§1What this business is

Aluminium alloy ingots and scrap are melted in an oil-fired furnace. For each shot, molten metal is ladled into the pouring sleeve of the die casting machine and a piston forces it into the die cavity under pressure; the part cools, the die opens and the casting is ejected. Castings are trimmed, ground, sand-blasted or buffed, inspected and packed. NSIC has two profiles: a general die casting unit and one making automobile parts on a horizontal cold-chamber machine. Buyers are vehicle, fan, motor and appliance makers.

Capacity: General unit 105 MT of castings a year; auto-parts unit 150 MT a year.

§2Is it right for you?

Who it is for

An engineer or foundry hand with contacts among vehicle-part, fan or appliance makers.

Who it is not for

Someone with no OEM buyers — die casting is almost always made to a buyer's drawing.

Advantages

  • Vehicle, fan and appliance makers buy castings all year
  • Each die turns out thousands of identical parts
  • Aluminium scrap can be used along with ingots

Drawbacks

  • Dies are costly and each new part needs a new die
  • Buyers set tight size and finish limits and reject faulty lots
  • Furnace work is hot and needs safety care
  • Aluminium prices move with the metal market

Skills you need

  • Melting and alloy control
  • Die setting and die maintenance
  • Fettling, grinding and finish checks
  • Getting vendor approval from OEMs

Why difficulty 4/5: Costly dies, OEM quality approvals and hot metal work.

§3Market

Who buys

  • Two-wheeler, car and tractor part makers
  • Fan, motor and pump makers
  • Appliance and lighting makers

How it sells

  • Direct supply to OEMs and their tier-1 vendors against orders
  • Job work on dies supplied by the buyer

Good to know

  • The auto-parts profile stamps, inspects and despatches castings after finishing.

§4Raw material & machinery

ItemQtyCost
Die casting machine——
Furnace——
Buffing machine——
Horizontal cold-chamber pressure die casting machine (auto-parts unit)——
Oil-fired furnace (auto-parts unit)——
Bench grinder——
Pedestal grinder——
Trimming machine——
Miscellaneous tools and equipment——

From: NSIC project profile — Die Casting Unit — private guide — confirm locally · NSIC project profile — Automobile Part by Die Casting — private guide — confirm locally

  • Aluminium ingots and scrap
  • Aluminium ingot (auto-parts unit)10 MT a month
  • Aluminium scrap (auto-parts unit)0.3 MT a month
  • Flux
  • Moulds (dies)

From: NSIC project profile — Die Casting Unit — private guide — confirm locally · NSIC project profile — Automobile Part by Die Casting — private guide — confirm locally

§5Licences & registration

  1. Udyam registration
  2. GST registration
  3. Consent to establish and operate from the State Pollution Control Board (melting furnace)
  4. Factory licence if your worker count crosses the Factories Act limit
  5. Quality system approval (such as ISO 9001 or IATF 16949) that vehicle makers ask for from vendors

We can do this registration for you

§6Schemes & subsidies

CGTMSE for a loan without collateral; Stand-Up India for SC/ST and women founders. Both profiles (₹55.60 lakh and ₹81.0 lakh) are above the PMEGP ₹50 lakh and MUDRA limits.

§7Money

How the investment is worked out: Two NSIC profiles, each printing one figure for machinery and equipment plus 3 months' working capital (raw material, utilities and salary): general die casting unit ₹55.60 lakh (105 MT a year); automobile parts by die casting ₹81.0 lakh (150 MT a year). No split is given, and land and building are not included.

Working capital: Working capital for 3 months is inside each total (₹55.60 lakh and ₹81.0 lakh); the profiles print no separate figure. The auto-parts unit uses 10 MT of aluminium ingot and 0.3 MT of scrap a month.

Year not printed on the NSIC profile (an older NSIC Training-cum-Incubation Centre sheet) — check current machinery and material prices.

How to prepare a loan file

§8Export potential

Confirm the HS code in the DGFT ITC(HS) lookup before you export

7616.99Other articles of aluminium8708Parts and accessories of motor vehicles

Export council / board: EEPC India

  • Confirm the 8-digit ITC(HS) line with DGFT or your customs broker before shipping.
  • You need an Import Export Code (IEC) from DGFT before the first shipment.

§9Risks — where people fail

  • Porosity and size rejections
  • Metal price swings
  • Dependence on one or two large buyers
  • Furnace emissions and burn accidents

§1030 / 60 / 90-day plan

A general plan that applies to any business. A plan for this business will be added after research.

  1. Days 1–30: Visit a working aluminium pressure die casting (incl. auto parts) unit, ask 10 buyers about price and quantity, and get quotations from 3 suppliers.
  2. Days 31–60: Udyam and the licences you need (Udyam registration, GST registration), a project report (DPR), and the scheme or loan file.
  3. Days 61–90: Space and machines, trial production, and first deliveries to 10 customers.

§11Who to connect with

Not verified yet

Associations, clusters and training institutes — the directory is being built. Connect

§12Watch

There is no episode on this business yet. Shows are coming soon on the Podcast page.

Want to start Aluminium Pressure Die Casting (incl. Auto Parts)?

DPR, loan file or registration — ask us on WhatsApp.

Get a DPR / loan file made

Sources

  1. NSIC project profile — Die Casting Unit
  2. NSIC project profile — Automobile Part by Die Casting

Data review: 6 October 2026. Spotted a mistake? Report it. For information only — not legal or financial advice.