§1What this business is

Harvested shatavari (Asparagus racemosus) roots are bought from growers, washed in a rotary washer, boiled in a jacketed kettle, peeled, dried in a tray dryer and packed for storage and sale. The report plans 500 kg a day and says India needs more than 500 tonnes of shatavari roots a year for medicines. Buyers are Ayurvedic pharmacies, herbal-extract makers and traders.

Capacity: 500 kg a day (10-hour shift); year 1 at 30%.

§2Is it right for you?

Who it is for

Someone in a medicinal-plant growing area with links to growers and Ayurvedic buyers.

Who it is not for

Someone without assured root supply or buyer contracts.

Advantages

  • Steady demand from the Ayurveda industry
  • Gives local growers a nearby buyer
  • Simple process with modest machinery (₹8.60 L)
  • Dried roots store well

Drawbacks

  • Thin margin (about 5–6%)
  • Root supply depends on contract farming
  • A few large buyers set the price
  • Quality (moisture, fungus) must be tight

Skills you need

  • Herb quality grading
  • Drying control
  • Contract farming links
  • B2B sales to pharmacies

Why difficulty 3/5: Processing is easy; securing roots and buyers takes work.

§3Market

Who buys

  • Ayurvedic medicine makers
  • Herbal extract and supplement companies

How it sells

  • Herb traders and mandis
  • Direct supply contracts

Good to know

  • The report puts India's medicinal-plant market at ₹4.2 billion in 2019 and herb exports at US$ 330.18 million in 2017-18.

§4Raw material & machinery

ItemQtyCost
Rotary vegetable washer1₹2.60 lakh
Electric heating jacketed kettle1₹1.60 lakh
Shatavari peeling machine1₹1.00 lakh
Tray dryer1₹2.40 lakh
Material handling and other equipmentlump sum₹1.00 lakh

From: PMEGP sample project report — Shatavari Root Processing (prepared by Udyami/Samadhan)

  • Harvested shatavari rootswith packing, ₹58.50 lakh in year 1
  • Packing material

From: PMEGP sample project report — Shatavari Root Processing (prepared by Udyami/Samadhan)

§5Licences & registration

  1. Udyam registration and GST
  2. FSSAI licence if you sell powder or other food-use products
  3. Trade licence from the local body
  4. Registration with the State Medicinal Plants Board helps with buyer links (optional)

We can do this registration for you

§6Schemes & subsidies

PMEGP and MUDRA fit a ₹17.40 L unit; CGTMSE for a collateral-free loan; Stand-Up India for SC/ST or women founders.

§7Money

How the investment is worked out: Samadhan report ₹17.40 L = plant and machinery ₹8.60 L, furniture ₹0.80 L, working capital ₹8.00 L; land own or rented.

Working capital: Working capital ₹8.00 L; bank demand ₹7.20 L. 15 days of roots and finished stock.

Year not printed on the report — check current machinery and raw-material prices.

How to prepare a loan file

§8Export potential

Confirm the HS code in the DGFT ITC(HS) lookup before you export

1211.90Plants and parts of plants used primarily in pharmacy, fresh or dried

Export council / board: Pharmexcil

  • Herbal raw-material exports need an IEC and phytosanitary certificates; some species need a legal-procurement certificate.

§9Risks — where people fail

  • Root shortage or price rise
  • Mould in poorly dried stock
  • Buyer rejection on quality tests
  • Slow payments

§1030 / 60 / 90-day plan

A general plan that applies to any business. A plan for this business will be added after research.

  1. Days 1–30: Visit a working shatavari root processing unit, ask 10 buyers about price and quantity, and get quotations from 3 suppliers.
  2. Days 31–60: Udyam and the licences you need (Udyam registration and GST, FSSAI licence if you sell powder or other food-use products), a project report (DPR), and the scheme or loan file.
  3. Days 61–90: Space and machines, trial production, and first deliveries to 10 customers.

§11Who to connect with

Not verified yet

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 Shatavari Root Processing?

DPR, loan file or registration — ask us on WhatsApp.

Get a DPR / loan file made

Sources

  1. PMEGP sample project report — Shatavari Root Processing (prepared by Udyami/Samadhan)

Data review: 6 October 2026. Spotted a mistake? Report it. For information only — not legal or financial advice.