§1What this business is
Cleaned wheat, gram dal and edible groundnut cake are roasted and ground; jaggery is mixed with calcium carbonate and flour in a multi-mill; vitamins and minerals are added and the mix is packed. A typical mix is 60% wheat flour, 10% gram dal, 10% groundnut cake and 15–16% jaggery. The technology comes from CFTRI and suits rural and semi-urban buyers who cannot afford costly brands.
Capacity: 1 tonne a day, 300 tonnes a year at full capacity (the text elsewhere says 200 tonnes); first year at 60% — 171 tonnes after 5% wastage — sold at ₹80,000 a tonne for ₹129.96 lakh.
§2Is it right for you?
Who it is for
Someone from the flour or food trade who can reach rural shops or institutional buyers.
Who it is not for
Someone without working capital to buy grain in season.
Advantages
- Local, cheap raw materials
- Simple process with Indian machines
- Large rural and semi-urban market for low-cost nutrition
- Can supply nutrition programmes and institutions
Drawbacks
- Raw material is over 80% of sales — thin gross margin
- Large working capital for wheat stock
- Food safety testing and labelling rules
- Branded health drinks and mixes compete
Skills you need
- Roasting and grinding control
- Food safety and hygiene
- Grain buying
- Rural distribution
Why difficulty 2/5: Simple process; the challenge is a thin margin and food-safety discipline.
§3Market
Who buys
- Rural and semi-urban families
- Children's and elderly nutrition buyers
- Institutions and nutrition programmes
How it sells
- Kirana and general stores
- Distributors in small towns
- Institutional supply
Good to know
- The report says branded energy foods target cities and are beyond the reach of rural and semi-urban people, leaving a large low-price market.
§4Raw material & machinery
| Item | Qty | Cost |
|---|---|---|
| Electrically operated roaster | 1 | ₹2,50,000 |
| Hammer mill | 1 | ₹82,000 |
| Multi-mill | 1 | ₹65,000 |
| Homogeniser | 1 | ₹95,000 |
| Sieves and SS utensils | 1 lot | ₹50,000 |
| Weighing scales | 1 | ₹20,000 |
| Installation and electrification | 1 lot | ₹38,000 |
From: PMEGP sample project report — Energy Foods (prepared by Udyami/Samadhan)
- Wheatthe main material; buy in bulk in advance
- Gram dal and edible groundnut cakeabout 10% each of the mix
- Jaggery and calcium carbonatejaggery about 15–16% of the mix
- Vitamin and mineral premix
- Printed polythene bags and cartonsraw and packing material ₹60,000 a tonne; ₹180 lakh a year at full capacity
From: PMEGP sample project report — Energy Foods (prepared by Udyami/Samadhan)
§5Licences & registration
- FSSAI licence
- Udyam registration
- GST registration
- Legal Metrology registration for pre-packed goods
§6Schemes & subsidies
- PMEGPCentralActive15–35% subsidy
- PMFMECentralUnclear35% subsidy, up to ₹10 lakh
- MudraCentralActiveLoan up to ₹20 lakh, no collateral
- CGTMSECentralActiveNo collateral, up to ₹10 crore
PMEGP fits (the report was made for it); PMFME gives a 35% subsidy for food processing; MUDRA up to ₹20 lakh; CGTMSE for a collateral-free loan.
§7Money
How the investment is worked out: Building & civil work ₹3.00 lakh, plant & machinery ₹6.00 lakh, furniture ₹0.73 lakh, pre-operative ₹0.50 lakh, working capital ₹11.97 lakh = ₹22.20 lakh.
Working capital: Working capital ₹11.97 lakh (bank finance ₹10.77 lakh) — wheat must be bought in bulk in advance.
Year not printed on the report — check current machinery prices.
§8Export potential
The project report gives no HS code — find the right 8-digit ITC(HS) code on the DGFT website before you export.
§9Risks — where people fail
- Wheat and pulse price rises
- Rancidity of groundnut cake (aflatoxin)
- Food recall or failed lab test
- Slow sales in a crowded market
§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 energy food (roasted cereal–pulse mix) unit unit, ask 10 buyers about price and quantity, and get quotations from 3 suppliers.
- Days 31–60: Udyam and the licences you need (FSSAI licence, Udyam 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
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 Energy Food (Roasted Cereal–Pulse Mix) Unit?
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.
