§1What this business is

Fresh fenugreek is washed in a rotary washer, the leaves are separated from the stalks, cut, blanched, dried in a batch dryer and packed in sealed pouches and jars. The model makes 200 kg of dried leaves a day. The DPR assumes fresh fenugreek at ₹8 a kg, 14% recovery and a sale price of ₹180 a kg.

Capacity: 60 tonnes of dried fenugreek leaves a year (200 kg a day), 300 working days of 8–10 hours. Year 1 is for construction; use is 55% in Year 2, 65%, 75%, 90% and 100% from Year 6.

§2Is it right for you?

Who it is for

A vegetable grower group or spice packer in Rajasthan, Punjab, Haryana, Gujarat or another methi-growing area.

Who it is not for

Someone who cannot buy and process large volumes of fresh leaf within a day of harvest.

Advantages

  • Kasuri methi is used in kitchens and restaurants across India
  • Fresh methi is very cheap in the winter glut
  • Dried leaf is light and keeps for a year
  • The dryer can run other leafy herbs off season

Drawbacks

  • About 7 kg of fresh leaf is needed for 1 kg of product
  • Fresh methi is available for only a few months
  • Colour and aroma are lost if drying is too hot

Skills you need

  • Cleaning leaves free of soil and weeds
  • Blanching and low-temperature drying
  • Moisture-proof packing
  • Selling to spice brands and wholesalers

Why difficulty 2/5: Simple drying line and a known product; the season is short.

§3Market

Who buys

  • Spice brands and packers
  • Restaurants, dhabas and caterers
  • Grocery shops and supermarkets

How it sells

  • Spice wholesalers in the mandi
  • Bulk supply to spice companies
  • Own retail packs through distributors

Good to know

  • The DPR assumes an average sale price of ₹180 a kg.

§4Raw material & machinery

ItemQtyCost
Cold store, 15,000 kg1₹10 lakh
Rotary type washing machine, 200 kg an hour1₹0.8 lakh
Mechanical leaf separator4₹1.2 lakh
Vegetable cutter/slicer, 200 kg an hour4₹1.6 lakh
Blanching kettle, gas operated, 100 litre1₹0.6 lakh
Dryer, 120 kg a batch1₹2.2 lakh
Induction sealer1₹0.3 lakh
Shrink tunnel1₹0.35 lakh
Continuous sealing machine1₹0.25 lakh
Batch coding machine1₹0.12 lakh
Weighing balance1₹0.06 lakh
Accessories1₹0.5 lakh

From: NIFTEM-Thanjavur (IIFPT) PMFME model DPR — Dehydrated Fenugreek Leaves

  • Fresh fenugreek (methi) leavescosted at ₹8 a kg; 14% recovery
  • Sulphur dioxidecosted at ₹150 a kg; small quantity
  • Packaging material₹6 per kg of product

From: NIFTEM-Thanjavur (IIFPT) PMFME model DPR — Dehydrated Fenugreek Leaves

§5Licences & registration

  1. Udyam registration
  2. GST registration
  3. FSSAI licence or registration
  4. Legal Metrology registration for packaged goods

We can do this registration for you

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§6Schemes & subsidies

The DPR is written for PMFME (35% credit-linked subsidy, up to ₹10 lakh, for micro food units). PMEGP is another route for a new unit of this size, and CGTMSE can back the bank loan without collateral.

§7Money

How the investment is worked out: Building 20 × 32 × 12 ft ₹5.18 L + plant and machinery ₹17.98 L (a ₹10 L cold store is the largest item) + utilities ₹0.80 L + other fixed assets ₹0.90 L + pre-operative ₹0.90 L + contingencies ₹1.20 L + working capital margin ₹2.64 L = ₹29.60 lakh.

Working capital: Working capital margin ₹2.64 L in the project cost; bank working capital ₹7.93 L in Year 2, ₹9.37 L in Year 3 and ₹12.78 L in Year 4.

Year not printed on the DPR (the PMFME scheme began in 2020) — check current machinery prices.

How to prepare a loan file

§8Export potential

Export council / board: APEDA

  • The DPR gives no export costing; an exporter needs an IEC and registration with the export body before shipping.

§9Risks — where people fail

  • Mould or insects in stored stock
  • Soil and pesticide residue failing a buyer's test
  • Fresh methi price rising above ₹8 a kg
  • Idle plant outside the season

§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 kasuri methi (dehydrated fenugreek leaves) unit 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 Kasuri Methi (Dehydrated Fenugreek Leaves) Unit?

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Sources

  1. NIFTEM-Thanjavur (IIFPT) PMFME model DPR — Dehydrated Fenugreek Leaves

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