§1What this business is
Japanese mint (Mentha arvensis) is grown widely in north India and distilled into mint oil. The unit filters the oil, chills it in a chilling plant so menthol crystallises, separates the crystals in a centrifuge and dries them. The leftover dementholised oil (DMO) is a by-product. Menthol is used in toothpaste, cough syrups, sweets, pan masala, chewing gum and pain balms.
Capacity: 30 kg of menthol crystals a day, 9,000 kg a year at full capacity; year 1 at 60% (5,400 kg) plus 1,350 kg of dementholised oil.
§2Is it right for you?
Who it is for
Someone in a mint-growing belt who knows the mint oil trade and its buyers.
Who it is not for
Someone far from mint-growing areas or without capital to stock oil at harvest.
Advantages
- Mint oil is grown and sold in large volumes in north India
- Steady demand from pharma, oral-care and confectionery makers
- By-product (DMO) also sells
- Simple chilling and centrifuge process
Drawbacks
- Mint oil prices swing with the crop and with synthetic menthol
- Raw material is about 55% of sales and must be bought in season
- Repair and maintenance costs are high in the report
- Buyers test purity strictly
Skills you need
- Judging mint oil quality
- Running chilling and centrifuge equipment
- Purity testing
- Selling to aroma and pharma buyers
Why difficulty 3/5: The process is simple, but profit depends on trading mint oil well.
§3Market
Who buys
- Toothpaste and oral-care makers
- Pharma companies (cough syrups, balms)
- Confectionery, chewing gum and pan masala makers
How it sells
- Mint oil and menthol traders
- Direct supply to manufacturers
- Exporters
Good to know
- The report says India is the second-largest producer of mint and its derivatives and exports them worldwide.
§4Raw material & machinery
| Item | Qty | Cost |
|---|---|---|
| Chilling plant, 492 litre | 12 | ₹9,00,000 |
| Heavy-duty centrifuge, 1,200 rpm | 4 | ₹3,00,000 |
| SS reaction vessel with stirrer, 400 kg | 6 | ₹6,00,000 |
| Dryer, 100 kg, 12 trays with thermostat | 2 | ₹6,00,000 |
| Vacuum filter | 4 | ₹2,00,000 |
| SS storage trays | 24 | ₹2,40,000 |
| Other machines and equipment | lot | ₹1,00,000 |
From: PMEGP sample project report — Menthol crystal Unit (prepared by Udyami/Samadhan)
- Mint oil (Mentha arvensis)22,500 kg a year at full capacity, ₹400 a kg; bought from farmers or brokers
- Chemicals and other consumables₹5.00 lakh a year (lump sum)
- Packing material₹3.00 lakh a year (lump sum)
From: PMEGP sample project report — Menthol crystal Unit (prepared by Udyami/Samadhan)
Suppliers in Building Business Bazaar
A. R. Packaging Systems Ltd · Hyderabad →Adair Dut and Co India Pvt Ltd · Delhi →Anup Engineering Ltd · Ahmedabad →Blue Star Limited · Gurugram →Chemida (India) · Mumbai →Fric India Ltd · Delhi →Hind Hungh Caccum Co. Pvt Ltd · Bengaluru →Jindal Refrigeration · Delhi →Sandeep Instruments and Chemicals · Delhi →Valcan Laval Ltd · Pune →Wisdoms Scientific Works · Delhi →
§5Licences & registration
- Udyam registration
- GST registration
- State pollution control board NOC
- Trademark for your brand (if needed)
§6Schemes & subsidies
- PMEGPCentralActive15–35% subsidy
- CGTMSECentralActiveNo collateral, up to ₹10 crore
- Stand-Up IndiaCentralClosed₹10 lakh – ₹1 crore loan
PMEGP (the report is a PMEGP sample), CGTMSE for loans without collateral, and Stand-Up India for SC/ST and women founders.
§7Money
How the investment is worked out: Report: plant & machinery ₹29.40 lakh, furniture ₹1.60 lakh, working capital ₹5.56 lakh = ₹36.56 lakh. Land own or rented (not costed).
Working capital: Working capital ₹5.56 lakh, of which bank finance ₹5.00 lakh; 10 days of raw material and 10 days of finished stock.
Year not printed on the report — check current machinery prices.
§8Export potential
Confirm the HS code in the DGFT ITC(HS) lookup before you export
Export council / board: Spices Board India
- Confirm the 8-digit ITC(HS) line with DGFT or your customs broker.
- You need an Import Export Code (IEC) from DGFT before the first shipment.
§9Risks — where people fail
- Crash in mint oil or menthol prices
- Competition from synthetic menthol
- Poor crop year
- Adulterated oil from suppliers
§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 menthol crystal 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 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
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 Menthol Crystal 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.