Gypsum Board Production Business Plan Sample

Gypsum board is the generic name of a panel-type product consisting of a noncombustible core. The products are used in False Ceilings, Light partition walls etc for better appearance & thermal insulation properties. Such Boards use gypsum with paddy husk, Jute sticks & Fibre, coir etc.

Gypsum Boards are preferred in indoor uses as wood & plywood have become costlier and as timber destruction can be reduced by using them. It is an environment-friendly product. Gypsum board walls and ceilings have a number of outstanding advantages like fire resistive, sound attenuating, durable, economical, versatile etc. Additionally, you can initiate gypsum board production as small and medium scale basis.

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Different Types Of Gypsum Board & Applications

The product is developed through modern technology to meet specific requirements of the industry. It is mainly used as the surface layer of interior walls and ceilings; as a base for ceramic, plastic, and metal tile; for exterior soffits; for the elevator and other shaft enclosures; as area separation walls between building units; and to provide fire protection for structural elements. Most gypsum board is available with an aluminum foil backing that provides an effective vapor retarder for exterior walls when the foil surface is applied to the framing. according to the thickness, there are different types of gypsum boards are available. Such as

  • 1/4-in. A low-cost gypsum board used as a base in a multi-layer application for improving sound control, or to cover existing walls and ceilings in remodeling.
  • 5/16-in. A gypsum board used in manufactured housing.
  • 3/8-in. A gypsum board principally applied in a double-layer system over wood framing and as a face layer in repair or remodeling.
  • 1/2-in. Generally used as a single-layer wall and ceiling material in residential work and in double-layer systems for greater sound and fire ratings.
  • 5/8-in. Used in the quality single layer and double-layer wall systems. The greater thickness provides additional fire resistance, higher rigidity, and better impact resistance.
  • 3/4-in. Used in a similar manner to 5/8-in.
  • 1-in. Used in interior partitions, shaft walls, stairwells, chase ways, area separation walls and corridor ceilings. Manufactured only in 24 in. wide panels and usually installed as an integral part of a system.

Depending on the type and the use, you can produce gypsum board with a tapered, square, beveled, rounded, or tongue and groove edge. Some gypsum board types may incorporate a combination of different edge types.

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Gypsum Board Market Opportunities

We have seen a pickup in gypsum board business in recent quarters. The major reason is the improvement of the construction markets as well as a more aggressive pricing strategy among manufacturers. Gypsum-based panels are the most common building blocks used for interior walls and ceilings. It is still a low-cost substitute for plywood, hardboard and wooden panel Boards, all of which cause depletion of forest resources. Gypsum Boards are also preferred interior decoration item for commercial establishments. With high priority attached to the housing and increased the flow of finance towards low-cost houses demand Gypsum Plaster Boards have increased. There is a good market potential of gypsum board as a profitable investment opportunity for the entrepreneurs.

Gypsum Board Production Registration & License

In starting the business, you will need to apply for different registrations and licenses from Govt. authorities. We have listed here the basics. This is recommended to check your state’s law before initiating the venture.

  1. Incorporate your business by registering with ROC according to the ownership pattern.
  2. Obtain Trade License from Municipal authority.
  3. Apply for Udyog Aadhaar MSME registration.
  4. Obtain VAT Registration.
  5. Apply for NOC from Pollution Control Board
  6. Apply for BIS certification. Quality standard as per Bureau of Indian Standard Specification Number IS: 2095-1964
  7. You can protect the brand name by registering a Trademark.

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Gypsum Board Production Machinery & Raw Materials

An approximately covered area of 186 sqm. is sufficient to set up the machinery and manufacturing operation. Major required utilities are electricity and water. The required machinery are as follows

  • Alteration type Disc Pulveriser with 7 H.P. Motor
  • 2.5 M long 2M Dia Cylindrical Rotary Drum Calciner with coal-fired roasting oven
  • Platform type weighing balance of 100 kg capacity
  • Wooden Tables with polished Marble Top
  • Moulds Hand Tools, slurry making Tank, etc.
  • Testing equipment

Gypsum and plaster of Paris are the principal raw materials of the unit. Apart from this, you will need to procure packaging consumables.

Gypsum Board Manufacturing Process

The manufacturing process includes several steps.


Gypsum is Disc Pulverized after drying. Then calcine the item in Rotary Drum Calciner at 140°C to 170°C for about two hours.


After cooling, pulverize the plaster of Paris again to a mesh of 150°C. Then, mix the fine plaster with colouring material. After that, make them into a slurry by adding water.


Pour the slurry into moulds where you place the reinforcement materials. The upper surface is smoothened by wooden reaper or straight wooden planks and excess material is recycled by mixing in the slurry.


Properly set boards are removed from moulds and placed on wooden racks for drying in the shade for 3 to 4 days. After drying, gypsum boards are packed in Corrugated Cardboard sheets and Boxes for sales.

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