§1What this business is
Vehicle makers sell many buses and light commercial vehicles as bare chassis. A body-building workshop cuts, bends, welds and fits the steel frame, panels and fittings to carry passengers or goods. The KVIC profile treats it as a service-type industry run with a lathe, welding set, sheet-bending press, hydraulic press and drilling machine.
Capacity: Not printed in units; full-capacity output valued at ₹40.00 lakh a year.
§2Is it right for you?
Who it is for
A skilled fabricator or welder with links to transporters and vehicle dealers.
Who it is not for
Someone without fabrication experience or space to keep vehicles.
Advantages
- Every new bus and many trucks need a body
- Machinery under ₹6 lakh
- Work comes from transporters, schools and fleet owners
- Repair and rebuilding work adds income
Drawbacks
- Bus bodies must meet the official bus body code and safety rules
- Orders are lumpy and depend on vehicle sales
- Needs a large yard to park chassis
- Thin margin: net surplus about 10% of sales at full capacity
Skills you need
- Sheet-metal fabrication and welding
- Reading body drawings and safety norms
- Costing and quoting jobs
- Dealing with transporters and dealers
Why difficulty 3/5: Skilled fabrication plus vehicle safety norms; machinery cost is modest.
§3Market
Who buys
- Private bus operators and schools
- Goods transporters and fleet owners
- Vehicle dealers selling bare chassis
How it sells
- Tie-ups with chassis dealers
- Direct orders from transporters
- State transport and institutional tenders
Good to know
- The profile values full-capacity work at ₹40.00 lakh a year.
§4Raw material & machinery
| Item | Qty | Cost |
|---|---|---|
| Lathe, 9 ft bed, with 3 HP motor and standard accessories | — | — |
| Arc welding set, 300 A, air-cooled | — | — |
| Sheet bending press | — | — |
| Hydraulic press, 40 tonne | — | — |
| Pedestal drilling machine, 1 inch capacity | — | — |
| All equipment together | — | ₹5,97,000 |
From: KVIC Project Profile — Bus Body Building / Light Commercial Vehicle (PMEGP)
- Steel sections, sheets and body fittingsraw material ₹24,00,000 a year at full capacity
- Labels and packing material₹1,00,000 a year
From: KVIC Project Profile — Bus Body Building / Light Commercial Vehicle (PMEGP)
§5Licences & registration
- Udyam registration
- GST
- Accreditation and compliance under the Bus Body Code (AIS-052) for bus bodies
- Trade licence
- State Pollution Control Board consent (painting and welding)
§6Schemes & subsidies
- PMEGPCentralActive15–35% subsidy
- MudraCentralActiveLoan up to ₹20 lakh, no collateral
- CGTMSECentralActiveNo collateral, up to ₹10 crore
This is a KVIC profile made for PMEGP. MUDRA and CGTMSE can back the loan.
§7Money
How the investment is worked out: Equipment ₹5,97,000 + working capital ₹8,75,000 = ₹14,72,000. Land own; shed rented.
Working capital: Working capital ₹8,75,000; steel and other raw material is ₹24 lakh a year at full capacity.
Year not printed on the KVIC profile — check current machinery prices.
§8Export potential
Confirm the HS code in the DGFT ITC(HS) lookup before you export
Export council / board: EEPC India
- Body building is mostly a local service; exports are rare for a small unit.
§9Risks — where people fail
- Failing safety approval
- Steel price rise during a job
- Slow payment from fleet owners
- Slump in vehicle sales
§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 bus & truck body building unit, ask 10 buyers about price and quantity, and get quotations from 3 suppliers.
- Days 31–60: Udyam and the licences you need (Udyam registration, 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 Bus & Truck Body Building?
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.