10 Low Cost Manufacturing Business Ideas In India (2025)

February 3, 2025
manufacturing business ideas
Quick Summary

Quick Summary

  • India’s manufacturing industry contributes around 17% of India’s GDP.
  • Steps to begin a manufacturing business: research, planning, setting up operations, acquiring licenses, & marketing.
  • Some low-cost manufacturing business ideas in India are handmade crafts, T-shirt printing, & jewelry making.

Table of Contents

Manufacturing businesses play a crucial role in the Indian economy. They reduce reliance on agriculture. Further, they boost employment in other sectors. India’s manufacturing industry has seen a gradual rise. However, this sector currently contributes only 17% of India’s GDP. The untapped potential in this sector beckons exploration and innovation, making it ripe for promising and transformative manufacturing business ideas.

These b2b manufacturing business ideas are a great start. For example, starting a spice powder-making business can be profitable. It has a low entry barrier and a vast market. Other home manufacturing business ideas include making candles, soap, and incense sticks. These are in high demand in domestic and international markets.

Here are some popular small-scale manufacturing business ideas that you can easily start.

Top 10 Low-Cost Manufacturing Business Ideas in India

The detailed list below shows India’s top 10 low-cost manufacturing business ideas:

1. Handmade Crafts

Are you creative? Then you can start a handmade craft business. You can sell various products, this can include jewelry, home decor, and pottery. It’s one of the great manufacturing business examples available. This is one of the best manufacturing business ideas from home that can be started.

What are the Requirements?

Here are some of the basic things you require to start your business.

  • Basic crafting skills and creativity.
  • Materials for crafting like beads, fabric, yarn, paint, etc.
  • Tools for crafting like scissors, needles, glue, etc.
  • A space to work from. This can include home studio or workshop.

What is the Earning Potential and Demand?

You need to consider the below factors.

  • Consumers value handmade crafts for their uniqueness and creativity. It results in high demand.
  • Handmade crafts fetch higher prices than mass-produced items. This is due to high market demand and product type.

What are the Examples of Existing Successful Businesses?

Here are the examples of businesses that got success.

  • Chumbak: This is an Indian brand famous for its vibrant home decor, accessories, and stationery.
  • Tjori: This is an Indian artisan startup. It is engaged in selling handmade clothing and home decor items.

2. Soap and Candle Making

Soap and candle making comes under small manufacturing business ideas. It only needs basic equipment and raw materials. The demand for handmade soaps and candles is increasing. You can start small and scale up their production.

This business involves low overhead costs. You can operate from home on your own time. You can also employ women in rural areas. With the right skills and marketing strategies, soap and candle-making can be profitable.

What are the Requirements?

Here are some of the basic things you require to start your business-

  • Wax, fragrance oils and essential oils.
  • Moulds and colouring agents.
  • Melting and mixing a double boiler.
  • Thermometer and scale.
  • Labels, containers, and wrapping papers.

What is the Earning Potential and Demand?

You need to consider the below factors-

  • Organic and chemical-free products can generate more sales.
  • Quality, uniqueness and marketing strategy will determine your earnings.

What are the Examples of Existing Successful Businesses?

Here are the examples of businesses that were successful-

  • Kama Ayurveda: This is a popular Indian brand of natural and Ayurvedic skincare products.
  • The Maeva Store: A startup selling soy wax and essential oil candles.

3. T-Shirt Printing

T-shirt printing is a unique manufacturing business idea in India. It has gained much popularity and has become a trend. The demand for customized T-shirts is increasing. This also increases the need for unique businesses that cater to that need. These manufacturing business ideas need low investment with a small setup.

What are the Requirements?

Here are some of the basic things you require to start your business-

  • A computer
  • Design software such as Adobe Photoshop or Illustrator
  • A printer
  • Heat press machine for printing on T-shirts
  • Blank t-shirts
  • Transfer paper
  • Ink
  • A workspace, like a home, office or garage
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What is the Earning Potential and Demand?

You need to consider the below factors-

  • Individuals, groups, and businesses want custom t-shirts for events, branding, and promotions.
  • T-shirt quality, design, and pricing determine earnings.
  • You can sell these customized T-shirts at a higher price than generic ones.

What are Examples of Existing Successful Businesses?

Here are the examples of businesses that got success-

  • Printland: A popular Indian brand making personalised t-shirts and other products.
  • Inkmonk: An online t-shirt printing service for individuals and businesses.

4. Jewelry Making

Jewelry making is another of India’s most creative small-scale manufacturing business ideas. These involve designing and crafting various types of jewelry. The industry is competitive. Many small-scale businesses are operating nationwide. Skilled artisans play an important role in the industry. The demand for Indian jewelry has increased globally. In the coming years, these manufacturing business ideas will grow further.

What are the Requirements?

Here are some of the basic things you require to start your business-

  • Beads, wire, metal findings, and gemstones.
  • Pliers, wire cutters, and jewellery saw for shaping.
  • Packaging materials such as boxes, pouches, and tags.

What is the Earning Potential and Demand?

You need to consider the below factors-

  • The demand for handmade jewellery is high among boutiques and online marketplaces.
  • The earning potential depends on the quality of the jewellery, its design and its pricing.
  • Handmade jewellery requires less investment and has a higher retail price.

What are the Examples of Existing Successful Businesses?

Here are the examples of businesses that got success-

  • Amrapali Jewels: This is a popular Indian brand making handmade, unique jewellery.
  • Pipa Bella: This is a startup specialising in trendy and affordable fashion jewellery.

5. Baked Goods

Do you love baking? Then why not convert it to business? Baked goods are popular manufacturing business ideas in India. You can start this from home. People love baked goods. If you can provide good taste, then you can create a successful business.

What are the Requirements?

Here are some of the basic things you require to start your business-

  • Baking knowledge and recipes.
  • Flour, sugar, eggs and butter etc.
  • Ovens, mixers, and baking trays.
  • Boxes, bags, and labels.

What is the Earning Potential and Demand?

You need to consider the below factors-

  • The demand for homemade baked goods is high among cafes and online customers.
  • The earning potential depends on the baked goods’ quality, taste and pricing.

What are the Examples of existing successful businesses?

Here are the examples of businesses that got success-

  • Baked Love by Vatsala: This is a startup that provides homemade and natural cakes and desserts.
  • Bread Story: This brand offers baked bread and other baked goods made with natural inputs.

6. Pet Treats

Pet treats are a unique manufacturing business idea in India. Pet owners always search for good quality pet food. You can start it from home with a very low capital. It is among the most unique manufacturing business ideas.

What are the Requirements?

Here are some of the basic things you require to start your business.

  • Raw materials such as flour, meat, vegetables, and fruits.
  • Ovens and baking trays for baking.
  • Bags and labels for packaging.

What is the Earning Potential and Demand?

You need to consider the below factors-

  • The demand for natural and healthy pet treats is high among pet owners and pet stores.
  • The earning potential depends on the pet treats’ quality, taste and pricing. Note that you can sell these homemade pet treats at a higher price than mass-produced ones.

What are the Examples of Existing Successful Businesses?

Here are the examples of businesses that got success-

  • Heads Up For Tails: This is a popular Indian pet store chain offering a range of natural and healthy pet treats.
  • Waggy Zone: This startup provides homemade and natural pet treats and food products.

7. 3D Printing

3D printing is a modern, low-cost best manufacturing business idea. You can start this from home. Planning for a 3D printing business stands as a profitable idea. The demand for it is going to increase in the future. It is one of the most profitable manufacturing business to start as there can be big profit margins.

What are the Requirements?

Here are some of the basic things you require to start your business

  • 3D printer and printing materials such as filaments and resin.
  • Computer and design software such as CAD and 3D modelling software.
  • Website or online store for marketing and selling products.

What is the Earning Potential and Demand?

You need to consider the below factors.

  • The demand for tailored and innovative 3D-printed products is high among individuals and online customers.
  • The earning potential depends on the 3D-printed product designs and price.
  • 3D-printed products have a higher markup.

What are the Examples of Existing Successful Businesses?

Here are the examples of businesses that got success-

  • Think3D: This Indian 3D printing company offers custom products and services.
  • Fracktal Works: This startup customizes 3D-printed products for various industries.

8. Personalized Gifts

Personalized gifts act as a low-cost manufacturing business for ladies. These manufacturing business ideas are unique. It provides products tailored to the recipient’s needs. This kind of manufacturing business idea needs creativity and attention to detail. You can invest small in this business and grow it eventually.

What are the Requirements?

Here are some of the basic things you require to start your business.

  • Creativity and design skills.
  • Wood, glass, fabric, and metal as raw materials.
  • A laser cutter.
  • Product marketing and sales website.

What is the Earning Potential and Demand?

You need to consider the below factors-

  • Individuals, businesses and online marketplaces demand these products.
  • Their quality, design and pricing determine earnings.

What are the Examples of Existing Successful Businesses?

Here are the examples of businesses that got success-

  • Printvenue: They are a well-known Indian company making customised mugs, T-shirts, and phone cases. They use advanced printing technology to ensure long-lasting and superior-quality designs.
  • Happily Unmarried: Their startup sells unique gifts such as bar accessories and home decor. They aim to provide customers with creative and out-of-the-box gift options. Their products are also affordable for most.

9. Organic Farming

Organic farming is a profitable manufacturing business idea. Such manufacturing business ideas for rural areas have become very common and popular.

What are the Requirements?

Here are some of the basic things you require to start your business.

  • Farming land.
  • Planting seeds.
  • Ploughs.
  • Tractors.
  • Authority-issued organic certification.
  • Marketing and distribution channels.

What is the Earning Potential and Demand?

You need to consider the below factors-

  • Health-conscious people, restaurants, and grocery stores demand organic products. And this demand will grow in the future
  • The quality of the organic products, farming methods and pricing determine earnings.

What are the Examples of Existing Successful Businesses?

Here are the examples of businesses that got success-

  • Sresta Natural Bio Products: This is a well-known Indian brand. It provides organic rice, spices, and snacks. Its products are free from harmful chemicals.
  • Organic India: It sells a variety of products. This includes tea and supplements. The company focuses on sustainable farming practices and supports local farmers.

10. Recycling and Upcycling

You can consider recycling and upcycling as low-cost manufacturing business ideas. Recycling involves converting waste materials into new products. In contrast, upcycling transforms discarded items into higher-value products. Both methods are profitable manufacturing business ideas.

What are the Requirements?

Here are some of the basic things you require to start your business-

  • Waste materials like plastics, paper, and metal.
  • Shredders and extruders for recycling and upcycling.
  • Marketing and distribution channels.

What is the Earning Potential and Demand?

You need to consider the below factors-

  • Eco-conscious consumers and businesses demand sustainable products.
  • Market demand, product quality, and initial investment determine earnings.

What are the Examples of Existing Successful Businesses?

Here are the examples of businesses that got success-

  • TerraCycle: They are a global company recycling and upcycling waste. The company operates in 21 countries. TerraCycle partners with brands to collect waste. The waste is then turned into new products.
  • Precious Plastic: They are an open-source project for plastic recycling and upcycling. It aims to reduce plastic waste. They provide blueprints for machines shredding, melting, and moulding plastic into new objects. The project aims to create a global network of plastic recycling communities.

Steps to begin a Manufacturing business

To convert your manufacturing business ideas to reality you need to take the following steps:

1. Research and Planning

You should identify a profitable niche. Discover a feasible market for your product by researching sectors, trends, and customer demand. Create a company plan that includes goals, strategies, and financial estimates.

2. Set Up Operations

Buy or lease an appropriate area and ensure zoning compliance. Arrange all of the necessary equipment and machinery. Buy or rent the essential tools. Set up and maintain the supply chain and logistics.

3. Acquire the Required Licenses and Certifications

Obtain the required certifications for your industry and environmental permissions. abide by all health and safety rules. Make ensuring that rules and industry standards are followed.

4. Marketing

For manufacturing business ideas to become a success, marketing is crucial. Create a marketing plan that suits your product. Create plans for branding, advertising, and promotion. Pay close attention to the sales plan, price, revenue predictions, and sales channels.

Revolutionizing the Future

There are many low-cost manufacturing business ideas for aspirants. With your creative mind, invest in one of these manufacturing business ideas. You can build successful companies by focusing on these smart marketing strategies. While the above ideas required low initial investments, you need to invest minimal capital.

Innovative, low-investment ideas for the hidden entrepreneur in you! Explore our guide on Business Ideas.

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Frequently Asked Questions (FAQ’s)

Q1: Which manufacturing business is most profitable?

Some most profitable manufacturing business are:

1. Automotive Manufacturing – High demand for vehicles and parts.
2. Electronics – Phones, computers, and gadgets are essential.
3. Pharmaceuticals – High margins in drug production.
4. Food & Beverage
5. Consumer Goods

Q2: What is the cheapest manufacturing business to start?

The cheapest manufacturing business to start:

1. Handmade Crafts
2. Soap and Candle Making
3. T-Shirt Printing
4. Jewelry Making
5. Baked Goods

Q3: How to open a small factory?

To open a small factory;

1. Conduct Market Research – Identify demand, competition, and target audience.
2. Create a Business Plan – Outline production, costs, and financial goals.
3. Secure Funding – Look for loans, investors, or personal savings.
4. Find a Location
5. Obtain Permits

Q4: Which business is 100% profitable?

No, business is 100% profitable. But the teaching business is one of the most safe business where there are less chances of loss.

Q5: What business can I start with 1 crore?

Top business to start with 1 crore:

1. Franchise Business – Invest in established brands like food chains or retail.
2. E-commerce – Launch an online store for niche products.
3. Manufacturing – Start a small-scale unit for items like packaging, textiles, or furniture.
4. Real Estate
5. Hospitality

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