Exporting products from Tamil Nadu is becoming a popular business idea, but the challenge is that there are so many niches to explore. Many entrepreneurs think about starting an export business but shutting down after a few months due to improper planning and execution.
Tamil Nadu exports various products to international markets such as leather, textiles, technology, automobiles, organic products, coffee, etc. You will find various export business opportunities in Tamil Nadu below and a guide to getting started.
Did you know?
Tamil Nadu has been a centre of trade in South East Asia since ancient times. It is now one of the key nodes in sea trading corridors connecting East Asia to the Middle East, Europe and Africa.
How to Start Export Business in Tamil Nadu?
Do you want to learn how to start an export business in Tamil Nadu? Here is what you need to know:
1. Create an Import-Export Business Plan
An import-export business plan will save you a lot of time and money down the line. Think of a business niche you want to invest in and plan your budget, suppliers, products, and other business resources accordingly. Import-export businesses have a lot of moving parts to them when it comes to operations, and this is why you want to make sure you get the planning stage right, so you don't run into issues. Find out about the licenses and registration documents you need to run an import and export business in Tamil Nadu.
2. Registration and IEC Code
After your business plan is ready, it's time to get your business registered and acquire an IEC code. The Import Export Code is for registering businesses normally assigned by the Indian Customs Department. You need to acquire a PAN card for your business, and once you have that, you must furnish the following documents:
- Personal PAN Number
- Photographs of the applicant
- A copy of a cancelled cheque book page from your business account
3. Get the RCMC
RCMC is the registration-cum Membership Certificate and is an official document granted by the Export Promotion Council in Tamil Nadu. It is a mandatory requirement for every import-export business in Tamil Nadu and cannot be skipped.
4. Select and Price Your Products
After you get your business registered and obtain the necessary licenses, it is important to select and price your products. Correctly Pricing your products is important since you intend to make profits. Set prices according to your customer's wants and demands. If you set it too high, you may lose prospective clients and set it too low, and customers will think you're selling low-quality. Do extensive market research on this and develop figures that reap profits. Adjust your prices seasonally, if needed, since some product prices change based on availability and market fluctuations.
What Are the High Demand Products in Tamil Nadu?
There is a high demand for all sorts of products in Tamil Nadu. Chennai is a city with many active consumers and affluent in trading. The best Tamil Nadu export products list is as follows:
1. Organic Food Products
Organic food products like raw jaggery, coconut, seafood, salt, bananas, and fresh meat are highly demanded. Tamilians love good food items, and the export of high-quality organic food items is high for that reason. You can also export raw mangoes, and homemade chocolates and not much business capital is needed to get started.
2. Textile Products
If you plan to launch an export business in Tamil Nadu, textile products should be on your list. You can buy fashion items for low prices in Tirupur and sell them online at high rates. Chettinad cotton saris are signature clothing items handcrafted by the Devanga Chettiyars, and they are famous for their sweat absorption features. You can also export hand-woven women's garments as well as traditional and cultural attires from that region. These are all famous in international markets and get high demand.
3. Flower Exports
Flower exports from Tamil Nadu have skyrocketed, and many sellers are shipping from Hosur. You can find seasonal as well rare varieties of flowers to put up for sale. Flower exports is a good business idea since you can buy flowers for cheap rates or grow them yourself. You can charge the prices you want if you're growing your flowers as value depends on the season, weather conditions, availability, rareness, and other market trends. If your flowers are high-quality, you can even charge premium rates.
4. Technology Export Business
Computer exports and technology sales are popular around the world. You can pick high-demand products and sell them at a higher value on international markets if you are tech-savvy. You can export computer parts, accessories, and other hardware components to different countries. In Tamil Nadu, computer exports are a good business idea since many stores sell these components for cheap rates. You can also design custom rigs and assemble your units, only to sell them for higher prices. Many gamers, designers, and creative artists constantly look for customisations for sale online and avoid buying from popular brands.
5. Leather Exports
Tamil Nadu has a promising future when it comes to leather exports. Ambur, 52 km from Vellore, is popularly hailed as the 'leather city of South India.' You can find many leather and tannery factories in parts such as Ambur, Ranipet, and Vaniyambadi. The Central Leather Research Institute is located in Adyar, and you can buy leather items in bulk from there at discounted prices. It is good to export leather items to different countries globally, and leather products are a profitable idea when running an import-export business in Tamil Nadu.
Also Read: All About Professional Tax in Tamil Nadu
6. Automotive Exports
Automotive spare parts and components are in huge demand in Tamil Nadu and outside. You can buy automotive components, hardware, and other accessories for wholesale or cheaper. Find a product niche in high demand and buy components in that automotive niche. Sell these for higher prices to international markets, and you can easily make profits. Like that of the US and Europe, Western markets have many of these buyers and import automotive components from India.
You can start your business venture now that you've learned about the best export business opportunities in Tamil Nadu. Make sure you plan right and take the time to do market research about your competitors. If you can draft your custom niche for selling product items, you can charge premium rates and make more profits.
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