§1What this business is
Pigments such as red oxide and zinc chromate are mixed with CNSL (cashew nut shell liquid) resin and turpentine into a paste, ground in a ball mill and triple roll mill, let down, tinted, tested, strained and filled in 1 kg tins. The paint protects steel from moisture, salt spray, acid fumes and weather — on structural steel, chemical plants, boats and marine vessels.
Capacity: 250 kg a day, 75,000 one-kg tins a year at full capacity; year 1 at 50% = 37,500 tins.
§2Is it right for you?
Who it is for
Someone with industrial-supply or paint-trade contacts, ideally near cashew processing or a coast.
Who it is not for
Someone who cannot run a lab check on every batch.
Advantages
- Steady industrial demand for primers on steel
- CNSL is a cheap by-product of cashew processing
- Coastal boat and marine use, plus chemical plants
- Small team
Drawbacks
- Big paint companies dominate the market
- Solvents are flammable and need safe storage
- Zinc chromate is a hazardous chemical
- Heavy machinery cost (₹20 L) for a small output
Skills you need
- Paint formulation and grinding
- Batch testing (fineness, drying, adhesion)
- Chemical and fire safety
- Industrial sales
Why difficulty 3/5: Simple paint plant, but chemicals, fire safety and big-brand competition.
§3Market
Who buys
- Fabricators and structural steel contractors
- Chemical and process plants
- Boat builders and marine users in coastal states
- Maintenance departments of factories
How it sells
- Hardware and paint dealers
- Direct industrial supply
- Tenders for maintenance work
Good to know
- The report expects more use as industries stress preventive maintenance.
- Coastal states with many boats and vessels are named as good markets.
§4Raw material & machinery
| Item | Qty | Cost |
|---|---|---|
| Mild steel ball mill, 500 litres, 10 HP | 1 | ₹7,00,000 |
| Planetary mixer, 200 litres, 5 HP | 1 | ₹5,00,000 |
| Triple roll mill, 6" × 12" | 1 | ₹4,00,000 |
| Solvent storage tank with pump | 1 | ₹3,00,000 |
| Paint storage tank, 1,000 litres | 1 | ₹50,000 |
| MS varnish kettle, 200 litres | 2 | ₹50,000 |
From: PMEGP sample project report — Anti-corrosive Paints (prepared by Udyami/Samadhan)
- CNSL resin30,000 kg a year at ₹100 a kg (full capacity)
- Mineral turpentine oil42,000 litres at ₹40 a litre
- Red oxide12,000 kg at ₹15 a kg
- Zinc chromate2,400 kg at ₹200 a kg
- Bentonite and china clay6,000 kg each at ₹10 and ₹8 a kg
- Other chemicals, preservatives and 1 kg tins₹4,00,000 and ₹1,50,000 a year
From: PMEGP sample project report — Anti-corrosive Paints (prepared by Udyami/Samadhan)
Suppliers in Building Business Bazaar
Allied Trading Co · Mumbai →Amrutlal Bhura Bhai and Co · Mumbai →Bonazo Enterprises · Delhi →Dalal Engg. Pvt. Ltd · Mumbai →Gandhi Parekh Investment Corpn. Private Limited · Mumbai →Kusum Engg. Co. Ltd · Kolkata →National India Engg. Co. Pvt Ltd · Mumbai →Raymer Engg. Corpn · Mumbai →Sallon Dynamics · Mumbai →Sphere Engineers Pvt.Ltd · Mumbai →Techno Enterprises Pvt. Ltd · Kolkata →Torrance overseas Engineers Pvt. Ltd · Chennai →
§5Licences & registration
- Udyam
- GST
- NOC/consent from the State Pollution Control Board
- Fire NOC
- Trademark for your brand (optional)
§6Schemes & subsidies
- PMEGPCentralActive15–35% subsidy
- CGTMSECentralActiveNo collateral, up to ₹10 crore
- MudraCentralActiveLoan up to ₹20 lakh, no collateral
Made for PMEGP; CGTMSE covers the collateral-free loan.
§7Money
How the investment is worked out: Samadhan report: plant & machinery ₹20.00 L, furniture ₹1.00 L, working capital ₹2.22 L = ₹23.22 L; land own or rented.
Working capital: ₹2.22 L in the project cost; bank working capital ₹2.00 L for 5 days of raw material and 7 days of finished goods.
Year not printed on the report — check current machinery prices.
§8Export potential
Confirm the HS code in the DGFT ITC(HS) lookup before you export
- HS codes are from the WCO HS 2022 list; confirm the 8-digit ITC(HS) line with DGFT or your customs broker.
- You need an Import Export Code (IEC) from DGFT before the first shipment.
§9Risks — where people fail
- Fire and chemical exposure
- Raw material price rises
- Competition from branded paints
- Batch rejection by industrial buyers
§1030 / 60 / 90-day plan
A general plan that applies to any business. A plan for this business will be added after research.
- Days 1–30: Visit a working anti-corrosive paint (cnsl-based) unit, ask 10 buyers about price and quantity, and get quotations from 3 suppliers.
- Days 31–60: Udyam and the licences you need (Udyam, GST), a project report (DPR), and the scheme or loan file.
- Days 61–90: Space and machines, trial production, and first deliveries to 10 customers.
§11Who to connect with
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 Anti-corrosive Paint (CNSL-based)?
DPR, loan file or registration — ask us on WhatsApp.
¶Sources
Data review: 6 October 2026. Spotted a mistake? Report it. For information only — not legal or financial advice.