§1What this business is

Positive and negative plates are stacked in the container with PVC separators, joined in parallel and the cells in series by soldering; terminals are cast with molten lead alloy, the top is sealed with bitumen and each battery is tested to IS 7372:1995. Plates are bought at first and can be made in-house later. Buyers are vehicle owners, workshops, and inverter and solar dealers.

Capacity: 7,500 batteries a year; year 1 at 60% (4,500).

§2Is it right for you?

Who it is for

Someone from the battery trade who can meet pollution, EPR and BIS rules.

Who it is not for

Anyone who cannot run a safe, licensed lead-handling workshop.

Advantages

  • Batteries are needed for vehicles, inverters, telecom and solar
  • Low machinery cost (₹3.01 L)
  • Large replacement market
  • Can move into plate-making later

Drawbacks

  • Gross margin is only about 11% in the report
  • Lead is toxic — strict pollution and waste rules
  • Big brands like Exide and Amara Raja dominate
  • Very high working capital

Skills you need

  • Battery assembly and lead burning
  • Testing and charging
  • Pollution and waste compliance
  • Dealer sales and warranty handling

Why difficulty 4/5: Hazardous material, heavy compliance and very high working capital.

§3Market

Who buys

  • Vehicle owners and workshops
  • Inverter and UPS users
  • Telecom and solar installers

How it sells

  • Battery dealers and auto-parts shops
  • Inverter and solar dealers
  • Direct supply to workshops

Good to know

  • The report puts the market at about ₹1,300 crore, growing 18–20% a year, with the automobile sector the largest user.
  • Big makers named: Exide, Amara Raja; many small units also recondition scrapped batteries.

§4Raw material & machinery

ItemQtyCost
Melting pot1₹10,000
Burner1₹10,000
Dies8₹16,000 (₹2,000 each)
Welding torch2₹6,000 (₹3,000 each)
LPG cylinder with regulator2₹10,000 (₹5,000 each)
Oxygen cylinder2₹50,000 (₹25,000 each)
Compressor1₹15,000
Battery tester2₹8,000 (₹4,000 each)
Resistance / capacity discharge tester1₹10,000
Hydrometer5₹3,000 (₹600 each)
Temperature meter1₹3,000
Battery charger1₹35,000
Moulds, die tools, jigs and fixturesLump sum₹50,000
ElectrificationLump sum₹75,000

From: PMEGP sample project report — Lead Acid Battery (prepared by Udyami/Samadhan)

  • Positive and negative lead platesbought from outside at first; the main raw material
  • Containers, top covers and PVC separator sheetsfor assembly
  • Lead alloymelted to cast terminals
  • Bitumen sealing compoundto seal the top cover

From: PMEGP sample project report — Lead Acid Battery (prepared by Udyami/Samadhan)

§5Licences & registration

  1. Udyam registration
  2. GST
  3. BIS certification to IS 7372 (the standard the report cites)
  4. State Pollution Control Board consent and hazardous-waste authorisation (lead)
  5. EPR registration with CPCB under the Battery Waste Management Rules, 2022
  6. Factory licence and fire NOC as required

We can do this registration for you

§6Schemes & subsidies

PMEGP fits (₹25 L manufacturing project); CGTMSE for collateral-free loans; Stand-Up India for SC/ST or women owners.

§7Money

How the investment is worked out: Samadhan report: building & civil work (2,000 sq ft) ₹5.00 L, plant & machinery ₹3.01 L, furniture ₹0.95 L, pre-operative ₹0.84 L, working capital ₹15.20 L = ₹25.00 L.

Working capital: Working capital ₹15.20 L (bank ₹13.68 L) — plates make up most of the cost: raw material ₹144.95 L against ₹165.02 L sales in year 1.

Year not printed on the report — check current machinery prices.

How to prepare a loan file

§8Export potential

Confirm the HS code in the DGFT ITC(HS) lookup before you export

8507 10Lead-acid accumulators of a kind used for starting piston engines8507 20Other lead-acid accumulators

Export council / board: EEPC India

  • EEPC India covers electrical and engineering goods.
  • Shipping lead-acid batteries follows dangerous-goods packing rules.

§9Risks — where people fail

  • Lead exposure and pollution penalties
  • Lead price swings
  • Warranty claims
  • Competition from brands and the unorganised sector

§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 lead acid battery assembly 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), 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

Not verified yet

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 Lead Acid Battery Assembly?

DPR, loan file or registration — ask us on WhatsApp.

Get a DPR / loan file made

Sources

  1. PMEGP sample project report — Lead Acid Battery (prepared by Udyami/Samadhan)

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