§1What this business is
Lac is melted with rosin and titanium powder, worked by hand over a charcoal stove, wrapped on bangle rings and polished. KVIC says the technology is simple, the unit can run anywhere in rural areas, and rural markets buy more than urban ones.
Capacity: 12,000 a year (the profile says 'Nos.'), costed at ₹27 each.
§2Is it right for you?
Who it is for
Artisan families and women's self-help groups in lac-growing or bangle-making areas.
Who it is not for
Someone looking for a full-time income from a single small unit.
Advantages
- Very low investment (₹1.19 L)
- Simple hand process that families can learn
- Bangles are bought for festivals and weddings
- Can run from a village home-shed
Drawbacks
- Small income in the profile (₹68,000 a year at full capacity)
- Fashion changes quickly
- Hand work limits output
- Glass and metal bangles compete
Skills you need
- Working hot lac by hand
- Design and colour sense
- Polishing and finishing
- Selling at haats and fairs
Why difficulty 1/5: Tiny investment and a simple hand process.
§3Market
Who buys
- Women, mostly in rural areas
- Bangle shops
- Buyers at fairs and festivals
How it sells
- Local bangle and cosmetic shops
- Weekly haats and fairs
- Handicraft exhibitions
Good to know
- KVIC says the rural market for lac bangles is larger than the urban one.
- The profile sells the year's output for ₹4.00 lakh.
§4Raw material & machinery
| Item | Qty | Cost |
|---|---|---|
| Charcoal stove, scissors, tongs, kalgooti, thin iron rod, iron disc, iron plate, pots and wooden roller | 1 set | ₹5,000 |
From: KVIC Project Profile — Lac Bangles Manufacturing Unit (PMEGP)
- Bangle rings, lac, titanium powder, rosin and polish₹2.00 lakh a year in the profile
- Labels and packing material₹2,000 a year in the profile
From: KVIC Project Profile — Lac Bangles Manufacturing Unit (PMEGP)
In our raw material database
§5Licences & registration
- Udyam registration
- GST once turnover crosses the threshold
- Artisan card from the Development Commissioner (Handicrafts) — helps at fairs and with schemes
§6Schemes & subsidies
- PMEGPCentralActive15–35% subsidy
- MudraCentralActiveLoan up to ₹20 lakh, no collateral
- CM YUVAUPActiveUp to ₹5 lakh, interest-free
PMEGP covers projects this small; MUDRA Shishu loans fit; in UP, CM-YUVA covers projects up to ₹5 L.
§7Money
How the investment is worked out: KVIC profile: building shed 300 sq ft ₹60,000 + equipment ₹5,000 (charcoal stove, scissors, tongs, kalgooti, iron rod, disc and plate, pots, wooden roller) + working capital ₹54,000 = ₹1.19 L. Own land.
Working capital: Working capital ₹54,000; raw material ₹2.00 L a year.
Year not printed on the KVIC profile — check current machinery prices. The profile was written for the Gramodyog Rozgar Yojana, the KVIC scheme that came before PMEGP.
§8Export potential
Confirm the HS code in the DGFT ITC(HS) lookup before you export
Export council / board: EPCH
- EPCH (Export Promotion Council for Handicrafts) covers handmade fashion jewellery.
- Exports need an IEC from DGFT.
§9Risks — where people fail
- Lac price swings
- Unsold stock when fashions change
- Burns from hot lac and charcoal
- Low bargaining power with traders
§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 lac bangle making 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 once turnover crosses the threshold), 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 Lac Bangle Making?
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.