50+ Best Agro-Based Business Ideas | Small Scale Manufacturing

Are you searching for agro-based business ideas with small scale manufacturing opportunity? At present agriculture business in India revolves around productive resources like feed, seed, fertilizer, equipment, energy, pesticides, machinery, etc. and agriculture commodities like raw and processed commodities of food and fiber. The agriculture-based business opportunities in India are on the verge of revolution. The process of modernizing the entire food chain in India has already started. The total food production in India is likely to get doubled in the next ten years. At present, agro-based business has excellent export prospects.

The agricultural sector in India is the largest sector of the country’s economy. It contributes almost 18.5% to India’s GDP, and it accounts for about 13% of the country’s total export. With proper strategic planning, any individual having basic knowledge of manufacturing operation can develop any of these above mentioned agro-based business ideas into a profitable venture. Here in this article, we have compiled 50+ best agro-based business ideas for small scale manufacturing operation with comparatively small startup capital.

List Of 50+ Best Agro-Based Business Ideas – Low Cost 

1. Agri Clinic

The primary objective of an Agri-clinic business is to provide  paid services for the enhancement of agriculture production and income of farmers. Read More…

2. Bakery

Bakery is one of the most profitable food processing business opportunity one can initiate by having owned or rented space. Selecting the right product and designing proper marketing strategy are the major deciding factor in getting success in the bakery business. According to the demand and financial aspect you will need to choose the specific products for your bakery business. Read More…

3. Banana Wafer Making

Banana wafers are under-ripe bananas that are cut into slice dipped in syrup solution, dried in the sun or in an oven, fried and eaten as snack food or dessert. These can be sold both in the local and export markets. You can initiate this business as small scale basis. Read More…

4. Basket Production

Basket weaving is a profitable and popular business in the rural sector of India. Currently, with modern equipment basket, weaving has become more profitable and it is a popular item in the urban market also.

5. Cane Chair Manufacturing 

Cane chairs are considered as a luxury furniture item. The manufacturing operation is very much profitable, provided required raw material can be procured easily.

6. Cashew Processing

The manufacturing activities that are involved in cashew processing are cell cooking, cutting, cashew kernel drying, peeling, grading and packing. Cashew nut processing can be initiated as small scale and also as an export-oriented plant. Simple machinery is required. Read More…

7. Chips Production

Potato chips in various form are one of the most popular ready-to-eat snacks now among the young crowd. It has also an export potential. The production unit can be initiated as small scale basis also.

8. Coconut Oil Production

Coconut oil is used as an important cooking medium. Apart from this coconut oil has various industry applications. It is used in the manufacture of toilet soaps, laundry soaps, surface active agents and detergents, hair tonics, hair oils, cosmetics, etc. Choosing right location is one of the most important factors in starting coconut oil manufacturing. It should be nearby the area where from raw materials can be procured easily. Read More…

Agro-Based Business Ideas9. Cold Chain For Fruits & Vegetables

Providing cold chain solution is a profitable business in India now. A cold chain is a temperature-controlled supply chain. An unbroken cold chain is an uninterrupted series of storage and distribution activities which maintain a given temperature range. It is used to help extend and ensure the shelf life of products such as fresh agricultural produce, seafood, frozen food, photographic film, chemicals, and pharmaceutical drugs.

10. Dal Milling

Dal milling is actually processing of different pulses. Subject to the availability of raw material you can select different various products. Commonly two types of conventional processing methods are used. Such as wet milling and dry milling. Dal milling is capital intensive and energy sapping in nature.

11. Dried Flower Business

Growing flower and selling those flower after drying is one of the most profitable agriculture business ideas. You can start dried flower business by sourcing the flowers from flower grower also.

Related: Top 10+ Small Scale Livestock Farming Business Ideas

12. Dry Fruit Production 

Dried fruits are very popular around the globe. Thus, these products have an immense export opportunity. Dry fruit production can be initiated as small scale basis also.

13. Fish Hatchery 

A fish hatchery is a place for artificial breeding, hatching, and rearing through the early life stages of animals, finfish and shellfish in particular. Hatcheries produce larval and juvenile fish (and shellfish and crustaceans) primarily to support the aquaculture industry where they are transferred to on-growing systems i.e. fish farms to reach harvest size. From techno-commercial aspect, fish hatchery is profitable venture to start.

14. Flour Milling

Flour is produced by milling food grains. different varieties types of flour are used to prepare different foods. These are Wheat flour, brown flour, whole wheat flour, wholemeal flour etc. The Production process is simple. This business can be initiated as small scale basis with simple machinery.

15. Frozen Chicken Production

Frozen chicken is a hot product now. The demand for this product is increasing globally. An entrepreneur living in a metro or suburban city can start this business with proper planning.

16. Fruit Bar Production

Fruit bars are very popular food item in India from the early age. A small scale manufacturing unit can be installed with small startup capital and the business is financially feasible. Read More…

17. Fruit Juice Production

Fruit juice is one of the ready to serve item. Another popular product is squash. These are very popular throughout the year, especially in summer. Fruit juice production business can be initiated as small scale basis. Products should be selected according to the availability of raw materials. Read More…

18. Ginger Garlic Paste Processing 

Ginger and Garlic Paste is mainly used as a condiment in various food preparation and also serves as a carminative and gastric stimulant in many medicine preparations. As instant mixes and spices are becoming more popular, the demand for ginger garlic paste is also increasing. The Production process is simple and the product has an immense market opportunity for export also. Read More…

19. Ginger Oil Production

The main application of ginger oil is confectionery beverages and baked products. India is the largest producer of ginger. Ginger oil production is one of the most profitable food processing business that can be started as small scale basis also.

20. Grapes Wine Production

Grape wine making is actually fermenting the grape juice. The major raw material required for the processing and making of grape wine is grapes. Grape wine making is capital intensive and it requires proper operational and marketing strategy.

21. Groundnut Oil Production 

Groundnut oil processing is one of the most profitable food processing business considering the required capital investment.The oil that is obtained from groundnuts / peanuts is very healthy and suitable for best human consumption. The manufacturing unit can be established as small scale basis. Read More…

Related: 20 Most Profitable Medicinal Herbs Growing With Small Investment

22. Groundnut Processing

Groundnut processing is one of the profitable agriculture business ideas to start with small capital investment. This business has as export potential also.

23. Honey Processing

Honey processing is actually removing wax and other foreign unwanted particles from honey. You can establish the processing unit by two ways. Either by a manual system or by electrically driven. The Production process is simple and can be initiated as small scale and home based basis.

24. Ice Cream Production 

Ice cream making business can be initiated as small scale basis with low startup capital investment. Ice cream making is a wonderful small business idea that any individual can explore to make handsome money out of it. Ice cream is a frozen blend of a sweetened cream mixture and air, with added flavorings. A wide variety of ingredients are allowed in ice cream, but the minimum amounts of milk fat, milk solids (protein + lactose + minerals), and air should be maintained in ice cream making. Read More…

25. Insecticide & Pesticide Formulation 

Insecticide formulation can be done by having CIB permission. Insecticide is an essential item in any type of crop farming. Consumption is so high in India. Read More…

26. Jaggery

Selecting the right location is very important for jaggery processing plant. It should be located on the place where sugarcane is easily available and can be procured with minimum transportation cost.

27. Jam Jelly Production

Jam jelly-making business is profitable and can be initiated on a small scale with low capital investment. With proper planning and strategy, jam jelly-making business can be initiated home based also. Different allowances and grants from Government sector are also available. Most kinds of fruit and some vegetables are used to make a wide variety of jam and jelly. Fruit jam contains rich fruit pulp and available in mango, apple, mixed fruit, pineapple and orange flavors. Jelly is a clear, bright mixture made from fruit juice, sugar and sometimes pectin. Jelly and jam are used as a bread spread and as a filling for some cakes and cookies. Read More…

28. Livestock Feed Production

Livestock feed production business can be initiated with proper planning and know-how about the right mixing formula. Most of the livestock farmers are always searching for right food and food supplementary product for their farm. Several different livestock feed needs to serve the different requirement legitimately. Read More…

29. Meat Processing 

Meat processing technology comprises the steps and procedures in the manufacture of processed meat products. All processed meat products have been in one way or another physically and/or chemically treated. Meat processing is capital intensive. Proper distribution and marketing strategy is required before initiating.

30. Microbrewery 

Microbreweries produce a small amount of craft beer than large-scale corporate breweries and are independently owned. The market of microbreweries is immensely developing. Different licenses and permission is required in initiating microbrewery business.

31. Micro Irrigation System Providing 

Micro irrigation technology is gradually emerging as demand-driven technology these days in India. 48% of the geographical area of the country receives less than 1000 mm rain and the rest 1000-2500 mm. Providing micro irrigation system is a profitable agriculture startup opportunity. Read More…

Related: 15 Lucrative Business Ideas In Poultry Farming Industry

32. Milk Chilling Plant

Chilling basically stunts the growth of bacteria converting the lactose or sugar in the milk into lactic acid, which curdles the proteins and causes soaring. It should be done within one/one-and-half hour of milking, after which the naturally occurring preservatives in the milk (including carbon dioxide) stop working. Milk chilling plant is a profitable venture to start, provided you get enough milk to be chilled.

33. Multi Purpose Cold Storage 

Cold storage is essential for extending the shelf life, period of marketing, avoiding glut, reducing transport bottlenecks during the peak period of production and maintenance of quality of produce. The cold storage industry, therefore, plays an important role to play in reducing the wastage of the perishable commodities and thus providing remunerative prices to the growers.

34. Onion Paste Processing

 Onion is one of the important ingredients of curries used by almost all household in the world. Onion paste is one of the items, is manufactured and preserved having high market demand. Being involvement of simple technology, any entrepreneur can establish this unit and be successful in the business.

35. Organic Farm Green House

An organic farm greenhouse project business has a high potential to grow and succeed because steadily the demand for organically grown farm products has grown. With the increase in awareness of the multiple health risks of foods grown with chemical more and more people are turning away from food products are grown with fertilizers and other chemicals towards organically grown food. Read More…

36. Palm Oil Production

The main raw material is palm fruits. Palm oil is used as an edible oil. Apart from that, there is a demand for commercial industry use. Palm oil processing is profitable and capital intensive. All type palm oil processing units  differ in the level of mechanization of each unit operation and the interconnecting materials transfer mechanisms.

37. Pesticide Formulation

By importing the technical of pesticide, any individual can initiate a pesticide formulation unit with substantial capital investment. The demand is high and the margin is also lucrative in this business.

38. Pickles Making

Pickles are the most popular item in the Indian recipe. Besides domestic market pickles have an export potential also. Various different quality pickles can be produced. The product should be selected according to the availability of the raw materials. Simple machinery and equipment are required and production process is simple. Read More…

39. Potato Powder Processing

Potato powder is increasingly being used in a variety of food preparations like snack foods, soups, curries and other dishes as a thickening agent. Potato powder manufacturing is capital intensive. FPO and Pollution Control Board permission are required.

40. Rice Bran Oil Production 

The Commerce Ministry recently allowed bulk exports of rice bran oil and removed quantitative restrictions on outbound shipments of organic edible oils. Rice bran oil is considered as a premium edible oil with limited consumption in India. Rice bran oil production is capital intensive. The unit must be focused on export-oriented to get much better profitability. This is a a very popular agro-based business.

41. Rice Mill 

India is the second largest producer of paddy in the world. Rice being the staple food of majority population. The mini rice mill consists of a paddy cleaner, sheller, separator and a polisher. Mini rice mill is one of the most profitable food processing and agro-based business. Read More…

Related: Top 10+ Aquaculture Business Ideas | Low Cost

42. Rope Manufacturing 

India is the single largest jute producer in the world producing around 35% of the world production and earns highest foreign currency from jute. The demand for jute products are good and there is a bright scope of jute yarn, jute rope making unit.

43. Seed Production

Seed processing is one of the most profitable agro-based business ideas to start with substantial capital investment. Proper raw material resources, marketing strategy and attractive packaging are important in getting success in this business.

44. Soybeans Processing

Soya chunk processing can be initiated as small scale basis. The major raw materials are soybean meal and peanut meal. Soya chunk production process involves milling, mixing, extruding and cutting. This is one of the most profitable food processing business one can start with moderate capital investment.

45. Spice Powder Processing

Spice grinding and packaging is one of the most profitable food processing business to be initiated as small and medium scale. Spice is an essential item and is considered as a tastemaker. Apart from individual spice powder like chilly, cumin, turmeric; special quality mixed spice powder processing is more profitable. Some of the most popular items are meat masala, curry powder, chat masala etc. Read More…

46. Sunflower Oil Production

For sunflower oil processing, the main raw material is sunflower seed. Refined sunflower oil goes through the long way of purification which consists of the following stages: mechanical cleaning, hydration, neutralization, bleaching, freezing, deodorization and nitriding. Sunflower oil processing is capital intensive and profitable agro-based business.

47. Textile Mill 

Textile mill is considered as a lucrative business in India because of the massive availability of raw materials. Textile mills are buildings where fibers are interlaced together to produce fabrics. Cotton, wool, synthetic blend and wool blend yarns are also produced there.

48. Tomato Processing 

Tomato is a wide available item and processed tomato products are also very popular. Most popular products are tomato sauce, puree, juice, ketchup etc. In initiating tomato processing, you can also produce tomato pulp for other small scale industries. The production process is not complex. Simple machinery and equipment are required. Tomato Processing is regarded as a very profitable agro-based business idea. Read More…

49. Tutti Frutti Production 

Tutti frutti is concentrated processed food product produced from raw papaya with attractive colour, sugar, and preservative. It is also used by several other food processing industries like cake, bakery bread etc. The product has also a very good retail opportunity and a popular agro-based business idea.

50. Vermicompost Production

Vermicompost production is one of the most profitable agro-based business ideas one can initiate even from his or her backyard. Easy procurement of raw material and proper promotion strategy is important to get success in this business.

51. Weedicide Production 

Weedicides are one of an essential consumable item in certain types of crop farming. Botanical and chemical both two types of weedicides are popular among the farmers.

These 50+ agro-based business ideas we hope will inspire you in taking a decision for initiating an agriculture startup operation with small startup capital investment. Analyze and find the suitable agro-based business idea which fits you most as per your skills, experience, and knowledge.