Profitable Business Ideas: Start Your Own ‘Atta Chakki’, Complete Cost Analysis Inside

Profitable Business in India: Establishing an ‘Atta Chakki’ is a basic business that can never go in a loss in a country like India where Flour or Atta is used in every kitchen to make Rotis, Paranthas & even bakery items. Flour mills can be set up at small to large scales (domestic flour mill, commercial flour mill, bakery/mini flour mill, roller flour mill) keeping in view the market demand and local requirements. Flour Mills can be set up in both Rural & Urban Areas. 

The packaged wheat flour market in India has grown by almost 19% in the last three years. In view of the adulteration in food items, even in urban areas, people keep wheat and other grains and grind them in the market; this gives the taste of fresh flour as well as purity. 

Production Process: 

Traditionally, the process of grinding flour with a hand chakki is very time-consuming & old. There are different types of good and cheap mills available for grinding flour. In this business, good quality wheat or other grains are bought from the market. After this, the wheat is thoroughly cleaned and ground to a fine powder. The finished flour is packed in packets of different sizes and sent for sale. 

How much investment and space is needed for Atta Chakki / Floor Mill business?  

If you wish to start a small-scale Atta Chakki you can start with an investment of 2-3 lakhs with 200-300 sq ft area. 

However, for starting a large-scale floor mill, you have to spend a major chunk of your investment money on the land. You need at least 2000-3000 sq ft area to start this business.  

The next major expense is that of the machines; the cost of machines depends on whether you are opting for manual machines, semi-automatic or fully automatic ones.

Depending on your choice & the scale of your business you will have to spend at least Rs 4-6 Lakhs on the machines but the good thing is that this will be a one-time investment. 

Further, you need to obtain the licenses & registrations that might cost you from Rs 10000 to 50000.  

Overall, Rs 15,90,000 to 26,75,000 will be capitalized in the floor mill business. For this, to take loan from the bank, its project report will have to be prepared and presented to the bank. 

Licenses required for setting up a Floor Mill 

Usually, no licenses are required for setting up a small Atta Chakki. The license has to be taken only for large-scale work like flour mill business. The first license will have to be taken for the business entity, for which the brand will have to be registered.  

Since this is a food business, it is necessary to get registered with the Food Safety and Standards Authority of India (FSSAI). After this, a trade license will be required to do business. 

Udyog Aadhaar Registration and GST registration number will have to be taken. All of them can apply offline or online to get the license.