mail-box-lead-generation

written by | October 11, 2021

Small Scale Business Ideas for Rural India

×

Table of Content


Rural India is developing fast, thanks to the Atma Nirbhar Yojna of the Government of India. Many NRIs who have returned to India and Indian residents have started venturing into the rustic countryside to set up sustainable businesses. It has resulted in the empowerment of the residents of these interior regions and is helping to improve their lifestyles. Most individuals believe that these areas do not yield any profits. On the contrary, there are numerous village business ideas that individuals can capitalise on and reap profits quickly. Some of the rural business ideas include cultivation of organic vegetables as well as fruits, paper bags, flour mill, coaching classes, poultry farming, candle making, jute-based products like bags, footwear, trinkets, hand-made soaps, pickles, traditional sweets, mobile accessories and a diagnostic centre among many others.

Did you know?

The total number of small-scale industries in India is about 10,521,190 and 55% of these are situated across the rural regions of India.

Also Read: Best Small Business Ideas for Rural Areas, Indian Villages and Small Towns

Top Small Business Ideas in Rural India

Cultivation of Organic Fruits and Vegetables

This type of farming is one of the most economical as it does not require high-yielding seeds, costly fertilisers, or even pesticides to grow these products. 

Organic farming is known to yield products that are more nutrient and healthy. Individuals who set up this business in rural India can train the local folks. Farmers always have a shortage of finance. If you train them, you will help uplift them from poverty to lead dignified lives. Some of the other benefits you can reap are establishing a constant supply to neighbouring towns, which can be very rewarding. Once you scale up the business, you can reap increased profits. All you need is nominal investments and dedicated employees who can grow the business. Organic farming is at least 35% more profitable than traditional farming practices in India.

Diagnostic Services

There is a shortage of diagnostic service centres across rural India. While the government has taken many initiatives to ensure the rural folk get speedy access to medicines and medical care at highly nominal rates, a diagnostic centre, if you are a qualified medical individual, will serve the residents or villagers to understand their vulnerability to ailments. Setting up a diagnostic centre does not cost much, and you can invest in land and get one constructed if your finances permit you to do that. The other option is to rent out a place, install the necessary diagnostic machines, and hire skilled technicians and some unskilled labour. At the start, you will have to develop a good network with various laboratories as you will have to work in sync with them. 

Supply of Drinking Water to All Households

We all are aware of how people in the backward regions of India live. They always face a scarcity of pure, clean drinking water, which is essential to maintaining overall good health. You can tap the resources of wells, arrange for large-sized containers and set up a home delivery service for the villagers. Small packets of water are also a good option though you will have to check the pH properties of water. A higher concentration of hydrogen will tend to increase the acidity in the water. Once you take care of that, small water packets will be a boon to the villagers. If the surrounding areas are rich in natural water resources like a Spring, you can obtain local permissions to use that, pack it or deliver it in containers to the villagers. Springwater is considered to be one of the purest forms of water.

Bags Made of Jute

Jute is an eco-friendly fabric. Countless products are made from jute. From Jute bags and handbags to slippers, you can either specialise in one niche product or start manufacturing as many varieties as your unit and finances permit. In the past, such types of bags were used to transport all agriculture-related items like sand, cement, fertilisers, and crops. The growing awareness of the ills of plastic usage has given a new meaning to jute products. Today, you can find high-end glamour products made from jute. You can set up a small-scale manufacturing unit in rural areas to create a variety of jute-related goods. Jute-based products are sturdy and durable. A small-scale unit will not involve a steep investment. You can train the villagers and thereby improve their living standards.

Farming of Livestock

There has always been a great demand for hygienic livestock. There are various types of small loans that you can apply for to set up a poultry business. Your initial investments would have to be in animals like cows, goats, hens, among others. You will have to be skilled in animal rearing, understanding their requirements, and ensuring that they eat the right foodstuffs and are looked after well. For this, you will need to train people. You can start on a small scale, establish a network, monitor the turnover, and once you start yielding profits, you can expand the scale of your business. You can make a consistent supply to the neighbouring regions as well.

Mill

A mill works as one of the most profitable businesses in rural India. Indians are known to consume all types of flours in the making of the traditional chapati. These include rice, wheat, lentils, maise, and even sorghum flour. The ever-increasing demand for all varieties of flour makes the mill business a very lucrative one. All you need are two machines, to begin with, and two individuals to help you with the operations.

Agarbatti and Candle Making

Incense sticks and candles are used by almost every community in India. These are used for religious purposes, festive occasions, mediation practices and are also bought as decorative items. You can start this from a rented place with handmade candles and sticks. Once you get a good response, you can invest in semi-automatic or automatic machines and expand the scale of your agarbatti business.

Also Read: 200+ Small Scale Business Ideas with Low Investment

Advantages of Running a Business in Rural Area:

There are many interesting village business ideas which individuals can decide on and set up a business in the interiors of India. Some of these are as follows:

  • Nominal investments
  • Empowerment of villagers by way of employment
  • Improving the lifestyles of rural folks
  • Higher profits

Conclusion:

As is understood from the details of this article, the idea of establishing a business in a rural area of India is a fairly simple one. The options are manifold, and with the right type of skills and a little investment, you can easily set up a business of your choice that caters to the needs of that geographical location and the surrounding regions. 

Follow Khatabook for the latest updates, news blogs, and articles related to micro, small and medium businesses (MSMEs), business tips, income tax, GST, salary, and accounting.

FAQs

Q: What are the benefits of setting up a small industry in villages?

Ans:

  • You are not caught in a web of urban competition.
  • You empower people, which leads to inner contentment
  • You can lead a simple and meaningful life
  • You contribute by manufacturing sustainable and healthy products.

Q: Which is the best business to start in rural area?

Ans:

Some of the most profitable businesses in a rural area include organic farming, milk and milk product-related outlets, flour mills, and poultry.

Q: Do village business ideas contribute to the economy in those regions?

Ans:

Absolutely. They employ the people, which helps prevent individuals wanting to migrate from villages to cities in search of jobs and a better life.

Q: Are there many small business ideas for rural areas?

Ans:

You can find multiple business ideas to set up in rural areas on a small scale. Some of these include coaching classes, flour mills, delivery of drinking water to poultry farming, and candle making.

Disclaimer :
The information, product and services provided on this website are provided on an “as is” and “as available” basis without any warranty or representation, express or implied. Khatabook Blogs are meant purely for educational discussion of financial products and services. Khatabook does not make a guarantee that the service will meet your requirements, or that it will be uninterrupted, timely and secure, and that errors, if any, will be corrected. The material and information contained herein is for general information purposes only. Consult a professional before relying on the information to make any legal, financial or business decisions. Use this information strictly at your own risk. Khatabook will not be liable for any false, inaccurate or incomplete information present on the website. Although every effort is made to ensure that the information contained in this website is updated, relevant and accurate, Khatabook makes no guarantees about the completeness, reliability, accuracy, suitability or availability with respect to the website or the information, product, services or related graphics contained on the website for any purpose. Khatabook will not be liable for the website being temporarily unavailable, due to any technical issues or otherwise, beyond its control and for any loss or damage suffered as a result of the use of or access to, or inability to use or access to this website whatsoever.
×
mail-box-lead-generation
Get Started
Access Tally data on Your Mobile
Error: Invalid Phone Number

Are you a licensed Tally user?

Disclaimer :
The information, product and services provided on this website are provided on an “as is” and “as available” basis without any warranty or representation, express or implied. Khatabook Blogs are meant purely for educational discussion of financial products and services. Khatabook does not make a guarantee that the service will meet your requirements, or that it will be uninterrupted, timely and secure, and that errors, if any, will be corrected. The material and information contained herein is for general information purposes only. Consult a professional before relying on the information to make any legal, financial or business decisions. Use this information strictly at your own risk. Khatabook will not be liable for any false, inaccurate or incomplete information present on the website. Although every effort is made to ensure that the information contained in this website is updated, relevant and accurate, Khatabook makes no guarantees about the completeness, reliability, accuracy, suitability or availability with respect to the website or the information, product, services or related graphics contained on the website for any purpose. Khatabook will not be liable for the website being temporarily unavailable, due to any technical issues or otherwise, beyond its control and for any loss or damage suffered as a result of the use of or access to, or inability to use or access to this website whatsoever.