. Yoga Mat Manufacturing

Next business idea is perfectly aligned with the global wellness trend—yoga mat manufacturing.

The global yoga mat market was valued at $13.67 billion in 2023 and is expected to grow steadily, with around 36 million mats sold worldwide each year.

You can specialize in TPE mats, made from non-toxic and renewable materials. These mats are not only safe but also highly durable and in demand.

This business is versatile—not only can you cater to the growing Indian market, but you can also sell online or even export globally.

To get started on a small scale, the machinery cost ranges from ₹12 to ₹15 lakh.

Take inspiration from brands like Kosha Yoga and Dvaar, which have created unique, attractive yoga mats that resonate with customers worldwide.

18. Naphthalene Ball Manufacturing

Here’s a small-scale business idea with consistent demand—naphthalene ball manufacturing!

Naphthalene balls are widely used for pest control and deodorization, making them a consumable product that needs regular replacement. This ensures a steady and reliable market.

You can start this business with an investment of just ₹2 to ₹5 lakh, requiring minimal machinery and technical expertise.

What’s great is the impressive profit margin of 40-50%, making it a lucrative venture for beginners or small-scale entrepreneurs.

19. Corrugated box manufacturing

Let’s talk about another evergreen business idea—corrugated box manufacturing!

With India’s economy booming and the packaging industry growing rapidly, the demand for corrugated boxes is at an all-time high. From e-commerce to retail and logistics, these boxes are essential for safe and efficient packaging.

Setting up a corrugated box manufacturing business requires careful planning.

You need to choose a location close to your target customers’ factories or in an industrial area for better logistics.

You can start with an investment ranging from ₹5 lakh for a small-scale setup to ₹25 lakh for a larger, more automated unit.

20. Furniture Making Business

Next idea is furniture making!

In today’s world, interiors are incomplete without the perfect furniture. Whether it’s a household, school, or business, everyone needs essentials like chairs, tables, beds, and sofas. This makes furniture making a high-demand business with great growth potential in both the domestic and export markets.

To start this business, you’ll need a minimum capital of ₹1 to ₹5 lakh. However, the investment can scale up depending on:

  • The quality of wood you choose.
  • The range of furniture you manufacture, from everyday items to premium, custom designs.

If you have a knack for craftsmanship, furniture making might just be the perfect fit for you!

21. Ball pen Manufacturing

Here’s a business idea that writes its own success story— Ball pen manufacturing!

The Indian pen industry is massive, contributing 80% of the total writing instruments market. As of FY 2022, it was valued at a whopping ₹78 billion and is projected to grow to ₹196 billion by FY 2027.

To get started:

  • You can begin with a manual machine at a small scale for just ₹80,000.
  • For larger-scale production with automatic machinery, the investment ranges from ₹6 lakh to ₹15 lakh

India produces 1,600 to 2,400 million pens annually, and with this high demand, you can cater to both domestic and global markets.

22. Notebook / Copy Manufacturing

Education and office supplies are always in demand, making copy manufacturing a rock-solid business idea in India! The need for notebooks, exercise books, record books, and scratch pads is steady, fueled by schools, colleges, offices, and government organizations. This makes it a profitable and consistent industry to explore.

A small-scale machinery can be set up with an investment of ₹5 to ₹10 lakh. As your business grows, you can scale up and increase production capacity.

Whether you want to create notebooks for students, journals for professionals, or customized products for niche markets, copy manufacturing offers endless opportunities. With the right strategy, this venture can yield great returns!

23. Nuts & Bolts Manufacturing

Let’s talk about a business that holds everything together—literally! Nuts and bolts manufacturing is a highly profitable venture in India, thanks to its consistent demand across industries like automotive, construction, and railways.

With initiatives like “Make in India,” you can access financial and logistical support to kick-start your plant.

Machines for this business range from ₹1.5 lakh to ₹20 lakh, depending on the production scale you choose.

This industry isn’t just about local demand; there’s huge export potential too! If you’re looking for a steady, growth-oriented business, nuts and bolts manufacturing might be the perfect fit.

24. Metal roofing sheet manufacturing

Need a business idea that’s as strong and durable as steel? Consider metal roofing sheet manufacturing! With applications in commercial, industrial, and agricultural sectors, this business offers steady demand and high profit margins.

Depending on your production scale, machines cost anywhere from ₹6 lakh to ₹28 lakh.

Whether you’re covering barns, factories, or even homes, your products will literally be a roof over someone’s head.  

25. Paper bag manufacturing

Next up, a business idea perfectly aligned with the eco-conscious trend—paper bag manufacturing!

With the government’s ban on plastic bags, the demand for paper bags has skyrocketed. From retail stores to restaurants and pharmaceuticals, paper bags are now essential across industries.

To start, you’ll need an initial investment of ₹4 to ₹8 lakh for a fully automatic machine, depending on the production capacity.

What’s exciting about this business is the ability to offer customized designs and branding. This makes your paper bags attracts niche markets like premium retail and gift packaging.

26. Honey processing Unit

Let’s dive into a sweet and profitable business idea—honey processing!

With the rising demand for natural and healthy products, honey and honey-based items are consistently in high demand. Setting up a honey processing unit in India can be a highly rewarding venture.

You have two options to get started:

  • A manual unit that’s budget-friendly, starting as low as ₹1 lakh.
  • Or an electrically powered unit, which can scale up to larger operations costing several crores.

Apart from selling directly to customers, you can also supply to big brands that source honey for their products. This ensures diverse revenue streams for your business.

27. Homemade Papad Making

Next is a delightful and low-cost business idea—homemade papad production! If you’re looking to start a manufacturing business with a small investment, minimal workforce, and the chance to create your own brand, this is the perfect choice.

Even though the market has several big brands, there’s always room for unique flavors and high-quality products that stand out. Customers are always eager to try something new!

You can start this business manually with just ₹20,000 to ₹30,000. As your business grows, you can invest in an automatic machine setup, which costs around ₹10 lakh.

Take inspiration from Lijjat Papad, a ₹1,600 crore brand that started as a homemade venture by Jaswantiben. Today, it empowers over 45,000 women employees—an incredible story of growth and impact.

28. Phone cases / Tempered Glass

Now, let’s dive into a business that’s always in demand—phone cases and tempered glass! This market might seem crowded, but the truth is, as long as people are using smartphones, they’ll always need phone cases and tempered glass for protection. And guess what? The demand is still growing!

You can start manufacturing phone cases with machines ranging from ₹3 lakh to ₹12 lakh. And just to be clear, we’re not talking about printing designs on cases—we’re talking about actually making the covers themselves.

Similarly, if you’re interested in tempered glass, the machinery to start this business can cost anywhere between ₹50,000 to ₹5 lakh, depending on your setup.

For inspiration, take a look at Cell Bell—they’re currently selling over 500 orders daily!

29. Homemade Candels

Next is about a cozy and creative business idea—homemade candles!

Handmade candles have become super popular in recent years, especially scented and therapeutic ones. You’ll find them everywhere—from homes and restaurants to spas, hotels, and even spiritual spaces.

The Indian candle market is booming! Back in 2020, it was worth ₹7.15 billion, and it’s expected to nearly double to ₹13.38 billion by 2028.

Here’s the best part—you can start a homemade candle business with just ₹75,000 to ₹1,50,000. This covers everything: raw materials like wax, wicks, and fragrances, tools like thermometers and molds, plus packaging and marketing.

For inspiration, check out brands like VEEDAA or Song of India—they’ve made a mark with their unique, high-quality designs.

30. Sleeping Mattress Manufacturing

The mattress manufacturing business in India offers an excellent opportunity for entrepreneurs due to rising urbanization and the increasing need for comfortable sleep solutions. The market, valued at USD 2.3 billion in 2024, is expected to grow to USD 4 billion by 2033.

If you can differentiate your products by offering unique features, such as orthopedic support, eco-friendly materials, or luxury designs, and ensure competitive pricing, this business can be a hit.

Starting a small-scale mattress manufacturing unit can cost ₹1.3 lakh to ₹10 lakh, depending on the machinery and production capacity you choose.

Wrapping Up -Most Popular Small Manufacturing Business Ideas

So there you have it! 30 manufacturing business ideas that can bring you great profits and help you make your entrepreneurial dream a reality.

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So there you have it! 30 manufacturing business ideas that can bring you great profits and help you make your entrepreneurial dream a reality.