§1What this business is
Multani mitti rocks are ground into fine powder, filtered to remove grit and stones, and packed in moisture-proof packs. The clay absorbs oil and dirt, so it is used in face packs, skin and hair care, medicines and handicrafts. The report says the clay is sourced from Barmer in Rajasthan and from the Multan region through sellers.
Capacity: 1,600 kg a day, 8-hour shift; the report starts at 40% capacity in year 1.
§2Is it right for you?
Who it is for
A trader with links to cosmetic brands, ayurvedic firms or wholesale markets.
Who it is not for
Someone who wants a brand-new, high-margin product.
Advantages
- Natural product with rural and urban demand
- Simple grind-sieve-pack process
- Many buyer types: beauty, pharma, handicraft
- Machines under ₹10 L
Drawbacks
- Raw clay comes from far away (Rajasthan)
- Low price per kg in loose trade
- Dust control needed
- Many small packers already
Skills you need
- Grinding and sieving control
- Moisture-proof packing
- Bulk and retail sales
- Sourcing clean clay
Why difficulty 2/5: Simple process; raw material sourcing and selling decide success.
§3Market
Who buys
- Skin-care and beauty brands, salons and spas
- Pharmaceutical and ayurvedic firms
- Handicraft makers
- Households
How it sells
- Wholesale markets
- Supply to brands in bulk
- Retail packs through shops and online
Good to know
- The report notes strong rural demand and steady urban demand.
§4Raw material & machinery
| Item | Qty | Cost |
|---|---|---|
| Multani mitti grinding machine | 1 | ₹3,70,000 |
| Filtering machine | 1 | ₹1,72,000 |
| Packaging machine | 1 | ₹2,10,000 |
| Other equipment | 1 lot | ₹50,000 |
From: PMEGP sample project report — Multani Mud (prepared by Udyami/Samadhan)
- Multani mitti rocksfrom sellers; the report names Barmer (Rajasthan) and the Multan region
- Waterused in processing
- Packing materialmust be dry and damp-proof
From: PMEGP sample project report — Multani Mud (prepared by Udyami/Samadhan)
§5Licences & registration
- Udyam
- GST
- State Pollution Control Board consent (grinding dust)
- Cosmetic manufacturing licence if you sell it as a face pack or beauty product
- Trademark for your brand
§6Schemes & subsidies
- PMEGPCentralActive15–35% subsidy
- MudraCentralActiveLoan up to ₹20 lakh, no collateral
- CGTMSECentralActiveNo collateral, up to ₹10 crore
PMEGP (this is a PMEGP sample report), MUDRA (bank finance ₹16.27 L) and CGTMSE fit.
§7Money
How the investment is worked out: PMEGP sample report: total ₹18.08 L = plant & machinery ₹9.46 L (₹8.02 L machines + ₹1.44 L GST) + other assets ₹1.20 L + furniture ₹0.70 L + working capital ₹6.72 L. Land and building rented (₹20,000 a month).
Working capital: Working capital ₹6.72 L (bank limit ₹6.05 L): 15 days of raw material, 10 days of finished goods and debtors.
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: DGFT
- If sold as a packaged face pack it may be classed as a cosmetic instead; check before exporting.
§9Risks — where people fail
- Freight cost of raw clay
- Impurities (grit) causing rejection
- Damp spoiling stock
- Price competition
§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 multani mitti (fuller's earth) powder 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 Multani Mitti (Fuller's Earth) Powder 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.