§1What this business is
Gypsum is washed, sun-dried and pulverised, then heated in a rotary drum calciner (160–180 °C for about 2 hours) using light diesel oil, firewood or coal, so that part of its water is driven off. The cooled powder is sieved through 150 mesh and packed in airtight, polythene-lined bags. POP is used in construction, ceramic moulds, toys and statues, chalk, ceiling boards and orthopaedic casts.
Capacity: KVIC small: 900 MT a year. Samadhan: 3 MT a day, 900 MT a year at full output (1,200 MT gypsum at 75% recovery); year 1 sales at ₹10,000 a MT.
§2Is it right for you?
Who it is for
Someone near a gypsum source or a large construction or ceramic market.
Who it is not for
Someone far from both gypsum supply and buyers — freight eats the margin.
Advantages
- Simple process: wash, dry, grind, calcine, sieve
- Gypsum is the only main raw material
- Many uses — building, ceramics, moulds, statues, chalk, boards, hospitals
- Can start at ₹4 L and grow to ₹25 L
Drawbacks
- Dust and fuel smoke need pollution control
- The powder takes up moisture — needs airtight bags
- Price competition from large gypsum companies
- Gypsum may have to come from far away
Skills you need
- Calcining temperature control (160–180 °C)
- Grinding and 150-mesh sieving
- Bulk sales to contractors and ceramic units
- Moisture-proof packing
Why difficulty 2/5: Simple, well-known process; dust control and freight are the main issues.
§3Market
Who buys
- Building and interior contractors
- Ceramic units (moulds and models)
- Toy, statue and chalk makers; ceiling-board makers
- Hospitals and dental labs (orthopaedic plaster)
How it sells
- Hardware and building-material dealers
- Direct supply to factories and contractors
Good to know
- The Samadhan report says the technology is available locally and from CBRI Roorkee.
§4Raw material & machinery
| Item | Qty | Cost |
|---|---|---|
| Rotary cylindrical drum calciner, 2 MT (fabricated), with ½ MT/hr disc pulveriser and 7 HP motor, erection 10%, office equipment (KVIC small, total) | — | ₹1,68,000 |
| Attrition disc pulveriser ½ MT/hr with 7 HP motor and accessories | 1 | ₹3,60,000 |
| Rotary drum calciner 2.5 m × 2 m, 4 MT a charge, on a fuel-fired brick oven with chimney | 1 | ₹5,00,000 |
| Burners and other equipment | 1 | ₹1,50,000 |
| Big drum calciner and 3 MT/hr disc pulveriser with 10 HP motor (KVIC B-type, total) | — | ₹6,00,000 |
From: KVIC Project Profile — Plaster of Paris (PMEGP) · PMEGP sample project report — Plaster of Paris (prepared by Udyami/Samadhan) · KVIC Project Profile — Plaster of Paris (B type) (PMEGP)
- Gypsum (natural, marine, dried or phospho-gypsum)Samadhan: 1,200 MT a year at ₹2,250 a MT; KVIC small: raw material ₹5.10 lakh a year
- Fuel: light diesel oil, firewood or coalfor the calciner
- Polythene-lined gunny bagsairtight packing
From: PMEGP sample project report — Plaster of Paris (prepared by Udyami/Samadhan)
Suppliers in Building Business Bazaar
Amic Industries (P) Ltd · Kolkata →Andhra Pradesh Mining Corporation · Hyderabad →Continental Thermal Engineers · Bengaluru →Durgapur Engineering Co. Ltd · Kolkata →Mysore Minerals Ltd · Bengaluru →TAMIN · Chennai →Wesman Engineers Co. (P) Ltd · Kolkata →
In our raw material database
§5Licences & registration
- Udyam
- GST
- State Pollution Control Board consent (calcining and dust)
§6Schemes & subsidies
- PMEGPCentralActive15–35% subsidy
- MudraCentralActiveLoan up to ₹20 lakh, no collateral
- CM YUVAUPActiveUp to ₹5 lakh, interest-free
- CGTMSECentralActiveNo collateral, up to ₹10 crore
PMEGP (all three are PMEGP profiles); MUDRA up to ₹20 L; CM-YUVA (UP, up to ₹5 L) fits the ₹4.13 L small unit; CGTMSE for collateral-free credit.
§7Money
How the investment is worked out: KVIC (small): equipment ₹1.68 L (2 MT rotary drum calciner, ½ MT/hr disc pulveriser with 7 HP motor, erection 10%, office equipment) + working capital ₹2.45 L = ₹4.13 L. KVIC B-type: 1,000 sq ft shed ₹2.00 L, equipment ₹6.00 L, working capital ₹5.50 L = ₹13.50 L. Samadhan: building 2,500 sq ft ₹3.50 L, plant & machinery ₹10.10 L, furniture ₹0.67 L, pre-operative ₹0.50 L, working capital ₹10.23 L = ₹25.00 L.
Working capital: ₹2.45 L (KVIC small), ₹5.50 L (KVIC B-type), ₹10.23 L (Samadhan, bank ₹9.20 L).
Year not printed on the KVIC profile — check current machinery prices.
§8Export potential
Confirm the HS code in the DGFT ITC(HS) lookup before you export
Export council / board: CAPEXIL
- HS codes are from the WCO HS 2022 list; 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
- Gypsum price and supply
- Fuel cost
- Moisture spoilage
- Construction slowdown
§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 plaster of paris 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, 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 Plaster of Paris Manufacturing?
DPR, loan file or registration — ask us on WhatsApp.
¶Sources
- KVIC Project Profile — Plaster of Paris (PMEGP)
- PMEGP sample project report — Plaster of Paris (prepared by Udyami/Samadhan)
- KVIC Project Profile — Plaster of Paris (B type) (PMEGP)
Data review: 6 October 2026. Spotted a mistake? Report it. For information only — not legal or financial advice.