§1What this business is
Gypsum is ground, roasted in a rotary calciner and mixed into a slurry that is cast into boards on marble-top tables with fibre reinforcement. The boards are used for false ceilings and interior partition walls. Buyers are interior contractors, builders and building-material dealers.
Capacity: 1 tonne of board a day, 300 tonnes a year at 300 working days; year 1 runs at 50% (150 tonnes).
§2Is it right for you?
Who it is for
Someone already selling building material or doing interior contracts, with buyers ready.
Who it is not for
Someone with no link to builders or interior contractors.
Advantages
- Steady demand from false-ceiling and interior work in towns
- Simple process with locally made machines
- Gypsum is available in bulk from mineral suppliers
- Low power need (10 HP)
Drawbacks
- Large branded board makers dominate the market
- Boards are bulky and break easily in transport
- Year 1 profit is thin (₹0.91 L)
- Quality must match what contractors expect from branded boards
Skills you need
- Calcining and slurry control
- Board casting and drying
- Selling to contractors and dealers
- Quality testing (strength, moisture)
Why difficulty 3/5: Simple process, but selling against branded boards is hard.
§3Market
Who buys
- Interior and false-ceiling contractors
- Builders of homes, offices and shops
- Building-material dealers
How it sells
- Direct supply to contractors
- Dealers in hardware and building material
Good to know
- The report prices board at ₹32,500 a tonne in year 1, rising each year.
- Boards are used for interior walls and ceilings and as a fire barrier.
§4Raw material & machinery
| Item | Qty | Cost |
|---|---|---|
| 45 cm attrition-type disc pulveriser with 7 HP motor | 1 | ₹3,60,000 |
| Rotary drum calciner, 2.5 m long, 2 m dia, with coal-fired roasting oven | 1 | ₹5,00,000 |
| Platform weighing balance, 100 kg | 1 | ₹25,000 |
| Marble-top casting tables | 6 | ₹1,50,000 (₹25,000 each) |
| Moulds, hand tools, slurry-making tank | 1 lot | ₹1,00,000 |
| Testing equipment | 1 lot | ₹75,000 |
From: PMEGP sample project report — Gypsum Plaster Board (prepared by Udyami/Samadhan)
- Gypsum1,200 tonnes a year at full capacity, ₹2,250 a tonne in the report
- Reinforcement (fibre)₹5.00 L a year lump sum at full capacity
- Packaging material₹15.00 L a year lump sum at full capacity
From: PMEGP sample project report — Gypsum Plaster Board (prepared by Udyami/Samadhan)
In our raw material database
§5Licences & registration
- Udyam
- GST
- State pollution board consent (dust from grinding and calcining)
- Factory licence if workers cross the limit
- BIS IS 2095 marking if buyers ask for it
§6Schemes & subsidies
- PMEGPCentralActive15–35% subsidy
- MudraCentralActiveLoan up to ₹20 lakh, no collateral
- CGTMSECentralActiveNo collateral, up to ₹10 crore
- Stand-Up IndiaCentralClosed₹10 lakh – ₹1 crore loan
₹24.29 L manufacturing project fits PMEGP (up to ₹50 L) and CGTMSE; MUDRA covers up to ₹20 L; Stand-Up India suits SC/ST or women founders.
§7Money
How the investment is worked out: Report cost of project ₹24.29 L: building/shed 1,500 sq ft ₹5.00 L, plant & machinery ₹12.10 L, furniture ₹0.75 L, working capital ₹6.44 L. Finance: term loan ₹16.07 L, own ₹2.43 L, working-capital loan ₹5.80 L.
Working capital: Working capital ₹6.44 L (bank CC ₹5.80 L) — 30 days of raw material and 10 days of finished boards.
Year not printed on the report — check current machinery prices.
§8Export potential
The report covers the home market only; it does not discuss export.
§9Risks — where people fail
- Competition from large branded boards
- Breakage in storage and transport
- Gypsum price changes
- Slow payment from contractors
§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 gypsum plaster board unit unit, ask 10 buyers about price and quantity, and get quotations from 3 suppliers.
- Days 31–60: Udyam and the licences you need (Udyam, GST), 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 Gypsum Plaster Board 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.