In 2023, India’s exports stood at $765.6 billion, which equals approximately Rs. 62,77,920 crores. The demand for Indian goods in the global market is at an all-time high, driven partly by the vast Indian diaspora keen to use products from home.
Additionally, the appeal of Indian products extends beyond the diaspora, captivating foreign nationals who have developed a strong preference for them. Given this thriving international interest, venturing into an export business in India currently offers a compelling opportunity for aspiring entrepreneurs.
But the question is – which products should you expect? Read on as we explore some of the best export business ideas in India that you must try.
Best Export Business Ideas in India
Here are the seven best exporting business ideas in India:
1. Textile and Garments
India has one of the oldest textile industries in the world, and its total exports amount to Rs. 3,043.02 crores. With the United States of America being the biggest importer of the country’s textile goods, having a textile export business in India is a lucrative proposition.
You can easily source locally produced clothing and household textile items at cheaper rates and sell them internationally for high profit margins. India is also a leading producer of cotton, silk, jute, and other fibres. So, you also gave the option to get a small business loan to invest in looms and set up your own textile manufacturing unit.
2. Handicrafts
The international market is also great for handicraft export business as people are increasingly using Indian items in home décor and as gifts. The demand is high for various categories of products, including handbags, pottery, footwear, wooden carvings, embroidery, paintings, bamboo work, and more.
The best part about running a handicraft export business from India is the high-profit margin. You can directly source handicraft items from local artisans in bulk at affordable rates. These products can then be exported to countries at a higher price, making the entire operation sustainable even for small businesses.
3. Imitation Jewellery
If one thing stands true for Indians, whether they live in the country or reside abroad, it is that they love their jewellery. The beauty of ethical Indian jewellery and gemstones also mesmerises the locals, especially in countries like the United States, the United Kingdom, the United Arab Emirates, Hong Kong, and Singapore.
If you need jewellery export business ideas from India, you have two options. The first option is to source readymade jewellery from the domestic market and then export it to different countries. Alternatively, you can get custom jewellery made on contract to sell a unique line of products in the international market.
4. Pickles
Pickles business is an exciting and profitable export business idea that you can try. India currently exports pickles to 54 countries worth around Rs. 257.89 crores. This business is also perfect if you are starting at a smaller scale and want to know business ideas which require minimum capital, bear minimal costs in the initial stages of the business.
While India has many renowned brands selling pickles, the pickle market is huge and dominated by micro-industries and women’s self-help groups. These groups produce handmade pickles, which can be advantageous in positioning your pickles in the global markets.
5. Papad
If you’re looking for an export business idea that unlocks a massive global market and doesn’t require enormous investment, papad exporting is also worth considering. At present, India exports all kinds of papads from various regions to over 120 countries worldwide.
Similar to the pickle industry, several women’s self-help groups produce handmade and machine-made papads. Initially, you can source products from these small manufacturers at a lower cost and sell them in the international market. As your exports grow, you can get a business loan to invest in machinery and set up your own manufacturing unit.
6. Spices
Since historical times, Indian spices have travelled to the entire world and continue to do so. Despite the Coronavirus pandemic, the Indian spice export industry maintained an upward trend. In 2023, the country exported 14 lakh tons of spices valued at Rs. 31,761 crores.
Indian spices are known for their aroma and health benefits. Spices such as cardamom, cinnamon, cumin, turmeric, etc., have huge markets in the United States, Canada, Australia, and several Middle Eastern countries. So, if you’ve been looking for an export business idea, spices can be your key to the global market.
7. Incense Sticks
Last on this list is another low-cost export business idea: incense sticks or Agarbattis. Incense sticks have a huge domestic market due to their extensive use in religious and cultural activities. However, in international markets, Indian incense sticks are used heavily in aromatherapy and meditation.
India currently exports incense sticks to almost 150 countries across the globe. So, there’s a huge customer base for you to target. Also, you can easily get incense sticks manufactured at a local micro-industry or women’s self-help groups at affordable rates. Therefore, exporting incense sticks gives you an excellent opportunity to make massive profits.
8. Tea
Tea is one of India’s most well-recognised and widely exported products. This makes it a lucrative export business idea in 2024. India produces a diverse range of teas, including Assam, Darjeeling, and Nilgiri, each with unique flavours and aromas that are highly sought after globally.
If you establish strong relationships with tea plantations and ensure quality control, you can tap into international markets where demand for premium Indian tea remains high. Additionally, organic and specialty teas are gaining popularity and you can make use of these niche opportunities for higher margins.
Some Indian brands that have succeeded in the tea export business are Tata Tea, Brooke Bond, and Wagh Bakri.
9. Leather
Leather is another profitable export business idea in India. Indian leather is known for its high-quality craftsmanship and diverse product range. India is a major exporter of leather goods, including footwear, garments, bags, and accessories, which are in demand across Europe, the USA, and other regions.
To succeed, focus on maintaining superior quality and adhering to international standards and certifications. Building a reliable supply chain and collaborating with skilled artisans can help you produce competitive and attractive leather products.
Gujarat, Tamil Nadu, and West Bengal are the top states driving leather exports. These states have well-established leather clusters and infrastructure that support large-scale production and export activities
Final Words
That wraps this round up of seven best export business ideas in India. The biggest advantage of exporting from the country is the lower cost of items, be it raw materials or finished goods. This allows you to establish a business with minimal initial investment and cost of production or sourcing goods.
If you need instant funds for your export business, turn to Tata Capital. We extend affordable MSME loans of up to Rs. 90 lakhs at attractive interest rates. Moreover, the flexible tenure ensures you can repay the loan as your business becomes more profitable over time.
FAQs
Yes, an export business can be highly profitable in India. With diverse products and a growing global market, with proper planning you can tap into international demand.
To start your export business, first identify a product with international demand. Register your business and obtain an Import Export Code (IEC) and Registration Cum Membership Certificate (RCMC). Develop a business plan, find reliable suppliers, and establish connections with international buyers.
India's top export items include leather, petroleum products, gems and jewellery, pharmaceuticals, textiles, and engineering goods. These sectors consistently perform well due to high global demand and India's strong manufacturing capabilities.
The best products for export from India include textiles, spices, handicrafts, pharmaceuticals, and IT services. Choose products with high demand and good profit margins.
To find a product for export, research global market trends and identify gaps you can fill. Consider your expertise and resources, evaluate competition, and assess profitability.
14 November 2024
6 mins read
Previous Post
