New Delhi: If you’re on the lookout for an entrepreneurial venture that offers substantial returns with a minimal investment, consider exploring the field of horticultural product cultivation.
For just a Rs 2 Lakh investment, you can immerse yourself in the thriving Exotic Vegetarian Market of Mushroom Cultivation & Processing and look forward to a promising income. The mushroom market has witnessed rapid growth in recent years, thanks to its rich nutritional value, distinctive taste, and aroma. Additionally, this exotic vegetable enjoys high demand among health-conscious individuals who monitor their calorie and fat intake.
As per the Khadi and Village Industries Commission (KVIC) Project Profile, here’s the cost breakdown for Mushroom Cultivation & Processing:
COST OF PROJECT For Mushroom Cultivation & Processing
Land (Rented/Owned)
Building & Civil Work (2000 Sq Ft): Rs 5 lakh
Plant & Machinery: Rs 8 lakh
Furniture & Fixtures: Rs 69,000
Pre-operative Expenses: Rs 50,000
Working Capital Requirement: Rs 5.81 lakh
Total: Rs 20 lakh
MEANS OF FINANCE For Mushroom Cultivation & Processing
Own Contribution @10%: Rs 2 lakh
Term Loan: Rs 12.77 lakh
Working Capital Finance: Rs 5.22 lakh
Total: Rs 20 lakh
According to the KVIC project report, you can expect gross sales of Rs 76.95 lakh, Rs 93.83 lakh, Rs 107 crore, Rs 120 crore, and Rs 134 crore in the 1st Year, 2nd Year, 3rd Year, 4th Year, and 5th Year, respectively.
KVIC has also suggested a net profit of Rs 8.90 lakh, Rs 11.32 lakh, Rs 14.51 lakh, Rs 17.55 lakh, and Rs 20.44 lakh in the 1st Year, 2nd Year, 3rd Year, 4th Year, and 5th Year, respectively.
“Under the present conditions and with the know-how developed by CFTRI, it is possible to cultivate mushrooms in any part of the country. The technology is available with CFTRI. Compliance with the PFA Act for such a unit is essential,” says the KVIC feasibility report.
For a Mushroom Cultivation Business, you must obtain a legal permit, including an FSSAI License Registration, as the business falls under the FSS Act of 2006.
(Disclaimer: This article is for informational purposes only and serves as a project reference for readers. The earning calculator is based on assumptive figures provided by KVIC’s previous estimates, and this article does not offer financial advice. Prior to starting any venture, conduct your due diligence and market research.)