Tamil Nadu is one of the most developed states in India. In terms of its economic growth and output, it contributes as the second-biggest Indian state. Organised and resourceful, its service industry, along with manufacturing and agriculture industries, have a vast infrastructure. It has ranked consistently as the first on the economic freedom rankings. An opportunity to invest in small or large-scale business in Tamil Nadu is an ideal choice.
Mentioned below are a few of the best business ideas to invest in Tamil Nadu:
1. Automotive Industry
Tamil Nadu has the largest automobile and ancillary industry in India. It has contributed 8% to the gross domestic product of India and employs many. There are over 200 automobile industries in Tamil Nadu, giving it the name "Detroit of India". Moreover, Chennai is also known as the largest manufacturer and exporter of automobiles among other States in India. Investing in this business idea will provide great returns.
2. Textile Industry
The traditional wears of Tamil Nadu are famous across the world. It provides an excellent opportunity to invest in the textile industry. Moreover, cotton prices are very cheap, and the right quality, combined with modernisation, inputs, and trade cuts, provides great credit and power facilities. This helps the cotton textile industry thrive. You can establish a small business in textiles, so do give a thought if you are interested in clothing and fashion!
3. Leather Industry
The leather industry accounts for 70% of the tanning capacity in India. Moreover, 38% of the leather footwear is made in Tamil Nadu. The ancient industry that is centuries old has contributed to close to about 40% of India's leather exports and is a $700 million industry. If you think you have a knack for leather production, this is the best business idea to go!
4. Food Processing
Tamil Nadu is amongst the top five rice-producing states. It also accounts for the large production of other food products like bananas, tapioca, mango, rubber, groundnut, coconut, coffee, tea, and sugar cane. Investing in a food processing business in Tamil Nadu is an excellent small business idea.
5. Cement Industry
Cement factory is one of the best business ideas to venture in since several cement factories were established across Tamil Nadu. This coastal corridor has become the leading producer of cement globally. Its contribution accounts for one of the top five cement industry productions in India.
6. Waste Management
Chennai, is the fourth largest metropolitan city, has also equally generated more waste. The municipalities have now taken up this solid waste generation for driving door-to-door collections and then systems. This solid waste management within the city is one of the best business ideas to invest in environmental considerations.
7. Poultry Farming
The poultry industry has been increasing on a large scale across the Indian subcontinent with an increasing population. In terms of Tamil Nadu, a ready market serves as the best way to invest in the poultry farming industry. Moreover, the availability of land is equally beneficial for investments.
8. Bakery or Confectionery Products
The need for fast eatables on the go, especially sweet products, are acquiring a new trend. But this has already been noticed in Tamil Nadu for a long time. The biscuit industries or other bakery and confectionery industries have contributed to the development of easy availability of products across India. Moreover, it is one of the very few states to do so. Investing in confectionery business is one of the best business ideas in Tamil Nadu.
9. Sugarcane Juice Preservation
It is available in large quantities across every city and town in Tamil Nadu; this plant produces a very delicious drink during summers. It has minerals and is made up of mainly glucose and sugar, which enhances stamina to work in India's summer heat. Investing in the sugarcane industry reaps great benefits and can be an excellent small business in Tamil Nadu.
10. Coffee Plantation
Few states in India are blessed with the ideal temperature to produce coffee. The temperature and large areas of agricultural land serve well for coffee plantation. With the proper workforce and resources coffee plantation can be a great way of investing and earning good profits in Tamil Nadu.
Why invest in these business ideas in Tamil Nadu?
1. Government Investment
Tamil Nadu hosts a large number of investment benefits from the government. Its corridor and technological parks have been aligned with the futuristic infrastructure. For example, the Tuticorin industrial corridor, the Hosur industrial corridor, Tidel Park in Coimbatore, etc. a few of the state government's technological and industrial infrastructure.
2. Skilled Labour
The ready and skilled workforce available aids in faster production of goods and services and caters to the consumer expectations. Moreover, Chennai also has the Indian Institute of technology, where graduates readily engage in start-up solutions that provide opportunities at the local level.
3. Abundance of resources
The resources available are cheap and abundant. Due to its geographical proximity to both the sea and the vast tracts of land, industries thrive and grow faster.
How to go about Investing in a Business in Tamil Nadu?
1. Type of Business
The priority must lie in determining the kind of business to invest in. If you have a perfect idea of what kind of ventures to finance your project and vision towards, then going about the other process will become easier.
2. Identify a Place
You will need to look into the land where your industry can be set up. For example, if it's a small-scale industry, you would need to find the tract of land needed to invest in. You will also need to obtain the necessary permissions for huge industrial establishments and determine whether you will rent or buy the land.
3. Availability of resources
You need to find all the required materials needed to produce a good or deliver a service. For this, you need to identify all the sources you can obtain your materials at a lesser cost and maximise profits.
4. Financial Resources
You will need to determine the amount of investment required, whether in cash or credit and how you can secure them. For example, many online platforms are existing now that provide credit facilities for new starter companies.
5. Labour force
You would need to look for labour who can help you grow your business and support the manufacturing or delivery of requisite services.
6. Obtain necessary certification
In setting up a business venture, you need to comply with many essential laws and administrative procedures. Fill out the requisite forms depending upon the size and the scale of business in duster you are setting up.
1) Top-10 Business Ideas for Hyderabad
2) Top 10 Business Ideas in Bhopal
3) Top 10 Business Ideas for Indore
4) Top 20 Small Business Ideas In 2022
5) OkCredit: All you need to know about OkCredit & how it works.
Stay updated with new business ideas & business tips with OkCredit blogs in English, Hindi, Malayalam, Marathi & more!
Download OkCredit now & get rid of your bookkeeping hassles.
OkCredit is 100% Made in India.
Q. Why invest in Tamil Nadu?
Ans. Tamil Nadu, through its industrial production, contributes a great deal to the country's economic growth. It also has vast tracts of land that can be converted into both agriculture and industries.
Q. What kind of local business is best suited for Tamil Nadu?
Ans. You can place your investments in anything from large scale automobile industries to small scale confectionery business.
Q. What kind of investments will be needed for setting up the business?
Ans. The investments can range anywhere between 20 lakhs to 20 crores depending on your budget. Many online credit facilities also offer loans and credit with less interest in start-ups, so you can utilise those facilities to secure your investments.
|We hope you liked our article. To know more details about business ideas in India, you can visit these linked articles as well:|
|Business Ideas in Goa||Business Ideas in Assam||Business Ideas for Rural Areas|
|Business Ideas in Rajasthan||Business Ideas for Student||Business Ideas in India|