The tissue paper making business is a profitable venture due to the high demand for tissue papers in various places such as restaurants, hotels, hospitals, and homes. Here in this article, we have provided a comprehensive guide on how to start a tissue paper manufacturing business in India.
What is Tissue Paper Manufacturing Business?
A tissue paper manufacturing business involves the production of tissue papers, which are widely used for various purposes, including personal hygiene, cleaning, and industrial applications. Tissue papers are thin, soft, and lightweight papers that are highly absorbent.
Tissue paper businesses produce different types of tissue paper, including toilet paper, facial tissues, paper napkins, and kitchen towels. These tissue paper products are available in various sizes, thicknesses, and designs to meet the diverse needs of consumers.
Why Start a Tissue Paper Manufacturing Business?
As per this report, the revenue generated in the Tissue and Hygiene Paper market in India in 2024 amounts to US$40.61bn. It is projected to experience an annual growth rate of 5.18% (CAGR 2024-2028).
The tissue paper industry’s high growth potential has propelled its migration from a small-scale industry to a fully grown organized industry sector in India. Some of the big companies in the paper industry are moving into tissue paper production in India.
The product has a strong export potential also. The major export markets are North America, South America, Eastern Europe, Southeast Asia, Africa, the Middle East, Eastern Asia, and Western Europe. Some of the major reasons why tissue paper business can be profitable are as follows:
- High Demand
- Steady Market Growth
- Low Startup Investment
- Easy Manufacturing Process
- Diverse Product Range
10 Steps to Start Tissue Paper Manufacturing Business
1. Conduct Market Research
Before starting a tissue paper business, it is essential to conduct thorough market research. Identify your target market and understand the demand for tissue papers in your area. Analyze your competitors and determine how you can differentiate your product.
2. Create a Business Plan
It is essential to write a business project plan before actually setting up a tissue paper manufacturing unit. It is advised to do market research and then get into writing the draft. The market research will help you in finding out the scope and opportunities and plan accordingly.
Some of the issues your tissue paper manufacturing business plan document are as follows:
- Executive Summary
- Business Profile
- Product Description
- Operational Plan
- Marketing Plan
- Financial Plan
3. Choose the Right Location
Selecting the right location for your tissue paper manufacturing unit is essential. It is advisable to set up the plant in an industrial area with easy access to raw materials and transportation facilities.
4. Arrange Funds
Two types of finance are generally required in the tissue paper business. Fixed cost including space and machines. Another one is working capital including raw materials, wages, transportation, etc.
It is important to prepare a project report or business plan before initiating the business. According to the report, you can apply for a loan from any bank or financial institution. In that case, owners’ credibility and at least 25% investment as owners allocation on total project cost is required.
Read: How To Raise Funds for Startups
5. Registration and Licenses
In starting and operating a tissue paper-making business, you will need to have several different registrations and licenses from the Government Authorities. These are as follows:
- Business registration with ROC
- Trade License from local Municipal Authority.
- NOC from the Pollution Control Board
- Factory License
- Udyog Aadhaar MSME Registration
- GST Registration
- IEC Number if you want to export tissue papers.
6. Procure Machinery and Equipment
Invest in high-quality machinery and equipment for tissue paper manufacturing. Some of the essential machines include:
- Paper Cutting Machine
- Core Making Machine
- Band Saw Cutting Machine
- Sealing Machine
- Embossing Machine
- Printing Machine
7. Raw Material Procurement
Procure the raw materials required for tissue paper manufacturing. The primary raw materials include:
- Tissue Paper Jumbo Rolls
- Packaging Material
- Chemicals and Dyes
8. Tissue Paper Manufacturing Process
The tissue paper manufacturing process includes the following steps:
- Pulp and Dye: This is the first in the process of making soft tissue paper. First of all, you need to create paper pulp. You can produce this from recycled materials.
- Mixing: You need to mix fibre with the wood pulp then you have to bleach it and wash it. Then you need to place the fiber in a mixing tank where the manufacturer adds components like a dye. Tissue paper used for household purposes is normally dyed white. If you want you can mix it with an assortment of dye colors.
- Pressing: Then, you have to go for pressing to squeeze out moisture. The main intention to press tissue is to make it dry and easy for it to enter the next step of the process.
- Creeping: Here pulp is processed through a dryer heated by steam. This dryer helps in putting the pulping process through creping. The roller dries up the pulp with extreme heat as fine blades scrape the tissue to the desired thickness.
- Cutting and Reeling: This is the final stage in the process. Here, cut the long lengthy paper into desired sizes. They cut the tissue into different sizes which are used for different purposes.
Read: Top Small Manufacturing Business Ideas
9. Quality Control
Maintain strict quality control measures throughout the manufacturing process to ensure the production of high-quality tissue papers. Conduct regular checks to ensure that the tissue papers meet the required standards.
10. Marketing and Distribution
Develop an effective marketing strategy to promote your tissue paper brand. Distribute your products through various channels, including wholesalers, retailers, and direct sales. You can also explore online sales platforms to reach a broader customer base.
Frequently Asked Questions
What are the primary raw materials required for tissue paper manufacturing?
The primary raw materials required for tissue paper manufacturing include tissue paper jumbo rolls, packaging material, and chemicals and dyes.
What is the approximate investment required to start a tissue paper manufacturing business in India?
The investment required to start a tissue paper manufacturing business in India can vary depending on the scale of operations. The cost of starting a small tissue paper manufacturing unit will range from Rs. 5 lakhs to Rs. 50 lakhs.
How can I market my tissue paper products?
You can market your tissue paper products through various channels, including wholesalers, retailers, and direct sales. You can also explore online sales platforms to reach a broader customer base.
What are the key factors to consider while choosing the location for a tissue paper manufacturing unit?
The key factors to consider while choosing the location for a tissue paper manufacturing unit include proximity to raw materials, transportation facilities, and availability of skilled labour.
