§1What this business is
Hot paraffin wax is mixed with powder pigment and a white additive, poured into crayon moulds cooled by water tubes, scraped clean, labelled and packed by colour. Children use crayons for drawing; artists, candle makers and fabric printers use them too.
§2Is it right for you?
Who it is for
A stationery distributor or someone with school-supply contacts.
Who it is not for
Someone without a sales channel to stationers and schools.
Advantages
- Every school child uses crayons
- Simple melt, mix and mould process
- Small floor space (about 600 sq ft)
Drawbacks
- Big stationery brands hold most shelf space
- Wax is a petroleum product and its price swings
- Pigments must be safe for children
Skills you need
- Colour mixing
- Moulding and cooling control
- Stationery trade sales
Why difficulty 2/5: Simple process; competing with stationery brands is the challenge.
§3Market
Who buys
- School children and parents
- Schools and play schools
- Artists and hobby users
How it sells
- Stationery wholesalers and shops
- School-supply orders
- Online marketplaces
Good to know
- Crayons are also used to colour candles and to print designs on cloth (report).
§4Raw material & machinery
| Item | Qty | Cost |
|---|---|---|
| Mixing chamber | 1 | ₹1,50,000 |
| Crayon mould (injection moulding table) | 1 | ₹10,00,000 |
| Labelling machine | 1 | ₹3,00,000 |
| Packaging machine | 1 | ₹2,00,000 |
From: PMEGP sample project report — Crayons (prepared by Udyami/Samadhan)
- Paraffin wax
- Powder colour pigment
- White additive
- Labels and packing
From: PMEGP sample project report — Crayons (prepared by Udyami/Samadhan)
In our raw material database
§5Licences & registration
- Udyam registration
- GST
- Fire NOC and State Pollution Control Board consent (report)
- BIS certification (the report lists it; check whether your product needs it)
- Trade licence from the local body
- Trademark for your brand (optional)
§6Schemes & subsidies
- PMEGPCentralActive15–35% subsidy
- MudraCentralActiveLoan up to ₹20 lakh, no collateral
- CGTMSECentralActiveNo collateral, up to ₹10 crore
PMEGP (the report is a PMEGP sample), MUDRA for loans up to ₹20 L and CGTMSE for collateral-free cover fit.
§7Money
How the investment is worked out: Plant & machinery ₹16.50 L (incl. GST and transport), other misc assets ₹1.50 L, working capital ₹6.46 L = ₹24.46 L.
Working capital: Working capital ₹6.46 L, of which bank finance ₹5.81 L.
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
- 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
- Wax price rise
- Complaints about unsafe pigments
- Competition from cheap imports
§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 wax crayons 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), 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 Wax Crayons?
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.