§1What this business is
Water is softened in a treatment plant; binder, pigments, fillers and additives are weighed and mixed in a high-speed mixer, milled, thinned, screened and filled into cans. The report plans 600 litres a day. Painters, hardware shops and builders are the buyers; national brands are the competition.
Capacity: 600 litres a day, 1,80,000 litres a year; the plan starts at 50% (90,000 litres).
§2Is it right for you?
Who it is for
Someone from the paint or hardware trade with a dealer network.
Who it is not for
Someone who expects to beat national brands on price alone.
Advantages
- Construction and repainting keep demand steady
- Simple mixing process
- Room for local brands in small towns
- Can add primers and distempers
Drawbacks
- Big brands dominate dealers
- Low net margin in the report
- Colour matching needs skill
- Chemical handling and pollution rules
Skills you need
- Paint formulation and testing
- Colour shade matching
- Dealer and painter relations
- Safe chemical storage
Why difficulty 3/5: The process is easy; selling against big brands is the hard part.
§3Market
Who buys
- Painters and contractors
- Hardware and paint shops
- Builders and institutions
How it sells
- Dealer network
- Direct supply to builders
- Government and institutional orders
Good to know
- The report notes a shift from whitewash to emulsions and enamels.
- Construction and infrastructure growth drives demand.
§4Raw material & machinery
| Item | Qty | Cost |
|---|---|---|
| Twin-shaft high-speed mixer (600 litres a day) | 1 | ₹7,00,000 |
| High-speed single-shaft stirrer (200 kg an hour) | 1 | ₹50,000 |
| Demineralised water treatment plant | 1 | ₹2,00,000 |
| Machinery cooling plant | 1 | ₹2,00,000 |
| Water dispenser | 1 | ₹1,00,000 |
| Other machines and equipment | 1 lot | ₹50,000 |
From: PMEGP sample project report — Paint mfg. (prepared by Udyami/Samadhan)
- Minerals and fillersaverage raw material about ₹50–55 a kg
- Binders (oils and resins)base of the paint film
- Pigmentsgive colour
- Chemicals, preservatives and wetting agentsadditives
From: PMEGP sample project report — Paint mfg. (prepared by Udyami/Samadhan)
Suppliers in Building Business Bazaar
MSME-Testing Centre (NR), New Delhi · New Delhi →MSME-Testing Centre (WR), Mumbai · Mumbai →MSME-Testing Centre (SR), Chennai · Chennai →MSME-Testing Centre (ER), Kolkata · Kolkata →MSME-Testing Centre, Ahmedabad · Ahmedabad →MSME-Testing Centre, Patna · Patna →MSME-Testing Centre, Dimapur · Dimapur →MSME-Testing Station, Hyderabad · Hyderabad →MSME-Testing Station, Bengaluru · Bengaluru →MSME-Testing Station, Ettumanur (Changanacherry) · Ettumanur →MSME-Testing Station, Bhopal · Bhopal →MSME-Testing Station, Kolhapur · Kolhapur →
§5Licences & registration
- Udyam registration
- GST registration
- NOC from the State Pollution Control Board (named in the report)
- Fire NOC where the local rules require it
- Legal Metrology packaged-commodity registration (for packed goods)
- Trademark for your brand name (optional)
§6Schemes & subsidies
- PMEGPCentralActive15–35% subsidy
- MudraCentralActiveLoan up to ₹20 lakh, no collateral
- CGTMSECentralActiveNo collateral, up to ₹10 crore
- Stand-Up IndiaCentralClosed₹10 lakh – ₹1 crore loan
PMEGP (the report was made for it), MUDRA for loans up to ₹20 lakh (the report's term loan is ₹15.30 lakh), CGTMSE for a collateral-free loan, Stand-Up India for SC/ST or women founders.
§7Money
How the investment is worked out: Sample report: shed 1,000 sq ft ₹3.00 L + plant & machinery ₹13.00 L + furniture ₹1.00 L + working capital ₹5.00 L = ₹22.00 L. Term loan ₹15.30 L, own ₹2.20 L, working-capital loan ₹4.50 L.
Working capital: Working capital ₹5.00 lakh (bank ₹4.50 lakh); raw material about ₹50–55 a kg.
Year not printed on the sample report — check current machinery prices.
§8Export potential
Confirm the HS code in the DGFT ITC(HS) lookup before you export
Export council / board: FIEO (Federation of Indian Export Organisations)
- HS heading from the ITC(HS) 2022 schedule; confirm the 8-digit line with DGFT or your customs broker.
- You need an Import Export Code (IEC) from DGFT before the first shipment.
§9Risks — where people fail
- Raw material price rises
- Dealer credit stuck
- Batch quality complaints
- Pollution compliance
§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 paint manufacturing 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 Paint Manufacturing?
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.
