§1What this business is

Soft jaws are steel blocks clamped on the master jaws of a three-jaw CNC lathe chuck. The user turns them to the job’s diameter so the part is gripped without damage and runs true. Steel blocks are gas-cut to size, machined on a vertical milling machine, the serrations are cut on a horizontal milling machine with gang cutters, holes are drilled and counter-bored to match the customer’s master jaws, and the jaws are ground, blackened, oiled and packed. A set is three jaws of equal weight.

Capacity: 1,800 sets a year, worth ₹27.90 L at ₹1,550 a set (single shift, 300 days, 75% efficiency).

§2Is it right for you?

Who it is for

A machinist or tool-room owner near a cluster of CNC turning shops, such as bearing or auto-parts makers.

Who it is not for

Someone far from industrial clusters or without milling experience.

Advantages

  • Every CNC turning centre needs several sets for different jobs
  • Jaws wear out as they are re-bored, so users buy again
  • Modest outlay of about ₹13.64 L with standard milling machines
  • The profile found a supply gap of about 5,000 sets a year in Rajasthan

Drawbacks

  • Serrations and bolt holes must match each chuck make exactly
  • The three jaws of a set must weigh the same, or the chuck vibrates
  • Buyers are factories, so sales need visits and trust
  • CNC machine suppliers also sell jaws to their customers

Skills you need

  • Vertical and horizontal milling with gang cutters
  • Drilling and counter-boring to close position
  • Surface grinding and blackening
  • Knowing chuck makes and their jaw sizes

Why difficulty 3/5: Small outlay, but the machining must be accurate and each customer’s chuck is different.

§3Market

Who buys

  • Bearing component makers
  • Auto-parts makers
  • Other workshops with CNC turning centres

How it sells

  • Direct sales to CNC machine users
  • Supply through CNC machine and tooling dealers

Good to know

  • The profile puts the demand–supply gap in Rajasthan at about 5,000 sets a year, expected to reach 10,000 in three years, and assumes a new unit can take 15% of supply.
  • Selling price in the profile: ₹1,550 a set.

§4Raw material & machinery

ItemQtyCost
Vertical milling machine1₹2,50,000
Horizontal milling machine1₹2,50,000
Surface grinder1₹2,00,000
Bench drilling machine1₹50,000
Gas cutter1₹6,000
Hand grinder, 4 inch1₹5,400
Office equipment, dies and tools—₹30,000

From: DC-MSME project profile — Soft Jaws for CNC Lathe (2011)

  • MS plates1,250 kg a month at ₹48 a kg
  • Blackening and oiling (job charges)₹625 a month
  • Oxy-acetylene gas₹5,000 a month

From: DC-MSME project profile — Soft Jaws for CNC Lathe (2011)

§5Licences & registration

  1. Udyam registration
  2. GST registration
  3. Factory licence where the worker and power limits apply
  4. Trade licence from the local body

We can do this registration for you

§6Schemes & subsidies

At ₹13.64 L the project fits PMEGP (ceiling ₹50 lakh for manufacturing) and a MUDRA loan (up to ₹20 lakh). CGTMSE can cover the loan without collateral.

§7Money

How the investment is worked out: Fixed capital ₹8,92,540 (machines ₹7,61,400, installation and electrification ₹76,140, office equipment, dies and tools ₹30,000, electricity connection ₹25,000) + working capital for 3 months ₹4,71,900 = ₹13,64,440. Shed is rented.

Working capital: Working capital for 3 months is ₹4,71,900. Monthly running cost is ₹1,57,300: salaries ₹54,050, raw material ₹60,625, utilities ₹22,125, other expenses ₹15,500 and rent ₹5,000.

Prices from 2011 — machinery costs will be higher now.

How to prepare a loan file

§8Export potential

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

8466Parts and accessories for machine tools, including work holders and tool holders

Export council / board: EEPC India

  • The profile is written for the home market and gives no export figures.

§9Risks — where people fail

  • Jaws that do not fit the customer’s chuck being returned
  • Dependence on a few local industries such as bearing makers
  • Steel price rising
  • Established suppliers from Maharashtra, Gujarat, Punjab and Haryana

§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 soft jaws for cnc lathe chucks 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

§12Watch

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

Want to start Soft Jaws for CNC Lathe Chucks?

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

Get a DPR / loan file made

Sources

  1. DC-MSME project profile — Soft Jaws for CNC Lathe (2011)

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