§1What this business is
Fresh mogra (jasmine) petals are soaked and heated in a water-distillation still; the vapour is cooled in a condenser and the oil that floats on the water is separated, filtered and filled. The floral water left behind (hydrosol) is a by-product. Buyers are perfume, cosmetic, skin-care and aromatherapy businesses.
Capacity: 40 litres of mogra oil a day (semi-automatic plant); the report starts at 20% capacity in year 1.
§2Is it right for you?
Who it is for
A grower or trader in a mogra-growing area who can buy fresh flowers every morning and has links with perfume or cosmetic buyers.
Who it is not for
Someone far from flower farms or without a buyer lined up for the oil.
Advantages
- Uses a flower already grown widely in India
- Hydrosol (floral water) is a second product
- Small team of 6 people
- Low break-even in the report (12%)
Drawbacks
- Flowers cost almost as much as the oil sells for — thin margin
- Mogra flowers are seasonal and spoil within hours
- Buyers test every lot for purity
- Large working capital for flower buying
Skills you need
- Running a distillation still
- Judging flower freshness and oil quality
- Selling to perfume and cosmetic firms
- Cash management in the flower season
Why difficulty 3/5: Simple process, but margins depend on fresh flowers and finding steady oil buyers.
§3Market
Who buys
- Perfume and fragrance makers
- Cosmetic and skin-care brands
- Aromatherapy and wellness businesses
How it sells
- Direct supply to manufacturers
- Essential-oil traders
Good to know
- The report lists uses in skin care, wound healing and aromatherapy.
- Buyers test oil quality lot by lot.
§4Raw material & machinery
| Item | Qty | Cost |
|---|---|---|
| Oil extraction plant (water distillation) | 1 | ₹10,50,000 |
| Oil filling machine | 1 | ₹4,00,000 |
From: PMEGP sample project report — Mogra Oil (prepared by Udyami/Samadhan)
- Fresh mogra flowersthe main raw material; sorted and stored clean before distillation
- Packing material (bottles, containers)oil is filled by an automatic filling machine
From: PMEGP sample project report — Mogra Oil (prepared by Udyami/Samadhan)
§5Licences & registration
- Udyam
- GST
- Company or firm registration
- BIS certification (listed in the report)
- Trademark for your brand
- State Pollution Control Board consent
§6Schemes & subsidies
PMEGP (this is a PMEGP sample report) and CGTMSE fit. Bank finance here is ₹22.37 L, above the MUDRA ₹20 L limit.
§7Money
How the investment is worked out: PMEGP sample report: total ₹24.86 L = plant & machinery ₹14.50 L (oil extraction plant ₹10.50 L, filling machine ₹4.00 L) + other assets ₹2.00 L + working capital ₹8.36 L. Land and building not included — premises rented at about ₹10,000 a month.
Working capital: Working capital ₹8.36 L (bank limit ₹7.52 L) — flowers are the biggest cost: ₹132.00 L of raw material against ₹150.48 L of sales in year 1.
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: CHEMEXCIL
- Check the ITC(HS) export policy for the exact 8-digit line before shipping.
§9Risks — where people fail
- Poor flower season or price spikes
- Adulteration claims from buyers
- Low oil yield from stale flowers
- Price swings in the essential-oil trade
§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 mogra (jasmine) essential oil 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, GST), 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 Mogra (Jasmine) Essential Oil 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.