Assam’s economy continues to be predominantly agrarian. Its biggest contribution to the world is its tea. Assam produces some of the finest and most expensive teas in the world. The state produces 15 per cent of the world’s tea.
The secondary sector of the economy comprises the industries in Assam with large and medium-scale productions. Some of the state’s other industries are Fisheries, Sericulture, Forest and wood industry, chemical and fertilizers industry, Handloom, and textile industry.
Assam is a major producer of crude oil and natural gas in India. The agriculture-based socio-economic scenario has created opportunities for small business ideas in Assam. Find below the most profitable low-cost small business ideas in Assam.
Why Start a Business in Assam?
Abundant Natural Resources
Assam is blessed with fertile soil, rivers, and forests. This makes it perfect for agriculture, fisheries, and forestry-based industries.
Tourism Potential
The scenic beauty, wildlife, and historical sites of Assam attract tourists from across the globe. Hence, tourism-related businesses thrive here.
Government Support
The Assam government offers various subsidies, tax benefits, and financial schemes to encourage new businesses, especially small and medium enterprises (SMEs).
Cultural Diversity
Assam is rich in its vibrant culture and traditional arts. This affords a good scope for handicraft, textile, and cultural tourism-related businesses.
Strategic Location
Assam is a gateway to Northeast India and neighbouring countries such as Bhutan and Bangladesh. Hence, the state presents an excellent trade and export hub for businesses.
23 Small Business Ideas in Assam
1. Tea Plantation and Processing
Assam is the highest tea-producing state in India. Tea plantations or small-scale processing units are also very profitable. Organic and speciality teas are in increasing demand. The demand for Assam tea is global, and it has a solid domestic market as well.
2. Handloom and Textile Business
Assam is famous for its traditional handloom products, such as Muga silk and Eri silk. There is an increasing demand for traditional textiles worldwide. You can launch a handloom or textile business and sell products to the domestic and international markets.
3. Tourism and Hospitality
Tourism in Assam is booming with attractions like Kaziranga National Park, Majuli Island, and ancient temples. Opening a hotel, homestay, or travel agency can be lucrative. The tourism industry in Assam is growing at a steady rate.
4. Auto Body Store
The industry sector in Assam is developing. The transportation facility is also growing. You can start a small-scale auto-body store business in Assam with allied services. The auto-body store business provides services of auto-body repair and new bodybuilding as well as selling spare parts and accessories related to the vehicle body. As the number of vehicles is growing, the business opportunity of auto-body stores is also increasing globally.
5. Candle Making
Candle-making business can be initiated with a small start-up budget and a home-based basis. People purchase candles not only for religious purposes but also to scent and decorate their homes and business places. The popularity and consumer demand for scented and decorative candles create a tremendous business opportunity for innovative startup entrepreneurs. A small-scale candle-making business can be a great way for entrepreneurs for extra money or even a full-time income.
6. Coffee Shop
In urban and city areas, the coffee shop is one of the most profitable business ideas in Assam. Over the past decade, the coffee shop industry is increasing rapidly. An entrepreneur passionate and talented about coffee can initiate a coffee shop business with substantial capital investment.
Coffee shops are treated as a third place outside of work and home to relax. The coffee shop business is one of the best ways to turn your love for coffee into a profit-making business.
7. Computer Training Institute
The computer training institute is an ideal business opportunity for aspiring computer-savvy professionals. Running a computer training institute with some other value-added services can be a profitable and self-rewarding business.
8. E-commerce for Local Products
You can create an online platform to sell Assam’s unique products like tea, silk, and handicrafts to a global audience. Since there is an increasing preference for online shopping, you can make a good profit by starting an e-commerce store.
9. Fish Farming
Assam has abundant water resources, and the place is very suitable for aquaculture. The State’s Department of Fisheries in Assam aims to promote and develop the economic farming of fish in the state. Fish farming can meet local as well as national demand. Fish is a staple diet in Assam, ensuring a constant market. This business can be run with low operational costs and has the potential for quick returns.
10. Papad Making
Papad-making business is very profitable in the food industry considering the investment of low start-up capital. This popular food item is often served as an appetizer; it is consumed in all parts of India. It’s a thin wafer-like product. A variety of pulses and proportions of pulses and spices varies from region to region depending upon the preferences of local people whereas certain varieties are popular on a larger scale.
11. Online Coaching and Education
With the rise of digital education, starting an online coaching platform for competitive exams or skill development can be a great idea. Number of students seeking online learning options is growing in the state. This business offers flexible working hours and low startup costs.
12. Tea Bag Making
Assam is very famous for its tea. A large quantity of Assam Tea is exported abroad. This business in turn earns a lot of revenue for the state. You can start a tea bag-making business here. A tea bag is a small, porous sealed bag containing tea leaves and is used with a hot cup of water to prepare the beverages called tea.
13. Vermicompost Organic Fertilizer Production
Vermicompost organic fertilizer production has now become a major component of agri-business models across the country with a very low initial investment. This fertilizer is the product or process of composting utilizing various species of worms to create a mixture of decomposing vegetable or food waste, bedding materials, and vermicast.
14. Organic Farming
Organic fruits, vegetables, and spices are in great demand. Assam is an ideal place for organic farming because of the fertile soil and the climate of the state. Organic products command a premium in the metro cities and overseas markets. The market is also influenced by health-conscious consumers seeking chemical-free products.
15. Spice Processing and Packaging
Assam produces spices like ginger, turmeric, and cardamom. A spice processing unit can cater to both domestic and export markets. There is a high demand for organic and locally sourced spices. Spices are an integral part of Indian cuisine, ensuring steady demand.
16. Ethanol Production
With an abundance of sugarcane and molasses, Assam is well-suited for ethanol production. This business aligns with India’s push for biofuels. Ethanol is increasingly being used in the fuel industry. Also, local government policies favour renewable energy initiatives.
17. Pickle and Jam Production
You can start a pickle or jam-making business using local fruits and spices. These products are in demand locally and in urban markets. More and more people are showing preferences for homemade, preservative-free products. You can easily start this business from home with a low investment.
18. Local Handicrafts Business
Assam’s handicrafts, like bamboo and cane products, are highly valued. Selling these items locally or exporting them can generate significant profits. There is a growing demand for eco-friendly and traditional decor items. The handicrafts business supports local artisans and preserves cultural heritage.
19. Eco-Tourism
Assam has plenty of lush greenery and wildlife. Therefore, it can be ideal for ventures related to eco-tourism. This can be through guided tours or the establishment of eco-lodges. You can start an eco-tourism business, targeting the rising interest in nature-related activities.
20. Dairy Farming
Assam is a place of strong demand for dairy products. It is profitable to start a dairy farm or milk processing unit. Milk, butter, and cheese have a great demand. The market is constant and income is steady.
21. Food Processing
From packaged snacks to ready-to-eat meals, Assam’s food processing industry is huge. It has a great value addition opportunity in the form of local ingredients. Urbanization is moving at a rocket speed in Assam, which makes it demand processed food.
22. Cold Storage Facility
Assam’s agricultural produce often suffers from a lack of storage. Starting a cold storage unit can cater to farmers and traders. Cold storage facilities are in high demand with long-term growth potential in the state.
23. Herbal Medicine Business
Assam has a rich variety of medicinal plants. Manufacturing herbal products can cater to the growing wellness industry. The state has a good demand for natural and organic healthcare solutions. Minimal competition and increasing consumer interest are some of the main reasons for starting this business in the state
Editorial Team at 99BusinessIdeas is a team of experts led by Rupak Chakrabarty with over 25 years of experience in starting and running small businesses. Started in 2010, 99BusinessIdeas is now one of the largest free small business resources in the industry.