Petha Manufacturing Unit: You can earn profits worth lakhs every year from Petha Manufacturing Business. It can be started at an expense of less than Rs 2 lakh. You can also get loan and subsidy under KVIC scheme. It can be easily started from home and village.
Petha Business: It is the occasion of Diwali. There is huge demand for sweets in the market. In such a situation, if you want to start your own business then you have a great opportunity. You can print big money by starting a petha manufacturing unit with less money. Actually, Petha of Agra is known throughout the country for its sweetness, fragrance and taste. Now, under the Government’s Village Industries Employment Scheme (KVIC), it is becoming increasingly popular as a profitable Village Industries Project. The biggest feature of this business is that it neither requires heavy machines nor a big factory. This unit can be easily started with less space, some basic equipment and local workers.
What is Petha Manufacturing Unit?
Petha or Petha candy is a famous sweet of North India. It is especially liked in Agra and Lucknow. It is a white or light colored crystal-like sweet, which is made from pumpkin. Petha is made in a completely traditional way, so it can be easily made at home or in the village.
Total Cost of Petha Manufacturing Unit
land (own)
Building Shed (500 square feet)- 1 lakh rupees
Equipment (furnace, boiler, drum, fan, table etc.)- Rs 50,000
Total Capital Expenditure- 1.50 rupees
Working Capital- Rs 37,000
Total Project Cost- Rs 1,87,000
Annual Production of Petha Manufacturing Unit
| Details | Capacity (quintal) | Price (₹/quintal) | Total Price (in Rs.000) |
|---|---|---|---|
| Petha or Petha Candy | 76 | 2,000 | 152 |
| total production value | , | , | 1,52,000 |
Details of expenses in Petha Manufacturing Unit
Raw Material- Rs 10,000
Label and packing- Rs 1,000
Wages (skilled and non-skilled)- Rs 30,000
Salary- Rs 50,000
Administrative Expenses- Rs 10,000
overheads- Rs 15,000
Miscellaneous expenses- Rs 10,000
Depreciation- Rs 10,000
Insurance- Rs 1,500
Loan Interest- Rs 24,310
Total annual expenditure- Rs 1,61,810
Petha Manufacturing Unit Working Capital and Cost Analysis
Fixed cost- Rs 91,000
Variable Cost- Rs 60,810
Working capital per cycle- Rs 37,953
Estimated Cost and Profit
| Details | 100% | 60% | 70% | 80% |
|---|---|---|---|---|
| fixed cost | 91.00 | 54.00 | 63.00 | 73.00 |
| variable cost | 61.00 | 36.00 | 42.00 | 48.00 |
| production cost | 152.00 | 91.00 | 106.00 | 121.00 |
| sales forecast | 193.00 | 115.00 | 135.00 | 154.00 |
| gross surplus | 41.00 | 24.00 | 29.00 | 33.00 |
| Net Surplus (Profit) | 31.00 | 15.00 | 19.00 | 23.00 |
What is the process of making petha?
- The process of making petha is traditional and very easy.
- First of all, the pumpkin is peeled and cut into pieces.
- It is softened by boiling it in water.
- Then it is put in sugar syrup and dried.
- Packing and labeling is done after cooling.
- Help of local artisans can be taken for this entire process.
Equipment List for Petha Manufacturing Unit
diesel furnace and boiler
exhaust fan
Washing and Storage Drum
SS Table and Vessels
sealing machine
Weighing Machine, Cups, Mugs, Utensils etc.
Financial help and profit in Petha manufacturing unit
This project is approved under the Village Industries Employment Scheme (GRY) of Khadi and Village Industries Commission (KVIC). In this scheme, loan and subsidy is available from the bank at cheap interest. If space is taken on rent, the total cost reduces, interest is less and profit percentage increases.
How much profit will there be from petha business?
According to the estimate, the production cost of this project is Rs 1.52 lakh. In this, the selling cost can be Rs 1.93 lakh, the net profit can be Rs 31,000 in the first year, which can increase rapidly in the subsequent years and can reach lakhs.
Disclaimer: This article is for informational and educational purposes only. The information and details given here have been taken from kviconline.gov.in. Before doing business, do your own research and take advice from your financial advisor or concerned department before taking any investment decision.
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