What is Makhana?, How to Start a Makhana Business, Choosing the Right Location, Equipment, Staff & Setup Cost, Licenses and Permits Needed, Marketing Strategies and Sales Channels, Packaging Tips for Shelf Appeal, Total Investment Required, Expected Profit Margin, Risks and Challenges to Be Aware Of
What is Makhana?
 |
| Makhana |
Makhana is the seed of the Euryale Ferox plant, commonly
grown in the ponds and wetlands of Bihar, Assam, and parts of eastern India.
Once harvested and roasted, these seeds turn into light, puffed nuts that are
crunchy and nutritious. Rich in protein, low in fat, and full of antioxidants,
makhana is known for its health benefits such as aiding digestion, improving
heart health, and controlling blood sugar levels. It's naturally gluten-free
and considered an ideal snack for diabetics and weight-watchers. Thanks to
growing awareness about wellness and mindful eating, makhana has earned a
premium spot in both Indian and global snack markets.
How to Start a Makhana Business
 |
| How to make Makhana |
Getting started is easier than you think. Here’s a
step-by-step overview:
- Learn
the basics of makhana sourcing, roasting, and packaging.
- Decide
whether you want to process and brand makhana or sell it raw in bulk.
- Register
your business under MSME/Udyam for government benefits.
- Choose
a target market—wholesale, retail, or direct-to-consumer.
- Build
a small setup with roasting and packaging equipment.
- Experiment
with flavors like peri-peri, masala, or cheese.
- Start
selling online, offline, or even through export channels.
Choosing the Right Location
 |
| choosing the location |
The location of your makhana business depends
on your business model. If you're planning to get into raw makhana sourcing or
farming, then Bihar especially regions like Darbhanga, Madhubani, and Sitamarhi
is ideal due to the abundance of lotus ponds. On the other hand, if you're
focusing on roasting, flavouring, and selling makhana, setting up your unit in
urban or metro areas like Mumbai, Bengaluru, or Delhi can help you stay close
to your target market and distribution points.
Equipment, Staff & Setup Cost
 |
| Equipment and setup cost |
Here’s a quick cost breakdown for starting a small to
medium-sized makhana processing unit:
|
Item |
Estimated Cost (INR) |
|
Roasting Machine |
₹1,00,000 – ₹1,50,000 |
|
Mixing & Flavoring Unit |
₹50,000 – ₹1,00,000 |
|
Packaging Machine |
₹80,000 – ₹1,20,000 |
|
Raw Makhana (per kg ₹350–450) |
Based on monthly need |
|
Misc. Tools & Storage |
₹20,000 – ₹30,000 |
|
Branding/Logo Design |
₹10,000 – ₹15,000 |
|
Manpower (2–3 workers) |
₹25,000 – ₹35,000/month |
|
Premise Rental (Optional) |
₹10,000 – ₹25,000/month |
Licenses and Permits Needed
 |
| Licenses and permit required |
Since makhana is a food product, obtaining proper licenses
is crucial. You must first get an FSSAI license, which ensures your food
business complies with hygiene and safety regulations. You’ll also need GST
registration for tax purposes, an MSME/Udyam certificate for accessing
government subsidies and loans, and a trade license from your local municipal
body. If you want to build a strong brand, consider applying for a trademark to
protect your business name and logo.
Marketing Strategies and Sales Channels
 |
| marketing and sales strategies |
Marketing plays a key role in making your makhana business
successful. Start by creating a catchy brand name and logo that connects with
health-conscious consumers. Use social media platforms like Instagram and
YouTube to share short videos of your makhana being roasted, packed, or eaten
by influencers. Partner with gyms, dieticians, or yoga studios to create
awareness and distribute free samples. You can sell your products through
various channels list them on Amazon, Flipkart, and Big Basket, or build
your own website using Shopify or Dukaan. Offline, target organic food stores,
supermarkets, and cafes. For those who want to think big, the export market
(USA, UK, UAE) offers high demand for Indian health snacks like makhana.
Packaging Tips for Shelf Appeal
 |
| Packaging Tips |
In the snack business, packaging is more than just a wrapper
— it's your first impression. Use food-safe, resealable pouches with attractive
designs and clear labels. Make sure to include nutritional facts, your FSSAI
license number, and manufacturing/expiry dates. Highlight features like “No
Preservatives,” “Gluten-Free,” or “High in Protein” on the front of the pack.
Eco-friendly or recyclable packaging can also give you an edge with
eco-conscious buyers. Adding a QR code that links to your website or discount
coupons can help you retain customers.
Total Investment Required
 |
| investment required |
You don’t need a huge budget to start. For a home-based
setup, you can begin with as little as ₹1.5 to ₹2.5 lakhs by using basic
tools and manual processes. A semi-automatic setup will cost around ₹3
to ₹6 lakhs, including machines, raw material, labor, and marketing. For those
aiming to build a large-scale or export-oriented factory, the investment may go
beyond ₹10 lakhs. But it’s wise to start small, test the market, and then scale
your operations.
Expected Profit Margin
 |
| profit |
The profit potential in the makhana business is impressive.
Raw makhana usually costs ₹350–₹450 per kilogram. After roasting, flavoring,
and packaging, the final product can be sold for ₹600 to ₹1000 per kilogram,
depending on the quality and branding. With good demand and low competition in
flavored snacks, you can expect a net profit margin of 25% to 40%. For a
small business, monthly profits can range from ₹30,000 to ₹1.5 lakhs. As your
brand grows and gains regular customers, profits can multiply significantly.
Risks and Challenges to Be Aware Of
 |
| Risk |
Every business has its challenges, and the makhana business
is no exception. The price of raw makhana can fluctuate based on harvest
seasons and supply conditions. Shelf life can be an issue if the product is not
stored or sealed properly. Since the market is growing, more brands are
entering, so standing out with unique flavors and premium packaging is key.
Maintaining consistency in taste, freshness, and delivery is crucial for
long-term success. However, with the right strategy and commitment, these risks
can be managed effectively.
1. Is makhana business profitable?
Yes, the makhana business is highly profitable due to low raw material costs and high retail value. On average, entrepreneurs can expect a 25% to 40% profit margin, especially if they add value through flavoring and branding. With consistent sales, a small-scale unit can earn ₹30,000 to ₹1.5 lakh monthly.
2. How much investment is needed to start a makhana business?
You can start a small-scale makhana unit with an investment of ₹1.5 to ₹2.5 lakhs if operating from home with manual tools. A more professional setup with semi-automatic machines may require ₹3 to ₹6 lakhs.
3. Do I need a license to sell makhana?
Yes, you need to obtain an FSSAI license to legally sell makhana or any edible product. Additionally, it’s recommended to register your business under MSME/Udyam, get a GST number, and a local trade license from your municipal office.
4. Where can I source raw makhana?
Raw makhana is primarily sourced from Bihar, especially in areas like Darbhanga, Madhubani, and Sitamarhi. You can connect with local farmers, cooperatives, or wholesale suppliers through agricultural networks or online B2B platforms.
5. What flavors can I make with roasted makhana?
Popular makhana flavors include masala, mint, cheese, peri-peri, tomato, and Himalayan salt. You can also experiment with sweet variants like caramel or jaggery-coated makhana for a unique product line.
6. How do I market my makhana brand?
Start with a strong brand name and attractive packaging. Use Instagram reels, influencer marketing, and fitness partnerships to create buzz. List your product on platforms like Amazon, Flipkart, or create your own store using Shopify or Dukaan.
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