§1What this business is

Nichrome or other resistance wire is wound on porcelain pipes fitted with brass or nickel-silver clamps, tested, soldered at the ends and coated two or three times with vitreous enamel baked in a furnace. Ceramic-encased power resistors are wound on ceramic rods, spot-welded to caps with leads and dipped in silicone resin. The report covers ranges from 0.025 ohm to 100 K ohm and 1 to 200 watts, to IS 8909. Buyers are makers of power, test, telecom, medical and computer equipment.

Capacity: 9,60,000 resistors a year worth ₹47.52 L (₹4.95 each), single shift.

§2Is it right for you?

Who it is for

An electronics technician or engineer who has studied which resistor types local industry buys.

Who it is not for

Someone who has not surveyed users first — the report says to identify users and distributors before starting.

Advantages

  • Needed in almost every electronic circuit and power equipment
  • Low machinery cost — fixed capital only ₹3.81 L
  • The report shows a 17.49% margin on sales
  • High-precision types earn better prices

Drawbacks

  • Key materials (enamel/resin, strips, resistance wire, caps) are imported
  • Many units already make common types
  • Buyers demand tight tolerance and test reports

Skills you need

  • Coil winding and resistance trimming
  • Enamel coating and baking
  • Resistance, load and temperature testing

Why difficulty 3/5: Small capital, but precision work and imported material.

§3Market

Who buys

  • Makers of power, test and measuring, telecom and medical equipment
  • Process-control instrument and computer hardware makers

How it sells

  • Direct supply to equipment makers
  • Electronic component distributors

Good to know

  • The report lists defence and space applications among users.
  • It says higher precision and better tolerance will win market share.

§4Raw material & machinery

ItemQtyCost
Toggle action press, ½ ton2₹20,000
Automatic coil winding machine3₹65,000
Lead cutting machine / grinder1₹7,000
Lead straightening machine1₹5,000
Lead tinning machine1₹50,000
Spot welding machine1₹10,000
Temperature-controlled oven1₹20,000
Stirrer (ball mills)3₹15,000
LCR-Q meter1₹15,000
4½-digit bench micro-ohm meter2₹25,000
Load tester and brake tester1₹3,000
Fusing test machine1₹5,000
Tension tester1₹6,000
Marking machine with accessories1₹5,000

From: DC-MSME project profile — Wire Wound Resistors (2003)

  • Vitreous enamel / silicone resin (imported)80 kg, ₹56,000 for 80,000 resistors
  • Strips (imported)80 kg, ₹80,000
  • Resistance wire (imported)40 kg, ₹75,000
  • Caps and beads (imported)₹20,000
  • Hardener, rubber sheet and packing₹10,000, Indian

From: DC-MSME project profile — Wire Wound Resistors (2003)

§5Licences & registration

  1. Udyam registration
  2. GST registration
  3. State Pollution Control Board consent where the state requires it (furnace, coatings)
  4. Import Export Code (IEC) for importing raw material

We can do this registration for you

§6Schemes & subsidies

PMEGP fits (₹12.99 L project); MUDRA up to ₹20 L; CGTMSE for a loan without collateral; Stand-Up India for SC/ST and women founders.

§7Money

How the investment is worked out: Fixed capital ₹3.81 L (machinery and test equipment, electrification ₹27,800, office equipment ₹50,000, jigs ₹15,000, pre-operative ₹10,000) + working capital for 3 months ₹9.18 L = ₹12.99 L. Building rented (₹60,000 a year).

Working capital: Working capital for 3 months ₹9.18 L; raw material for 80,000 resistors costs ₹2.41 L a month, mostly imported.

Profile prepared in 2002–03 — machinery, material and selling prices will be much higher now.

How to prepare a loan file

§8Export potential

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

8533Electrical resistors (including rheostats and potentiometers), other than heating resistors

Export council / board: EPCES (Electronics and Computer Software Export Promotion Council)

  • Confirm the 8-digit ITC(HS) line with DGFT or your customs broker before shipping.
  • You need an Import Export Code (IEC) from DGFT before the first shipment.

§9Risks — where people fail

  • Import cost and exchange-rate swings
  • Coating cracks or drift in value causing returns
  • Competition from cheap imported resistors

§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 wire wound resistors 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, GST registration), 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 Wire Wound Resistors?

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

Get a DPR / loan file made

Sources

  1. DC-MSME project profile — Wire Wound Resistors (2003)

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