In the course of a decade, Micro, Small, and Medium Enterprises (MSMEs) emerged as one of the most significant aids to the Indian economy by generating more than 30% of the GDP along with a prominent amount of employment opportunities. The Government of India also recognized its potential and has proposed several initiatives, schemes, and programs to increase first time entrepreneurs ‘business’ ideas under the umbrella of MSMEs.This guide will highlight some of the efficient first-goer MSME business ideas alongside provided government-backed schemes. Moreover, the details regarding NIIR Project Consultancy Services (NPCS) and their immense possibilities will be discussed.
Benefits of Government-Backed MSME Initiatives
- Subsidies and incentives along with tax benefits through the Ministry of MSME business and other affiliate departments.
- Assured access to skill development and training.
- Unimpeded entry for government contracts along with set precedence for procurement policies.
- Affirmed support for taxes along with exemptions.
- Unimpeded access to startup-friendly tax policies.
Top Suggestions for MSME business
For the following provided opportunities, firm policies along with government-linked incentives and support have been tailored:
1. The Food Processing Unit under the PMFME Scheme
The scheme of Pradhan Mantri Formalization of Micro Food Processing Enterprises (PMFME) seeks to encourage the establishment of small-based food processing units.
Possibilities include:
- Manufacturing Pickles, Sauces and Jams
- Packaged Ready to Eat Foods
- Snack Foods from Millet Grains
- Oil from cold pressing units
Government Assistance:
- A capital subsidy of 35% on plant & machinery (not exceeding ₹10 lakhs)
- Promotional assistance for branding and marketing
- Technical instruction
NPCS Reports:
- Food Processing Project Report – Sauces, Spices and Ready Meals
- Manufacturing Report on Cold Pressed Edible Oils
2. Organic Fertilizer Production
Supported under Paramparagat Krishi Vikas Yojana (PKVY) and National Mission on Sustainable Agriculture (NMSA).
Business Models:
- Vermicompost Units
- Bio-fertilizers
- Fertilizers from Cow Dung and Cow Urine (Gau Krishi)
Advantages:
- Subsidised setup provided by NMSA
- Finance from the bank under NABARD scheme
- High demand in rural areas due to organic farming initiatives
NPCS Reports:
- DPR – Organic Manure and Bio-Fertilizer
- Project Report – Cow Urine Distillation Unit (Gau Mutra Ark)
Related: Harnessing the Power of Solar Energy: A Sustainable Future
3. Solar Panel Assembly or Sales Unit under PM-KUSUM
Renewable energy is promoted under Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PM-KUSUM).
Business Ideas:
- Irradiation Pump Solar Panel Assembly
- Solar Water Heaters and Street Lights
- E-Rickshaw Solar Charging Stations
Support:
- Installation subsidy of 30-50%
- Income from solar plant land leases
- Venture registered with the MNRE Stamp of Approval
NPCS Reports:
- DPR for the Manufacturing of Solar Panel
- Project Report of Solar Battery Assembly
4. Disposable Products Manuf. Unit
MSME business Sustainable ZED Certification and Startup India scheme.
Ideas:
- Paper Straw, Cup, and Plate Manufacturing
- Bagasse or Banana Leaf Cutlery
- Sanitary Napkin or Diaper Producing
Support:
- MUDRA loan subsidies
- Support in sourcing raw materials
- Quality certification incentives and BIS
NPCS Reports:
- DPR of Squash Paper Plates from Banana Leaves
- Manufacture of Biodegradable Packaging Report
5. Waste to Wealth Mission: Agro Waste Based Business
The government supports the recycling of agro and urban waste under the Swachh Bharat Mission.
Suggestions:
- Production of Silica from Rice Husk Ash
- Compressed Bio Gas (CBG) from Cow Dung or Napier Grass
- Briquette and Bio-char plants
Advantages:
- Support from MNRE for CBG plants
- Partnership along with gas companies such as IOCL/BPCL
- Carbon credit generation
NPCS Reports:
- DPR for CBG Utilizing Napier Grass
- Project Report on Silica from Rice Husk Ash
6. Manufacturing of Toys and Handicrafts
The SFURTI Scheme and ODOP provide financial support.
Ideas:
- Wooden Toys
- Brass or Copper Crafts
- Terracotta or Clay Items
Advantages:
- Skills and artisan support training
- Cluster development for subsidies
- Export promotion via the EPCH
NPCS Reports:
- Project on Manufacturing Wooden, Plastic, and Silicone Toys
- DPR for Small Scale Craft Industry
7. Manufacturing of Herbal and Ayurvedic Products
Startups focusing on herbal products are on the rise under the Atmanirbhar Bharat scheme and in the AYUSH Ministry.
Suggestions:
- Herbal Cosmetics
- Ayurvedic Tablets, Churnas, and Syrups
- Essential oils and fragrances
Incentives:
- Support for clinical trial and branding up to ₹10 lakh
- AYUSH for forming manufacturing license
- Facilitation for exports
NPCS Reports:
- Manufacturing of Ayurvedic Medicine Tablets of 35 Formulations
- Project on Herbal Extracts and Cosmetics
8. Recovery of Lithium-ion Batteries and the Recycling of E-Waste
The government encourages circular economy models as India adopts EVs and gadgets.
Proceeding To:
- Recovery of Lithium, Cobalt, and Nickel
- Producing Black Mass
- Units for The Sorting, Dismantling, and E-Waste Dismantling
Government Action:
- Assistance with the Guidelines With EPR And CPCB Credit Facilitation
- Green Industry Initiatives Bank Loans Supported by Other Schemes
- Support For Patents Filing from Startup India
NPCS Reports:
- DPR on Recycling Lithium Batteries (From Black Mass to lithium)
- Business Plan for Recycling Electronic Waste
9. Water Purification and Bottling Plants
Integrated with the mission Jal Jeevan and the need for clean water in tier-2 cities.
Models for Businesses:
- Packaged Drinking Water
- Water Purifiers And Vending Machines
- Newly Set Up Mineral Water Bottle Plant
Advantages:
- Funding through bank loans under MSME
- BIS certification guidance
- Support under Startup India
NPCS Reports:
- DPR For The Mineral Water Plant
- Business Plan for ROT and Water ATM
10. Textile and Clothing Manufacturing
Encouraged By PM MITRA PARKS Scheme, TUFS.
Suggestions:
- PPE Kits, School apparel, Work apparel
- Products of Khadi: Handloom
- Apparel for women and children
Assistance:
- Machinery cost subsidized by 15-30%
- Subsidized interest rate on working capital
- Clustered raw material depots
NPCS Reports:
- Project Report on Manufacturing Readymade Garments
- DPR for Production Line of PPE Kits
Related: MSME Business Ideas by Government: Unlocking India’s Startup Revolution
NPCS’s Role in MSME business
The State plays an important role in subsidizing the sustainment of small enterprises by:
1. Providing Finance and Access to Credit
- MUDRA Yojana: Offers up to 10 lakhs for new-age companies.
- CGTMSE: Provides collateral free loan with credit guarantee.
- Stand Up India: Loans offered to women and SC’s and ST’s entrepreneurs.
2. Development of Infrastructure
- MSME Park. Industial Clusters.
- Export promotion and facilitation centers.
- Plug-and-play factories.
3. Skill Training and Development
- Entrepreneurship Development Programs (EDP)
- Hand training with the help of Tool Room
- Certified training of different sectors.
4. Market Connection
- Sponsoring of showcases and fairs.
- GeM, government e-marketplace.
- Councils made specifically for promotion of exports of certain products.
NIIR Project Consultancy Services (NPCS) Support
NIIR Project Consultant Services specializes in creating DPR, Techno-Economic Feasibility Reports and detailed project reports according to the MSME business provided by the government.
Our services contain:
- Identification and selection of projects
- Research of the market along with forecasting demand
- Diagrams of the workflow within the manufacturing processes
- Description of the machinery along with raw materials
- Working capital, break-even, and ROI projections
- Financial policies including payment of government grants and loans
NPCS works completely alongside all these services assist you in growing at every stage of your business, whether an entrepreneur at the entry-level or an existing MSME planning to diversify.
Conclusion
There exists a certain competitive edge for any entrepreneur in India looking to venture into business based on the framework for supporting MSME business . Start-up initiatives like Make in India and Atmanirbhar Bharat along with global financial infrastructures offers unfathomable support when partnered with small industry.
Udyog Aadhar serves as a powerful tool for identifying prospective startups and is readily available along with market and framework support.
These ideas need to be turned into practical plans, a feat easily achievable with the guidance of NIIR Project Consultancy Services, providing bank loans and grants via government scheme. The time to actualize entrepreneurial aspirations aided by the MSME space in India is now, with trusted consulting service on your side.
