§1What this business is
The unit buys copper wire rod. The rod is drawn on wire drawing machines and then passed through cold rolling mills whose rolls are shaped for each strip size. Strips meant for windings are softened in an electric annealing furnace and wrapped with insulating paper (DPC) or cotton (DCC) on a covering machine. Buyers are makers and repairers of motors, generators, transformers, electroplating plants and electrical appliances, who choose copper for its high conductivity. Almost all the cost is the copper itself.
Capacity: 233 MT of strips a year, valued at ₹372.8 lakh in the profile, on one 8-hour shift for 300 days at 80% capacity use.
§2Is it right for you?
Who it is for
Someone who knows the copper trade, has funds or bank limits for metal stock, and has transformer or motor makers as buyers.
Who it is not for
Someone short of working capital or unable to bear a sudden fall in copper prices.
Advantages
- Low machinery cost of ₹4,55,000 in the profile
- Copper strip has no easy substitute in motors and transformers
- Scrap copper keeps its value and is sold back
- Bare and covered strips can be made on the same line
Drawbacks
- Thin margin of 6.6% on a very large turnover
- Working capital is many times the machinery cost
- High power load of 80 kW
- Pickling uses acid and needs safe disposal
Skills you need
- Wire drawing and cold rolling to close sizes
- Annealing copper without spoiling the surface
- Paper and cotton covering
- Buying copper and pricing orders against daily metal rates
Why difficulty 4/5: The machines are simple, but financing copper stock and managing price risk is hard.
§3Market
Who buys
- Transformer makers and repairers
- Motor and generator makers and rewinders
- Electroplating plants
- Switchgear, panel and appliance makers
How it sells
- Direct supply against orders to electrical equipment makers
- Non-ferrous metal dealers
- Job work: converting the customer's copper for a charge
Good to know
- The profile takes a selling price of ₹160 per kg and scrap at ₹80 per kg (2002).
- Quality follows BIS standards and the customer's own specification.
§4Raw material & machinery
| Item | Qty | Cost |
|---|---|---|
| Four block vertical wire drawing machine with 24 HP motor | 1 | ₹60,000 |
| Horizontal wire drawing machine, 24 inch, with 20 HP motor | 1 | ₹60,000 |
| Cold rolling machine with 15 HP motor | 1 | ₹80,000 |
| Cold rolling machine with 7.5 HP motor | 1 | ₹25,000 |
| Pointing machine with 2 HP motor | 1 | ₹10,000 |
| Die polishing machine with ½ HP motor | 1 | ₹5,000 |
| Butt welding machine, up to 10 mm | 1 | ₹10,000 |
| Rough cold rolling machine with 10 HP motor | 1 | ₹40,000 |
| DPC/DCC covering machine for strips with 2 HP motor | 1 | ₹40,000 |
| Electric annealing furnace, 24 kW, with control panel | 1 | ₹85,000 |
| Pickling, rinsing and washing unit | — | ₹40,000 |
| Dies, fixtures and others | — | ₹30,000 |
From: DC-MSME project profile — Copper Strips (2002)
- Copper wire rod20 MT a month at ₹1,35,000 per MT (2002)
- Insulating paper or cotton0.3 MT a month at ₹1,50,000 per MT
- Acid, lime and other chemicals₹1,000 a month
From: DC-MSME project profile — Copper Strips (2002)
§5Licences & registration
- Udyam registration
- GST registration
- Factory licence
- State Pollution Control Board consent (pickling and annealing)
- BIS certification where a Quality Control Order applies
Start it in your state
Pick your state: today’s cost, central + state subsidy, raw material, land and help, on one page.
§6Schemes & subsidies
Even at 2002 prices the project cost of ₹63,32,450 is above PMEGP's ceiling of ₹50 lakh for manufacturing, and today's cost will be far higher because copper now costs much more — check today's cost before you look at PMEGP. CGTMSE can back a collateral-free loan of up to ₹10 crore, including the working capital limit.
§7Money
How the investment is worked out: Fixed capital ₹6,50,500 (machinery ₹4,55,000, electrification and installation ₹45,500, dies and fixtures ₹30,000, office furniture ₹30,000, pre-operative expenses ₹40,000, electricity connection deposit ₹50,000) + working capital for 2 months ₹56,81,950 = ₹63,32,450. The 30 × 20 metre premises are rented, so no land or building cost is included.
Working capital: ₹28,40,975 a month, of which copper wire rod alone is ₹27,00,000 (20 MT at ₹1,35,000 per MT). The profile funds 2 months, ₹56,81,950 — almost nine-tenths of the whole project.
Prices from 2002 — copper, machinery and wage costs will be much higher now.
§8Export potential
Export council / board: EEPC India
- The profile prints no HS code and does not discuss export.
§9Risks — where people fail
- Copper prices moving while stock is held
- Theft of a costly metal
- Late payment by large buyers
- Rejection for wrong size or poor conductivity
§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 copper strips (bare and paper or cotton covered) 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 registration), 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
§12Watch
There is no episode on this business yet. Shows are coming soon on the Podcast page.
Want to start Copper Strips (Bare and Paper or Cotton Covered)?
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.