Agarbatti making machine
01-01-2022 5:44pm | by Kamod Patel
All you need to know about the Agarbatti making business and boom in the sector with the advent of Agarbatti making machine
In India, the need for agarbatti making businesses is burgeoning each year. India is the world’s top producer of incense sticks, popularly known as agarbatti. Burning agarbatti has long been a part of Indian custom and is an essential aspect of any rite. Currently, the majority of the country uses it because of religious sentiments. It is traded internationally. According to the data supplied in the export study, about 175 nations and territories actively import Agarbatti from India. It is made with flowers, leaves, herbs, seeds, oils, and sandalwood. The use of agarbatti is extremely important in Indian culture and this incense stick also holds a pious position in almost all the religions around the world that means agarbatti making business is perennial. Earlier the business solely relied on manpower but with the advancement in technology and industrialization, agarbatti making machine came into play, which is fully automatic as well as cost-effective and is available in different variants for all the MSMEs requirements.
Agarbatti making machine
Agarbatti making business is one of the most profitable businesses now being pursued by entrepreneurs. Agarbatti or incense stick is a thin piece of bamboo stick that is frequently covered with fragrant materials or natural aromas such as flowers, herbs, and so on. It is an uncomplicated company due to meager complexity in its manufacture and less machinery or equipment. The current export now is around Rs 1000 crores in different parts of the world.
With such throat-cutting competition and the dire need to increase the profits can only be tackled with advanced machinery. Machines are crucial in the agarbatti making business. There are numerous sorts of machines accessible on the market, but one must choose one according to their budget and workforce. There are several sorts of machines on the market in both manual and automatic versions. The agarbatti producing machine employs modern technology, and it includes devices such as a drier machine and a powder machine as complementary in some circumstances.
- Manual machine
Manually driven machines can be purchased in either a single pedal or a double pedal configuration, depending on which is most easy to use in order to get high output at a cheap cost. Because of the pedal system, this machine may be operated manually, eliminating the need for power. It may be operated manually through pedals. These machines are way more cost-effective as compared to automatic machines.
- Automatic machine
Most of the existing agarbatti making machines are imported from Vietnam from foreign companies i.e. Hong tong and nevi-tech, etc. but we do have indigenous machine manufacturers in the market. The automatic machines also have different variants which produce around 8-15 kg/hr incense stick depending on the cost and capacity of the machine. Machines can well modify the shapes, size, and thickness as required along with a steep rise in production and profit. The best feature these machines hold is that it can be operated on household voltage and has low power consumption which makes it ideal for budding businesses. Apart from these, one should be aware of the first copy replica of original exported machines that is prevailing in the market.
Mixer and drier machines are also important for preparing an even-textured powder raw material and drying the finished product respectively but in the nascent stage one can omit these machines but as you expand the line then you must have these complementary machines.
Agarbatti making raw materials for Agarbatti making machine
The raw material in this business is quite cheaper and generally available all over the country and the imported raw material from China and Vietnam is also in great demand nowadays.
Bamboo sticks are the primary material that can be 8-12 inches long in length is required. China bamboo sticks are sought after due to their durability over Vietnam sticks.
The following powder are used for different colors, fragrances, and beautiful look of the incense stick
1. Charcoal powder
2. Wood powder
3. Guar gum
4. Jigat powder/Joss powder
6. Oil Of Sandalwood
But generally, most of the business uses a premix that is easily available and ready to use powder just by adding water in proportion to the mixture. Along with these different fragrances can be utilized to get the desired aroma.
Packaging is also important in the agarbatti business to preserve the blended fragrance of the sticks for a long. It has to be packed in plastic pouches and an outer layer of cardboard with the branding.
Agarbatti business model
Every startup needs a perfectly designed, full proof, and flexible business model to rely on and the same goes with the agarbatti making business irrespective of the size and revenue of your business. Generally, the business model deals with creating, capturing, and delivering value.
Before getting into it first you have to analyze the market well like the demands, preferences, and the capital which is already existing in the market so as to target the needs of a larger portion and if you are going for a large scale set up then you must study the export markets too. Once you have a good understanding of the market, you may write a project report or a business strategy. The goal of this report is to inform financiers (if any) about how you propose to enter the market. Whether it is a home-based or small-scale firm, you add information such as production capacity, expenses involved, capital appreciation projected, and so on in the business plan.
A business plan’s key activities are as follows:
- determining the available space and the unit cost
- Specifications for furnishing machinery
- Calculate the costs of raw materials, labor pay, utility bills, and so on.
- Stating the profit estimate and market emphasis.
- Licensing the whole chunk of activities
- Advertisement and branding along with the marketing strategy you are going to adopt.
And the desired business model can’t be generated or created in a single day but it is a simultaneous process in which you have to adopt the ABCDE which stands for:
A- Analyze the target customers by getting into their shoes
B- Brainstorm your teams, suppliers, and customers
C- Create means improvising the existing flaws
D- Deliver it to the targets
E- Evaluate the product success or failure
Agarbatti selling market
As I stated before the incense stick market is not confined to a country only it can be exported to the rest of the world as well. There is also a high demand for importing incense. The major importers of incense sticks are the United Kingdom, the United States, Nigeria, Egypt, the United Arab Emirates, and Latin America so the market for agarbatti is universal and friendly in all the odd circumstances. There are various ways to market the finished agarbatti to the customers through:
1. Retail Distribution: Contact local businesses and sell the goods directly to them.
2. Channel distribution: Collaborate with local distributors to launch a secondary sales plan, and engage shops to ensure a proper mix.
3. E-commerce: Become a seller on your own e-commerce enterprise. An e-commerce developer can help you build one from start to finish or through a third party.
Agarbatti business is largely an unorganized sector in the Indian market. It employs two million people in the country. Women make up over 80% of the labor and are mostly involved in bamboo processing, agarbatti rolling, and packaging operations. Recognizing the potential of the agarbatti making business in India and throughout the world, the Government of India has launched several initiatives in the manner of schemes and policies to improve the morale of aspiring entrepreneurs. It is among the businesses which require low capital and infrastructure to carry on the production and the agarbatti making machines revolutionized the existing market. However, because of the convenience of doing business, aspiring entrepreneurs may begin the agarbatti creating business at any time, while keeping particular components in mind such as a business plan, ingredients, legal compliances, marketing strategy, and so on.