§1What this business is

Large (black) cardamom grows in Sikkim, Arunachal Pradesh, Nagaland and the Darjeeling hills. Capsules are dried in a tray heater, the pods are broken and peeled, the seeds are ground in a pulveriser and the powder is sealed in pouches. The model unit makes 30 tonnes of powder a year (100 kg a day), buying cardamom at ₹150 a kg with 22.4% recovery and selling powder at ₹1,600 a kg.

Capacity: 30 tonnes of large cardamom powder a year (100 kg a day), 300 days of 8–10 hours; 55% use in year 2, 65% in year 3, 75% in year 4, 90% in year 5 and 100% from year 6.

§2Is it right for you?

Who it is for

A spice trader, grower group or FPO in Sikkim, north Bengal or the North-East with direct access to growers.

Who it is not for

Someone who cannot fund costly spice stock or judge cardamom quality.

Advantages

  • High-value spice: powder is taken at ₹1,600 a kg
  • Small machine set — dryer, pod breaker and pulveriser
  • Used in garam masala, biryani masala and pan masala blends

Drawbacks

  • Large cardamom prices swing sharply from year to year
  • Only 22.4% of the raw capsule becomes powder in the report
  • Ground spice loses aroma fast unless packed airtight

Skills you need

  • Grading and buying cardamom
  • Drying without losing aroma
  • Grinding and airtight packing
  • Selling to masala makers and wholesalers

Why difficulty 3/5: Easy to run; the skill lies in buying a volatile, high-priced spice well.

§3Market

Who buys

  • Masala and spice-blend makers
  • Wholesale spice traders
  • Hotels, caterers and households

How it sells

  • Spice wholesalers and mandis
  • Direct supply to masala makers
  • Retail packs through kirana shops and online

Good to know

  • The report takes the selling price at ₹1,600 a kg.
  • Projected sales ₹264.00 L in year 2 rising to ₹480.00 L in year 6.

§4Raw material & machinery

ItemQtyCost
Cold room (5,000 kg)1₹6 lakh
Tray heater (200 kg per batch)1₹2.9 lakh
Pod breaker-cum-peeler (50 kg per hour)1₹1.1 lakh
Pulveriser1₹1.4 lakh
Continuous sealing machine1₹0.25 lakh
Batch coding machine1₹0.12 lakh
Weighing balance1₹0.06 lakh
Accessories1₹0.5 lakh

From: NIFTEM-Thanjavur (IIFPT) PMFME model DPR — Large Cardamom Powder

  • Large cardamom capsules270 kg a day at 55% capacity, ₹150 a kg in the report; 22.4% recovery
  • Pouches and cartonspackaging ₹1.98 L in year 2

From: NIFTEM-Thanjavur (IIFPT) PMFME model DPR — Large Cardamom Powder

§5Licences & registration

  1. Udyam registration
  2. GST registration
  3. FSSAI licence
  4. Spices Board registration (CRES) if you export
  5. Trade licence from the local body

We can do this registration for you

Start it in your state

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§6Schemes & subsidies

Written as a PMFME model (35% subsidy up to ₹10 L); the report shows subsidy ₹9.98 L, own money ₹7.75 L and term loan ₹12.07 L. The project is within PMEGP's ₹50 L manufacturing ceiling.

§7Money

How the investment is worked out: Land and building ₹4.50 L + plant and machinery ₹12.33 L + utilities ₹0.80 L + other fixed assets ₹0.90 L + pre-operative ₹0.90 L + contingencies ₹1.20 L + working capital margin ₹9.17 L = ₹29.80 L.

Working capital: Current assets of ₹36.70 L are needed in year 2; bank finance ₹27.52 L and margin ₹9.17 L.

Year not printed on the DPR (the PMFME scheme began in 2020) — check current machinery prices.

How to prepare a loan file

§8Export potential

Export council / board: Spices Board

  • Cardamom is a scheduled spice; exporters need Spices Board registration (CRES).
  • HS code not checked against the DGFT ITC-HS list here — confirm the code before you ship.

§9Risks — where people fail

  • Sharp rises in raw cardamom prices
  • Adulteration charges if purity is not tested
  • Aroma loss in storage
  • Crop loss from disease in the growing hills

§1030 / 60 / 90-day plan

A general plan that applies to any business. A plan for this business will be added after research.

  1. Days 1–30: Visit a working large cardamom (badi elaichi) powder unit unit, ask 10 buyers about price and quantity, and get quotations from 3 suppliers.
  2. Days 31–60: Udyam and the licences you need (Udyam registration, GST registration), a project report (DPR), and the scheme or loan file.
  3. 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 Large Cardamom (Badi Elaichi) Powder Unit?

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Sources

  1. NIFTEM-Thanjavur (IIFPT) PMFME model DPR — Large Cardamom Powder

Data review: 6 October 2026. Spotted a mistake? Report it. For information only — not legal or financial advice.