§1What this business is
EC-grade copper pipe is cut to size, pressed in power presses with dies, machined and threaded, then tin-plated, buffed, tested and packed. A lug is crimped or soldered onto a cable end and bolted to a terminal, so it is used wherever electric supply exists. The relevant standard is IS:8309 – 1993 (reaffirmed 2008), as the report notes.
Capacity: 500 lugs a day, 1,50,000 a year at full capacity (8 hours, 300 days); 65% in year 1.
§2Is it right for you?
Who it is for
Someone with press-shop skill and contacts among electrical contractors, panel builders or electricity boards.
Who it is not for
Someone who cannot fund copper stock or handle plating.
Advantages
- Low machinery cost (₹3.80 lakh)
- Steady demand from electrification and industry
- Gross margin of about 32–35% in the report
- Can also make thimbles and connectors on the same presses
Drawbacks
- Copper price swings hit cost directly
- Tin-plating needs pollution control
- Electricity boards buy through tenders with vendor approval
- The sample report has copy errors (it mentions a cream and a drugs licence); get a fresh report
Skills you need
- Power-press and die work
- Plating and finishing
- Testing to IS:8309
- Vendor registration and tendering
Why difficulty 2/5: Cheap machines and a simple press process; copper cost and tenders need watching.
§3Market
Who buys
- State electricity boards and distribution companies
- Industries installing plant and machinery
- Electrical panel and power-equipment makers
- Electrical contractors
How it sells
- Government and utility tenders
- Electrical wholesalers
- Direct supply to panel builders
Good to know
- The report expects sales of ₹50.94 lakh in year 1 rising to ₹75.46 lakh in year 5.
- Copper alone is ₹31.50 lakh of the ₹33.90 lakh yearly raw material at full capacity.
§4Raw material & machinery
| Item | Qty | Cost |
|---|---|---|
| Power press, 1 HP, 10 tonne | 1 | ₹25,000 |
| Power press, 2 HP, 20 tonne | 1 | ₹38,000 |
| Power press, 3 HP, 35 tonne | 1 | ₹50,000 |
| Lathe, 1 HP, 6 ft bed | 1 | ₹38,000 |
| Threading machine, 3½ ft | 2 | ₹50,000 (₹25,000 each) |
| Surface grinder, 1 HP (7" × 14") | 1 | ₹45,000 |
| Bench grinder, ½ HP | 1 | ₹4,000 |
| Hand press | 1 | ₹3,700 |
| Portable drilling machines (1" and ¾") | 2 | ₹14,000 |
| Tinning plant: electroplating barrel tank 3' × 3' × 5' | 1 | ₹18,000 |
| Rectifier, 200 A | 1 | ₹25,000 |
| Dryer with motor | 1 | ₹9,000 |
| Electrification and installation | — | ₹30,000 |
| Tools and dies | — | ₹40,000 |
From: PMEGP sample project report — Cable Connectors (Lugs) (prepared by Udyami/Samadhan)
- EC-grade copper pipe, assorted sizes18,000 kg a year at full capacity, ₹175 a kg
- Brass strip₹2,40,000 a year (lump sum)
- Tin for plating and packing materialconsumables
From: PMEGP sample project report — Cable Connectors (Lugs) (prepared by Udyami/Samadhan)
In our raw material database
§5Licences & registration
- Udyam registration
- GST
- Pollution NOC (the report says from DIC level; plating usually needs State Pollution Control Board consent)
- BIS certification to IS:8309 if buyers or tenders ask
- Trademark for the brand (if needed)
§6Schemes & subsidies
- PMEGPCentralActive15–35% subsidy
- MudraCentralActiveLoan up to ₹20 lakh, no collateral
- CGTMSECentralActiveNo collateral, up to ₹10 crore
The report is a PMEGP sample (own share 10% general, 5% special). MUDRA and CGTMSE can back the loan.
§7Money
How the investment is worked out: Building & civil work (2,000 sq ft) ₹3.50 lakh + plant & machinery ₹3.80 lakh + furniture ₹0.75 lakh + pre-operative ₹0.35 lakh + working capital ₹5.81 lakh = ₹14.21 lakh.
Working capital: Working capital ₹5.81 lakh, of which bank finance ₹5.23 lakh; 30 days of copper stock.
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
Export council / board: EEPC India
- Confirm the ITC(HS) line with a customs broker; copper lugs may also be classed under copper articles.
§9Risks — where people fail
- Copper price rise
- Losing tender approvals
- Plating effluent rules
- Price competition
§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 cable lugs (cable sockets) manufacturing 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 Cable Lugs (Cable Sockets) Manufacturing?
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.