§1What this business is
A lubricator is a device that delivers a controlled amount of oil or grease to bearings, air tools, cylinders and other moving parts so they do not wear out early. Types include pneumatic (compressed-air) lubricators, single-point lubricators, manual lubricators and automatic electronic lubricators; the report is built around the automatic type. The unit cuts and machines the metal parts on a lathe, welds and rivets the body, fits bought-out parts such as the filter, container, valve, flow meter, motor, springs and hose, and paints, tests and packs the unit. The report plans about 1,200 lubricators a year at an average price of ₹20,000 each.
Capacity: About 1,200 lubricators a year of various types and sizes (100 a month), at three-quarters of full capacity.
§2Is it right for you?
Who it is for
A mechanical or electrical diploma holder or engineer with machine-design sense and contacts in factory maintenance.
Who it is not for
Someone who cannot do industrial selling or give after-sales service at the customer's plant.
Advantages
- Machinery costs only ₹11 L and the shed is rented
- Every factory with bearings or air tools is a possible buyer
- Imports of about ₹63 crore in 2019-20 show room for local makers
- Repeat sales come from refills, spares and service
Drawbacks
- Most of the value is bought-out parts, ₹10,000 a unit
- Working capital of about ₹47 L is needed for 3 months
- Each industry wants a different size and type, so runs are small
- Buyers trust imported and established brands
Skills you need
- Turning, welding and fitting
- Assembly of pneumatic and lubrication parts
- Reading drawings and designing to the customer's need
- Industrial sales and service
Why difficulty 3/5: Light machinery, but the product must be engineered for each buyer and sold to industry.
§3Market
Who buys
- Steel, oil and gas, automobile and textile plants
- Machine-tool, pump, compressor and valve makers
- Railways, shipbuilding, power and defence units
- Packaging and consumer-goods factories
How it sells
- Direct sales to factory maintenance departments
- Supply to machine builders as original equipment
- Industrial and hydro-pneumatic dealers
Good to know
- The report uses an average price of ₹20,000 a lubricator and says the price depends on type, size and precision.
- It says most makers are in Maharashtra, Gujarat, Karnataka, Andhra Pradesh and Tamil Nadu.
- Finance in the report: promoter's contribution ₹17,39,400 and bank loan ₹40,58,600 (70%).
§4Raw material & machinery
| Item | Qty | Cost |
|---|---|---|
| Lathe machine | 1 | ₹2,50,000 |
| Riveting machine | 1 | ₹1,20,000 |
| MIG and arc welding machine | 1 | ₹60,000 |
| Power hacksaw metal-cutting machine, 1 HP | 1 | ₹40,000 |
| Weighing machines | 2 | ₹15,000 |
| Cut-off machine | 1 | ₹12,000 |
| Compressor with spray gun for painting | 1 | ₹12,000 |
| Hand grinding machines | 2 | ₹9,000 |
| Bench grinding machine | 1 | ₹8,000 |
| Hand press machine | 1 | ₹8,000 |
| Hand drill machines | 2 | ₹6,000 |
| Surface plates, tool holders, vices, tools and dies, jigs and fixtures, measuring instruments and gauges | 1 lot | ₹2,50,000 |
| Work tables, storage racks, trolleys, office furniture and electrical fittings | 1 lot | ₹2,00,000 |
| Computer, printer and software | 1 set | ₹80,000 |
From: DC-MSME import-substitution DPR — Lubricators (2021)
- Mild steel, stainless steel, brass and aluminium sections, rods, bars and PVC materialabout 500 kg a month at an average ₹400 a kg = ₹2,00,000
- Bought-out items: filter, container, valve, flow meter, washer, motor, screws, springs, fasteners, hose pipe and accessories₹10,000 a unit for 100 units a month = ₹10,00,000
- Primers, paints and packaging materials₹1,000 a unit = ₹1,00,000 a month
From: DC-MSME import-substitution DPR — Lubricators (2021)
§5Licences & registration
- Udyam registration
- GST registration
- Factory approval and ESI and PF registration as the workforce grows
- Trade licence from the local body
- Importer-Exporter Code if you export
Start it in your state
Pick your state: today’s cost, central + state subsidy, raw material, land and help, on one page.
§6Schemes & subsidies
At ₹57.98 lakh the project is above PMEGP's ₹50 lakh ceiling for manufacturing. CGTMSE can back the ₹40.59 L bank loan in the report without collateral.
§7Money
How the investment is worked out: Machinery and equipment ₹11,00,000 (lathe, cutting, grinding, welding, riveting and painting machines, tools and gauges, work tables and furniture, computer) + working capital for 3 months ₹46,98,000 = ₹57,98,000. The building is rented at ₹12,000 a month.
Working capital: Recurring cost is ₹15,66,000 a month, of which bought-out parts and materials are ₹13,00,000; the report provides for 3 months, ₹46,98,000 — more than four times the machinery cost.
Prices from 2021 — check current machinery and component prices.
§8Export potential
Confirm the HS code in the DGFT ITC(HS) lookup before you export
- The report uses HSN 84678910 (compressed-air grease guns, lubricators and similar appliances).
- Imports were ₹48.90 crore in 2017-18, ₹62.49 crore in 2018-19 and ₹63.34 crore in 2019-20; exports were ₹4.53 crore and ₹3.51 crore in the first two years.
§9Risks — where people fail
- A lubricator that fails can damage the customer's bearings
- Slow payment from industrial buyers
- Dependence on bought-out valves, motors and filters
- Low-priced imported units
§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 industrial lubricators (automatic oil and grease feeders) 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 Industrial Lubricators (Automatic Oil and Grease Feeders)?
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.