Want to know business ideas in gujarat? Well you have landed on the right article
Gujarat- is the state that has produced entrepreneurs like Jamshedji Tata and Gautam Adani and has been the core of flourishing markets since time immemorial.
More than 40% of businesses in India are carried out in Gujarat. A major cause behind this is the ideal geographical location of the state.
It boasts of a long coastline facilitating some of the most exceptional ports in the country.
Adding to this is the state-of-the-art infrastructure with well-connected roads, and modern information and communication technology.
This has made Gujarat the third-largest contributor to India’s GDP. In an economically vibrant state like Gujarat, there is no dearth of business ideas for people who wish to start their entrepreneurial journey. Listed below are some of them-
1. Craft and Art
(Best 1)
Overall Rating: 4/5
A state as culturally vibrant as Gujarat has many opportunities to monetise the art and craft.
2. Textile Business
(Best 2)
Overall Rating: 3/5
Gujarat is the perfect state to start a textile business, as it is known as the textile hub of India. Of India’s total production, 30% of cotton and 50% of denim are produced in Gujarat.
3. Salt Business
(Best3)
Overall Rating: 5/5
Gujarat is the largest producer of salt in India, covering 71% of total production.
Apart from its use in food, salt is also an important raw material for manufacturing inorganic chemicals.
25 Business Ideas in Gujarat
15 main business ideas - description, how to start, investment needed images
Want to jump straight to my top picks? My favorite best business in gujarat is Craft and Art and Textile Business.
1. Craft and Art
A state as culturally vibrant as Gujarat has many opportunities to monetise the art and craft.
Businesses can be based on craft techniques like Meenakari, Zardosi, Bandhani and Single Ikat.
● How to start the business
To start a business, identify a niche in the market, look for suppliers, and hire a team of artisans. An art and craft business does not pose a real estate challenge, a small area is enough, to begin with.
● Investment Needed
One would need low to moderate investment to kick-start their business.
2. Textile Business
Gujarat is the perfect state to start a textile business, as it is known as the textile hub of India.
Of India’s total production, 30% of cotton and 50% of denim are produced in Gujarat.
● How to start the business
The textile industry encompasses making readymade clothes, sewing, and embroidery, and is renowned for producing Crossbreed Cotton, power looms, spinning units, etc.
● Investment Needed
The textile business needs a good amount of investment for operating a manufacturing factory, paying the rent/cost of the land, and buying equipment to knit or weave.
3. Salt Business
Gujarat is the largest producer of salt in India, covering 71% of total production.
Apart from its use in food, salt is also an important raw material for manufacturing inorganic chemicals.
A salt business would be highly profitable.
● Investment Needed
Begin by producing iodized salt as it can be started with a small investment of 1 lakh. One would require a licence and certificates from the local health and revenue department. Also, look for places where the desired salt can be found.
4. Eatable Manufacturing Business
Gujarati cuisine can tickle anyone’s taste buds all over the world.
Items like papad, thepla, dhokla, and chakra have a huge demand, particularly among the NRIs living abroad.
● How to start the business
A snack business is a great step to starting a financial journey. A great example would be the brand ‘Lijjat Papad’. Research the market and identify your product before establishing the business. Then get a licence from FSSAI, test the quality of the product, and verify the nutrition chart.
● Investment Needed
This business only requires moderate investment. Start it in the form of a small business and grow as you go!
5. Dairy Farming Business
India is among the largest producers of milk and the demand for milk also remains high, making dairy farming a profitable business venture.
● How to start the business
This business can operate with unskilled labour, does not require a huge investment in inventory, and insurance can easily cover dairy animals.
● Investment Needed
Banks frequently offer loan schemes for Dairy projects, which are needed for building infrastructure like milk collection systems, bulk chilling etc. AMUL, the world-famous milk producer, is also based in Gujarat.
6. Manufacturing Paper and Printing
Gujarat accounts for 35% of the total paper production in India.
A major reason behind this is the state’s power surplus due to which paper mills do not have frequent power cuts.
● How to start the business
Use new technologies like making paper from banana fibres to have a unique selling point. For setting up a printing business, identify a sub-sector like book printing, carton printing, or general printing services.
● Investment Needed
A paper mill is highly capital intensive. A paper manufacturing business can be started with INR 70 lakhs.
7. Jewellery Business
Gujarat is leading in the gems and jewellery sector in the country and accounts for 72% of the total export.
● How to start the business
A major part of the sector is occupied by the diamond industry. The state is ideal for this business as it provides highly skilled labour at comparatively lower rates.
This sector is also supported by the government through 100% FDI. Entrepreneurs can venture into diamond cutting, gem cutting and processing, etc.
● Investment Needed
A home-based jewellery business can be started with low investment. However, opening up a jewellery store, even if it is a small set-up will cost around INR 30-40 Lakhs.
8. The Business of Fertilisers and Chemicals
This is an excellent sector to start with your business.
India is an agrarian country and the demand for fertiliser always remains high.
● How to start the business
With the growing awareness for organic food, one can also look into manufacturing organic fertilisers. The government also provides grants for the fertiliser manufacturing business.
Even for importing fertiliser, one can claim a subsidy on ocean freight. Gujarat has one of the largest agricultural regions and would be perfect for setting up this business.
● Investment Needed
The investment required for a fertiliser business will depend upon the scale of the business. A large-scale business would need around 8-10 lakh rupees, while a small-scale business can be started with 3-5 lakh rupees.
9. Solar Power Management Business
In Gujarat, where the temperature soars as high as 45.8°C and the Sun blazes relentlessly, setting up a solar power plant would be quite effective.
The state is also endowed with natural resources like gypsum, feldspar and limestone.
● How to start the business
One can manufacture several products like solar panels or batteries, or can produce appliances like solar lights, water heaters, etc.
With the government’s efforts, India is undergoing a solar boom that creates a vast potential for the development of this sector.
● Investment Needed
Solar Business requires an investment of around 1 to 3 lakhs.
10. Agrochemical Business
The agrochemical Business has several sub sectors like fertilisers, pesticides, fungicides, and even nutrients for growth.
Though it is a profitable sector, it requires considerable investment and planning.
It is also highly regulated by the Government and this necessitates licensing for production, marketing and storage.
● How to start the business
For the production process, one would require setting up a plant and investing in machinery, and sourcing raw materials. Raw material can include boron, copper, magnesium, zinc, etc.
● Investment Needed
Though it is a profitable sector, it requires considerable investment and planning.
11. Furniture Business
Gujarat contributes significantly to the Indian furniture business.
The Furniture industry caters to the tourism, retail and real estate sector which creates a huge demand.
With schemes like Make in India, the government is also supporting the sale of the woodwork in India and abroad.
● Investment Needed
The business is also easy to establish and does not require large investments. However, one needs to set up a manufacturing unit, buy equipment and employ skilled labour.
12. Printing and Embroidery Business
The basic requirement for an embroidery business would be a sewing machine or a digital embroidery machine.
Apart from this, one would need threads, needles, spools, etc. Workspace can either be set up from home or through rent.
● How to start the business
Reach out to potential customers like clubs and local sports teams to make their logos.
● Investment Needed
Since the investment is quite minimal and the skill can be easily acquired, it is a highly competitive field.
13. Garment Manufacturing Business
The textile industry of Gujarat has been a major driver of the state’s economic growth.
The state’s excellent infrastructure ranging from roads to ports, and textile parks, and availability of resources like cotton, yarn, and fabric make it the largest producer of man-made fibre and denim.
● How to start the business
A major part of this industry is the garment sector. The readymade garment business in Gujarat has vast potential as buyers and wholesalers from all over the world look towards the state as a prospect for the garment trade.
● Investment Needed
A small business would require an investment of 5 lakhs, whereas a large garment factory would need an investment of 20 lakhs.
14. Trading Business
Setting up a trading business in Gujarat can be highly profitable due to the flourishing manufacturing sector of the state and its long coastline that facilitates some of the best ports in the country.
● How to start the business
Prospective traders need to look into the foreign trade agreement and trade policies. Additionally, their company has to apply for a DIN from the Ministry of Corporate Affairs. Traders can trade in textile, garments, furniture, etc.
● Investment Needed
There are several trading avenues which require low investment like cloth and jewellery.
15. Fashion Consultancy
Fashion consultancy is an emerging business in Gujarat. With the growing interest in fashion, this business is very lucrative.
The National Institute of Design in Ahmedabad enrols many students who pursue designing.
● How to start the business
With a population of 60 million, Gujarat also provides a huge market for clothes. Raw material, fabrics, and accessories like borders, buttons, and gems can be easily imported too.
● Investment Needed
Starting your brand will require a minimum investment of 4-6 lakh.
10 New business ideas in gujarat with low investment
1. Event Management Business
The people of Gujarat believe in working hard but also enjoying life to the fullest. This is why the state boasts of vibrant cultural life.
An event management business would be highly successful here.
The event management business is small business ideas in gujarat
● How to start the business
Music festivals, fashion shows, trade fairs, and Garba festivals are only some examples of the vast number of events that can be organised here. Get the company registered and apply for tax registration.
An event management company has to pay Taxable income, TDS, GST, Amusement tax, etc. Don’t forget to obtain the necessary licence for any event.
● Investment Needed
The major investment in the business is recruiting a strong team of skilled workers which costs around INR 1-1.5 lakh. Taking care of running costs would require a working capital investment of INR 1-3 lakh per month.
2. Real Estate Management Business
Real estate is one of the most fruitful sectors for starting a business venture.
The 60 million people in Gujarat would have a dream of either buying their dream home or buying land for setting up their factory.
● How to start the business
Pick a special niche- one could be a commercial broker or a residential broker. The real estate industry comes with many legal boundaries, hence licence and registration are super important.
● Investment Needed
A real estate business requires a minimum investment of INR 25 Lakhs
3. Travel Consultancy
Nowadays, people have more leisure time and they prefer to spend it through travel and tourism.
● How to start the business
Entrepreneurs have to select a business entity for their agency and mostly they go for Private Limited companies as they get several benefits. They would also need a GST registration. One can become a Government approved travel agent (TA) to boost quality and service.
● Investment Needed
The cost of setting up a travel consultancy is comparatively low, and it can be operated easily from one’s home.
4. Vegetables Home Delivery Business
The Pandemic has shown the potential for a vegetable home delivery business.
People want nothing more than to get fresh vegetables delivered to their homes in no time.
● How to start the business
It would also need producers to supply vegetables and delivery executives to deliver the orders. Entrepreneurs can easily apply for MSME business loans for funds.
● Investment Needed
Starting this business would require investment in tech support to build an interface where consumers can place and track their orders.
5. Electronic Repairing Business
The electronic repair market can be expected to generate revenues of USD 20 billion per annum by 2025.
With the initiative of Make in India, this sector can emerge as the next sunrise sector. Millions of devices are purchased every year and these require constant maintenance.
● How to start the business
The business can start as a simple store catering to neighbourhood customers and can grow into an authorised service provider for different brands. One can either get a diploma in electronics or a certified training course, or one can hire skilled labour to do the work.
● Investment Needed
A shop can be easily set up with a small investment of 20 to 40 thousand.
6. Tiffin Services
A large number of businesses in Gujarat means that there are also a large number of workers who are staying away from their homes.
These people want healthy home-cooked meals.
● How to start the business
A tiffin service can be started to cater to their needs. The biggest task would be to manage delivery and the quality of food.
● Investment Needed
Starting this business is not very difficult, one can easily apply for an unsecured business loan. An initial investment of 20,000 - 30,000 is needed.
7. Garment Reselling
Reselling can be very profitable if you acquire a strong position in the market. E-commerce platforms are the hubs of resellers.
Resellers can begin their venture with meagre investment. All they have to do is identify a business source and build a relationship of trust with the end-users.
Use the E-commerce websites as a platform to save costs on starting a physical store. Nowadays even shipping is not a major problem as many companies offer door-to-door delivery services.
8. Catering Business
One thing about the people of Gujarat is that they love food. Catering is therefore one of the most thriving businesses here.
Budding entrepreneurs can start small and build it larger as they go.
● How to start the business
Start by deciding on a business plan and arranging capital through small business loans. You would also need kitchen equipment and appliances, and staff to cook and serve. All catering businesses have to be approved by the FSSAI.
● Investment Needed
The catering business in India needs an initial investment of INR 20 lakh which would include monthly expenses, kitchen rent, licenses, etc.
9. Beauty Parlour Business
The beauty industry is one of those industries that will always stay profitable.
People will always care about the way they look, which is why they are ready to invest in expensive beauty treatments.
● How to start the business
A salon can be started from one’s home with the help of a small business loan. Entrepreneurs can get a diploma in beauty treatments and make-up, or they can hire staff and train them.
● Investment Needed
An initial investment of 15-30 lakh is needed to buy types of equipment, arrange a room, train beauticians, etc.
10. Photography Business
We live in a social-media-driven world. Everyone wants to post the best picture possible which creates a huge demand for photographers.
● How to start the business
Photographers can choose a niche - wedding photography, product photography, landscapes, etc.
● Investment Needed
The most basic investment would be a good quality camera and editing software to edit the pictures. Use platforms like Instagram for advertisement.
How to decide which products to choose?
With so many options available, it can get quite difficult to decide which products to choose. A good way to begin would be to analyse a product - look at its structure, parts, complexity, the technique of production, competitiveness, and most importantly its demand in the market.
The free market is highly competitive so establish a niche for your product. Have a unique selling point- something no other competing product has and acquire its patent.
Keep innovating your product as it does not take long for others to copy.
The next important step is to advertise. Consumers will only buy what they are familiar with, so utilise advertising platforms like social media, television and newspaper to increase product familiarity.
All of these factors must be taken into consideration before choosing a product for starting one’s entrepreneurial journey. Remember, choosing a product is only the beginning, what direction you decide to tread on afterwards is what counts.
Conclusion
As the article has highlighted, Gujarat is an ideal place to start a business and let it flourish. It is counted among the top states in India in terms of ease of doing business. It also has the lowest unemployment rates.
Keep the company’s finances and expenses in check, along with the MSME or business loans. The state government also supports and encourages business ventures. If caution is exercised, the Gujrati market will never disappoint.
I hope you liked our article on business ideas in gujarat, if you have any comments or suggestions do share them in the comments below.
frequently asked question
1Q. Which business is best in Gujrat?
The best business in Gujarat is the handicraft business as people here love to carry colourful handicrafts and artistic artefacts with them.
Since it is known as the Jewel of Western India, Gujarat has a vibrant and dynamic culture which is reflected in its craft. A good place to begin the handicraft business would be by producing bandhani prints.
2Q. What business can I start in Gujarat?
Gujarat has state-of-the-art infrastructure and is the birthplace of Public-Private relationships.
Many businesses flourish here such as the Gas and Petroleum, Mining and Minerals, Agro and Food Processing, Salt Industry, Gems and Jewellery, and even Solar Power.
One may choose to do any business among the ones mentioned above and flourish successfully.
3Q. Which retail business is most profitable in Gujarat?
The Textile retail business is the most profitable in Gujarat. The state is a leader in textiles and is known as the “Denim Capital of India” or the “Manchester of the East”.
The Government of India also supports the industry by developing Textile Parks, and this makes it the most profitable in Gujarat.
Here are my best picks:
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