There are very few businesses where Govt. ambitions meet with someone’s personal ambitions. And if you do such businesses, you have the back of Indian Government.
Solar lamp manufacturing business is one such type of business that is fueled by Govt. of India, and you can earn lakhs by starting your own business of solar lamp manufacturing.
All you have to do is manufacture solar lamps and sell them.
Isn’t it easy?
Well, to be honest, it is not.
There are a lot of things involved in setting up a business from scratch ranging from learning the manufacturing process, arranging approvals and licensing, finding workforce, purchasing machinery and raw material, arranging funds, finding buyers, and so on.
But still, it is far easier than setting up any other business where Govt. does not have its own interest. In this business, you will get assistance at every step from setting up the business to funding to selling by Govt. of India.
Let’s learn how to setup solar lamps manufacturing business.
MSME Development Institute has prepared a detailed plan for people who are willing to start their own solar lamps manufacturing business. To start your business, you will need the initial working capital of Rs. 1.50 lakh for the first month and fixed capital of Rs. 3.50 lakh is required to buy machinery and equipment.
To manufacture solar lamps, you need raw material which includes Solar PV module, battery, LED, switch, resistors, transistors, capacitors, modern plastic cabinet, and other mechanical components. As per the MSME Development Institute report, manufacturing a solar lamp would cost you around Rs. 1700.
The market value of a solar lamp is Rs. 2200. If you manufacture 1000 solar lamps per month, you will end up manufacturing 12000 lamps per year, which would cost you around Rs. 2 crores 4 lakh. And if you add depreciation and interest cost of Rs. 39 lakh 66 thousand, the total cost would become Rs. 2 crores 43 lakh.
By selling 12000 solar lamps at Rs 2200 per lamp, you will earn Rs. 2 crores 64 lakh that would result in 20 lakh 33 thousand savings per year.
The government announced to distribute 7 million solar lamps in 2016. So you don’t have to worry about buyers for your lamps.
Are you ready to start your own solar lamp manufacturing business?