§1What this business is
Gaura stone is a soft, bright stone found around Gaurahari in Mahoba district (UP). Blocks are cut, shaped with power drills and die grinders, polished on buffing machines and finished with red oxide. The report plans flower vases and decorative showpieces for gift shops, handicraft traders and exporters.
Capacity: 25 flower vases and 40 showpieces a day; 55% capacity in year 1; 10-hour shift.
§2Is it right for you?
Who it is for
A karigar family or craft entrepreneur in the Mahoba–Bundelkhand area with access to stone and buyers.
Who it is not for
Someone far from the stone source or without carving skill.
Advantages
- A known regional craft with a story buyers value
- Small machine cost (₹2.90 L)
- Hand skill, not heavy machinery, adds the value
- Fits handicraft and ODOP-type promotion
Drawbacks
- Gaura stone mining has been restricted, so supply is uncertain
- Few trained karigars are left (the report says about 10 remain)
- Raw material is about two-thirds of the cost
- Stone dust needs control
Skills you need
- Stone carving and polishing
- Design that suits gift and décor buyers
- Sourcing legal stone
- Selling at fairs, to traders and online
Why difficulty 3/5: Skill and stone supply are the hard parts, not money.
§3Market
Who buys
- Gift and home-décor shops
- Handicraft traders and emporia
- Exporters of stone craft
How it sells
- Handicraft fairs and exhibitions
- Traders in bigger cities
- Exporters and online craft stores
Good to know
- The report says the Gaurahari artisan community fell from about 200 to about 10 after the village mines closed.
- It cites a state estimate that UP contributes 44% of India's handicraft exports.
§4Raw material & machinery
| Item | Qty | Cost |
|---|---|---|
| Stone cutter | 1 | ₹1,40,000 |
| Buffing machine | 2 | ₹70,000 |
| Stone power drill | 2 | ₹30,000 |
| Die grinder | 2 | ₹20,000 |
| Other tools and equipment | 1 lot | ₹30,000 |
From: PMEGP sample project report — Gaurastone Handicraft (prepared by Udyami/Samadhan)
- Gaura stonethe main raw material; mined around Gaurahari, Mahoba
- Red oxidefor finishing
- Consumables — compass, pencil and similarfor marking designs
From: PMEGP sample project report — Gaurastone Handicraft (prepared by Udyami/Samadhan)
In our raw material database
§5Licences & registration
- Udyam registration
- GST registration
- Artisan card (handicraft scheme benefits)
- Proof that the stone is bought from a legal source
- State Pollution Control Board consent if required for dust
§6Schemes & subsidies
- PMEGPCentralActive15–35% subsidy
- MudraCentralActiveLoan up to ₹20 lakh, no collateral
- CGTMSECentralActiveNo collateral, up to ₹10 crore
PMEGP fits; MUDRA for smaller loans; CGTMSE for collateral-free credit.
§7Money
How the investment is worked out: Samadhan report: plant & machinery ₹2.90 L, civil work ₹4.00 L, furniture ₹0.30 L, working capital ₹3.27 L = ₹10.47 L. Land own or rented.
Working capital: Working capital ₹3.27 L (bank ₹2.94 L); 15 days' stock and 15 days' credit to buyers.
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: EPCH (Export Promotion Council for Handicrafts)
- HS codes are from the WCO HS 2022 list; confirm the 8-digit ITC(HS) line with DGFT or your customs broker.
- You need an Import Export Code (IEC) from DGFT before the first shipment.
§9Risks — where people fail
- Stone supply stops because of mining rules
- Breakage in carving and transport
- Slow sales outside the festive season
- Dust-related health issues
§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 gaura stone handicraft 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
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 Gaura Stone Handicraft?
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.