Start Agarbatti Making Business: A Fragrant Opportunity

Orhan Wadia
Orhan Wadia  - Editor
5 Min Read

Agarbatti, also known as incense sticks, holds a significant place in Indian culture. Used in religious and social functions, incense sticks are part of the daily routine for many households in India. Their demand remains steady throughout the year, with a significant increase during festivals. The business of making incense sticks can be initiated on both small and large scales. Apart from spreading fragrance in homes, these sticks are also valued for their insecticidal and antiseptic properties.

Starting Your Agarbatti Making Business

Starting an agarbatti making business is relatively low-risk and can be launched with minimal investment. Here’s a step-by-step guide to help you get started:

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1. Plan Your Budget and List of Requirements

  • Determine your budget for the business.
  • Prepare a detailed list of equipment and materials you’ll need.

2. Conduct Market Research

  • Research the potential market for agarbattis.
  • Identify potential obstacles and plan strategies to overcome them.

3. Choose an Ideal Location

  • Decide on a suitable location for your business operations.
  • Ensure it meets your space requirements.

4. Procure Raw Materials

  • Raw materials for agarbatti making are readily available in India.
  • Companies in cities like Kolkata and Ahmedabad supply these materials.

5. Determine the Timing

  • The time required to make agarbattis varies based on the machinery used.
  • Automatic machines can produce 150 to 200 agarbattis per minute.

6. Calculate Startup Costs

  • The cost of starting an agarbatti business manually at home is approximately Rs 13,000.
  • For a larger scale business with machinery, the cost can be around Rs 5 lakh.

Raw Materials for Agarbatti Making

Here are some essential raw materials required for agarbatti making, along with their approximate prices:

  • Charcoal dust: Rs 13 per kg
  • Jigat Powder: Rs 60 per kg
  • White Chips Powder: Rs 22 per kg
  • Sandalwood powder: Rs 35 per kg
  • Bamboo stick: Rs 116 per kg
  • Perfume: Rs 400 per piece
  • DEP (Diethyl phthalate): Rs 135 per liter
  • Paper box: Rs 75 per dozen
  • Wrapping paper: Rs 35 per packet
  • Kuppam Dust: Rs 85 per kg

Agarbatti Making Process

Two common types of incense sticks are produced commercially: masala incense sticks and aromatic incense sticks.

Making Agarbatti by Hand

  • Prepare Agarbatti Premix Powder, a mixture of charcoal powder, wood powder, and jigat powder.
  • Knead the premix with water to form a stiff dough.
  • Roll the dough onto thin bamboo sticks by hand.
  • Dip the sticks in aromatic oil, dry them, and pack them.

Making Aromatic Agarbatti

  • Dip dried agarbattis in a mixture of diethyl phthalate (DEP) and fragrant perfume (4:1 ratio).
  • Dry them again before packing.


  • Always dry agarbattis in the shade or through a drying machine, not in direct sunlight.
  • Ensure they are stored separately to prevent sticking due to moisture.

Business Registration

  • Register your business with the Registrar of Companies (ROC).
  • Apply for a business license and PAN card.
  • Open a current bank account.
  • Register as an SSI unit.
  • Apply for VAT registration and trademark protection.
  • Obtain NOC from the Pollution Control Board if needed.

Selecting Agarbatti Making Machines

Choose machines based on your business scale:

  • Manual Machine: Affordable and easy to operate.
  • Automatic Machine: Ideal for higher production.
  • High-Speed Machine: Offers maximum efficiency.

Agarbatti Dryer and Powder Mixer Machines

  • Agarbatti Dryer Machine: Dries up to 160 kg of agarbattis in 8 hours.
  • Agarbatti Powder Mixer Machine: Mixes dry and wet powders effectively.


  • Packaging plays a crucial role in attracting customers.
  • Consider both manual and machine-based packaging options.

Starting an agarbatti making business can be a fragrant journey towards success. With the right planning, materials, and machinery, you can embark on this venture with confidence.

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