40+ Top Chemical Business Ideas you can Start Small Scale

Many aspiring individuals are nowadays looking for small-scale chemical business ideas for initiating their own venture. Chemical business opportunities are not only profitable but also have big potential in export. In terms of volume of production, Indian chemical industry is the third largest producer in Asia and sixth largest in the world.

Indian Chemical Industry is contributing around 6-7% of the Indian GDP(Gross Domestic Production). It touches our lives in many different ways. Whether it is thermoplastic furniture we use, or a synthetic garment we wear, or a drug we consume – we all are inextricably linked to it.

This industry has key linkages with several other downstream Industries also. Such as Automotive, Consumer durable, Textile, Engineering and Food processing.

You will find different pros and cons also in the following aspects of Indian Chemical Industry. Such as;

1. high domestic demand potential

2. high degree of fragmentation and small scale of operation

3. limited emphasis on exports due to domestic market focus

4. Low-cost competitiveness as compared to other countries due to a higher cost of power and other utility, import duties, taxes, higher cost of capital and raw material and poor infrastructure facility

5. low focus on R&D despite innovative processes to synthesize product cost-effectively.

Indian chemical industry generated business worth US$ 118 billion in 2014. Bulk chemicals account for 39% of the Indian chemical industry, followed by agrochemicals (20.3 percent) and specialty chemicals (19.5 percent). Pharmaceuticals and biotechnology accounted for the remaining share.

Apart from large and medium scale industry, there are so many chemical business ideas which can be developed as small-scale manufacturing enterprises. Here we have accumulated 50+ highly profitable chemical business ideas for your ready reference.

Chemical industry can be classified into three segments Basic, Specialities and Knowledge Chemicals. The examples are:
1. Basic: Petrochemicals, Fertilizers, Inorganic chemicals, Alkalies, Chloralkali, Aromatics, Thermoplastics, Thermosets and Other Industrial chemicals.

2. Speciality: Adhesive, Sealant, Catalysts, Industrial gases, Paints and Coating, Pharma additives, Lubricants, Water treatment chemicals, Plastic additives

3. Knowledge: Agrochemicals, Pharmaceuticals, Biotechnology

List Of Top 40+ Chemical Business Ideas you can Start with Low Investment

#1. Agarbatti Making

You can initiate agarbatti making business on small-scale or large scale basis. Generally, agarbatti is considered as household goods having a great market potential. The burning of agarbatti or incense in religious and social functions has been practiced in India since early times. Agarbatti an aromatic powder or paste is burnt in Indian homes as a fragrant fumigant and is reputed to possess insecticidal and antiseptic properties. Read More

#2. Agro Chemical Manufacturing

This chemical industry formulates and prepares fertilizer products, pesticides (e.g. herbicides, insecticides, and fungicides) and other agricultural chemicals (e.g. insect repellents, sheep dips, fly sprays and flea powders). Agrochemical manufacturing is considered as one of the most profitable chemical business ideas to start with a substantial capital investment.

#3. Aloe vera Gel Production

Aloe vera is being used as the main ingredient for drinks, cosmetics, personal care and medical products worldwide. You can start this business as small scale basis with small capital investment. Read More…

#4. Ball Pen Ink Refill Manufacturing

The ballpoint pen was developed as a solution to the problems related to writing with a fountain pen. A variety of raw materials is used for making the components of a ballpoint pen, ink, and refill including metals, plastics, and other chemicals. This manufacturing opportunity can be initiated on a small-scale basis. Read More…

#5. Battery Manufacturing

Generally, there are two types of batteries: storage and primary batteries. Storage batteries are also known as secondary or rechargeable batteries. Primary batteries are non-rechargeable batteries that only have one life. Battery manufacturing is considered as one of the most profitable chemical business ideas that can be initiated as the home-based also.

#6. Bindi Making

Bindi making is a simple process with good marketing avenues and profitability. Women population have replaced traditional kumkum with the decorative designer bindi. Bindi is a small piece of velvet cloth with a suitable adhesive. It is available in different colors, size, and pictures. Bindi making business can be initiated as a home-based with comparatively low startup capital. Bindi is a consumable product and requires both rural and urban women. Read More…

#7. Bio-Diesel Production

Bio-diesel production unit can be established on a small scale basis at any place where the main raw material Jatropha oil is easily available. There is a continuous search for renewable sources of fuels due to the rate of depletion of fossils. The term biofuel is used to define fuels that are obtainable from plants or animals. Being a renewable source, it is gaining attention all over the world today. Read More…

#8. Bleaching Powder Manufacturing 

Bleaching powder is mainly used for bleaching cotton yarn, textiles, and paper pulp. It is also used as a disinfectant, especially for sterilizing wounds, surgical dressings, etc. and in water purification and sanitation. Also, it is a very good source of chlorine in the preparation of chloroform. Additionally, you can initiate the manufacturing unit on a small-scale basis with semi-automatic machinery. Read More…

#9. Bubble Packing Paper Manufacturing

Bubble wrapping papers are an essential item for fragile goods packing. The manufacturing process is not very complex and the market is also very inspiring. Read More…

#10. Candle Making

Generally, any individual can initiate candle making business as a small-scale and part-time basis. People lighten candle not only for religious purpose but also as a decor item. Apart from the traditional long white candle, there is also a very potential market for scented and decorative candles. Read More…

#11. Canvas Shoes Manufacturing

Canvas shoe production involves designing of the upper and inner parts, cutting off the canvas to fit, and assembling of the various parts. Additionally, you can carry out the insole fixing and trimming upper edge binding, bottom gluing in the finishing section. The major raw materials used in the production of canvas shoes are canvas fabrics (upper), lining and rubber sole.

#12. Cartridge Refilling Business

Cartridge refilling is a great small-scale opportunity. Additionally, you can initiate the business as the home-based also. However, a retail location ensures better profitability. Having refilling skill with some equipment, you can start this business.

#13. Cement Plant

Mini cement plant is a profitable manufacturing opportunity in India. Major required raw materials are limestone, clay, pet coke and iron dust. Permission from Pollution Control Board and BIS registration is mandatory.

#14. Ceramic Colour Manufacturing

Underglaze Ceramic colors are commonly used for decoration on unglazed ceramic articles which are finally covered with a transparent glaze. Ceramic colors are pigments based on Zirconium. Additionally, you can use it directly in enamel slip, pottery, colored wall tiles, sanitary ware etc. Zirconium based yellow, blue, green and pink stains are used directly for producing colored wall tiles, etc. In addition, you can initiate the manufacturing unit as small scale basis.

#15. Chemical Etching On Wood

Chemical etching on wood is one of the most trending chemical business ideas with low-cost involvement. Basically, you can perform chemical etching by using the various chemical to give an artistic design on wood. Basically, it is an essential interior decoration item.

#16. Detergent Powder Manufacturing

The detergent powder manufacturing process is simple. It involves the activity of mixing and grinding the right raw material with the right proportionate ratio. Detergent powder manufacturing is one of the most profitable chemical business ideas as per revenue in concern. Read More…

#17. Dish Wash Bar Liquid Production

Dish wash bar and liquid is a popular household consumable item in India. The demand is increasing with the increasing purchase power among the people. Additionally, you can initiate the unit as small-scale basis. Read More…

#18. Eraser Making

Rubber erasers generally made from natural rubber. Generally, students, artists, bookkeepers, typist and others use eraser to correct the mistakes. Eraser making project is profitable and there is demand in domestic and export market both.

#19. Granite Quarry

Initiating a granite quarry is a profitable venture to start with substantial capital investment. With the increasing market of real estate industry in India, the demand of granite has also increased. Granite is an essential item in real estate.

#20. Insecticide Formulation

Insecticide formulation comes under the category of knowledge base chemical business ideas. CIB Registration and permission from Pollution Control Board is mandatory for this type of chemical business.

#21. Latex Rubber Thread Manufacturing

Generally, hosiery industries are the major consumers of latex rubber threads. Apart from this latex rubber thread is an essential raw material for fishing baits, toys and many of medical consumables. Latex rubber thread manufacturing is one of the most profitable chemical business ideas. Additionally, you can initiate the business as small scale basis also.

#22. Leather Aprons Making

Basically, the Leather Aprons are protective wear items. Generally, industrial workers in the factories use this item widely. Leather Aprons are of various types and sizes, such as 24″ X 36″; 40″ X 60″; 60″ X 90″ and 90″ X 110″ etc. The principal material that goes in the production of this product is Chrome. The manufacturing process is not complex. Additionally, you can initiate the business as small scale basis.

#23. Leather Processing Unit

The leather is animal skin. And you will need to modify it chemically to produce a strong, flexible material that resists decay.  The variety of skins and the way they are processed can produce leather as soft as cloth or as hard as a shoe sole. In other words, finished leather is used for making leather products such as garments, shoe uppers, belts, sandals, cases and covers of all types, shoe sole, gloves, transmission belts, etc. A leather processing unit or tannery is a profitable venture when you can assure the easy availability of raw materials. Read More…

#24. Liquid Phenyl Manufacturing

Phenyl and floor cleaners manufacturing are the profitable small business manufacturing ideas in hygienic product industry. The production process is not very complex. Additionally, you can establish a small scale unit with low startup capital investment. Read More…

#25. Liquid Soap Production

Generally, any individual can initiate liquid soap production unit as a small-scale basis. So many different types of liquid soaps are very popular among the people. Such as hand wash, body soap, liquid detergent, face wash etc.

#26. Mini Paper Mill

The mini paper mill is an excellent business and one of the most profitable paper and chemical business ideas one can initiate with substantial capital investment. In initiating mini paper mill, you should be careful in selecting a location. The major raw material for the paper mill is the forest goods. Therefore, the location of the plant should be nearby the place where you procure raw materials easily.

#27. Nail Polish Making

Nail polish is commonly used as the cosmetic product. Additionally, you can start the manufacturing unit as a small-scale basis will moderate capital investment. Read More…

#28. Naphthalene Balls Making

Naphthalene balls are the popular household preservative of woolen clothes. Additionally, these are the popular deodorant tablet for the toilets, urinals, bathrooms etc. It is a consumable product. It finds extensive application in cities. General awareness is improving in cleanliness and hence this product has got a good scope for growth. Naphthalene ball making is one of the most profitable home based chemical business ideas. Additionally,  one can explore the business as the part-time basis also. Read More…

#29. Organic Chemical Manufacturing

Basically, organic chemical manufacturing is one of the most profitable chemical business ideas. Not only in domestic market, this product has also very good export potential. Selecting the right product and right machinery is important in this business.

#30. Perfume Making

Perfume is popular as an essential cosmetic item for men and women both. The market is huge and it is a profitable venture to start as per revenue is the concern. Selecting the right product category according to the market demand is the crucial aspect in getting success in this business.

#31. Pesticide Formulation

Pesticide formulation is one of the most profitable chemical business ideas to start with substantial capital investment. Proper permission, license and registration is the must in this business. Read More…

#32. Pet Jar Production

Different sizes of pet jars are the essential item in so many industries for various types of food and non-food items packaging. Additionally, you can initiate this lucrative small business opportunity as small-scale basis with small capital investment. Read More…

#33. Rubber Band Manufacturing

The rubber band is a retail and household consumable item. The largest consumer of the rubber bands in the world is the USA. The newspaper industry also uses massive quantities of rubber bands to keep the individual newspapers rolled or folded together before home delivery. The rubber band manufacturing process is not complex. Additionally, any individual can initiate this business with small startup capital. Read More…

#34. Rubber Gloves Manufacturing

Rubber gloves are essential items in the medical industry, automobile industry and manufacturing industry including food processing. The major purpose of using these rubber gloves are to protect the hand and fingers from heat, abrasion, electric shocks, chemical attack, contamination through direct contact as in the case of medical examination gloves etc. The rubber gloves manufacturing process is not complex. Additionally, you can easily procure the main raw material rubber latex. Read More…

#35. Shampoo Production

The shampoo is a very popular consumer household item with increasing market demand. Additionally, various different types of shampoos are very popular nowadays. However, the manufacturing process is not complex. Additionally, you can initiate the business as a small-scale basis. Read More…

#36. Small Plastic Products Manufacturing

High-density polyethylene polypropylene, PVC can be blow moulded into containers of different shapes and sizes for packing pharmaceuticals, Chemicals, solvents, acids, vegetable oil etc. The lightweight, flexibility, chemical resistant, attractive colour are the positive qualities in favour of thermoplastics for packaging application. Read More…

#37. Talcum Powder

Talcum powder is one of the most popular beauty care product. Generally, both men and women use powder to keep the skin dry to suppress the bad (sweat) odor and to feel fresh. The demand of talcum powder is increasing day by day at the pace of awareness of beautification, the purchasing power of people, urbanization, and wide media promotion. The product has also a very good export opportunity. Additionally, you can start manufacturing unit on a small-scale basis. Read More…

#38. Textile Printing Unit

Basically, you can do textile printing by three ways. Block printing, screen printing and roller printing. Screen printing is most popular and profitable out of those three. With modern computerized screen printing machine, any individual can initiate textile printing business with substantial capital investment. Read More…

#39. Toilet Soap Manufacturing

Different types of soap used widely by rural and urban people. Additionally, commercial soap making with allied products are the profitable chemical business ideas in the manufacturing industry.

#40. Washing Blue Manufacturing

Washing blue or laundry blue is an essential household item. The manufacturing process is simple. Additionally, any individual can initiate this business with moderate startup capital investment. Read More…

#41. Weedicide Production

Weedicide is one of the essential agrochemicals in any types of plantation and farming. The formulation process is simple. Additionally, you can initiate the business as small scale basis also.

These are the top chemical business ideas you can consider in starting a successful profitable chemical industry based business venture. With good marketing strategy and honest dedication effort, you are bound to get successful with these chemical business ideas.