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Assam - Best Business Opportunities, Potential Areas, Identification and Selection of right Project, Thrust areas for Investment, Industry Startup and Entrepreneurship

Friday, February 24, 2017

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Assam is located in the northeast of India. The state shares its borders with Arunachal Pradesh, Nagaland, Manipur, Mizoram, Meghalaya, Tripura and West Bengal. The state shares international borders with Bangladesh and the Kingdom of Bhutan. Assam is known as the gateway to the northeastern part of India. The capital of the state is Dispur, which is located in the city of Guwahati.

 The state is known for its tea, petroleum resources, muga silk and bio-diversity. It is also becoming an increasingly popular destination for wildlife tourism. The state is full of most of the important natural resources that attracts the attention of many investors to set up their production and manufacturing units in the state. Assam offers a range of lucrative business opportunities in the region. Both the central and state governments have allowed exclusive incentives Assam.

The Government of India and the State Government of Assam are making efforts to create an investment-friendly environment in the state. Incentives and subsidies are being offered to establish manufacturing units with the Government of India allocating one-tenth of its development funds for North East. The investors can set up various industrial units by optimally utilizing the numerous resources as well as the incentives and schemes available in the State.

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Business Sector

Food Processing and Agro based Industry: Food processing is the set of methods and techniques used to transform raw ingredients into food or to transform food into other forms for consumption by humans or animals either in the home or by the food processing industry. Assam is an agriculture based economy. In Assam among all the productive sectors, agriculture makes the highest contribution to its domestic sectors, accounting for more than a third of Assam’s income and employs 69% of workforce. Rice is the main food crop in Assam's agriculture as it is the main diet of state population.The agro-climatic condition of the State favour the growth of a variety of fruits and vegetables/ spices including orange, banana, pineapple, arecanut, coconut, guava, mango, jackfruit, citrus fruits, ginger, turmeric, chilies, potatoes, etc. Vegetable cultivation is also a major agricultural activity in the State. Horticulture in Assam is also very rich. It has tremendous potentiality to grow further.

Opportunities for Entrepreneurs: Food Processing and Agro based products are huge sector to invest and entrepreneurs can venture in following fields:

·         Corn Flakes

·         Caramel Food Colorant

·         Curry Powder

·         Pulp and Paper from Bamboo

·         Rice Mill(Parboiled Rice)

·         Wheat Flour

·         Garlic Oil and Powder, etc.

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Tea Industry: Assam is the largest producer of tea in India. Assam tea is well known for its distinct quality, especially for its strong liquor, rich taste and colour. Of the agriculture-based industries, tea occupies an important place in Assam. It is sold as a single estate tea and used in tea blends bearing many distinguished labels. Assam accounts for nearly 53% of the all India production and about 1/6th of the tea produced in the world. Around 80 million kgs of tea are exported annually from Assam.Tea industry is doing well and recognized as one of the major manufacturing industry in Assam with an enormous potential.The total area under tea cultivation in Assam is accounting for more than halfof the country’s total area under tea. In addition to existing big & large tea gardens owned by reputed both Indian and multinational Companies, the profession of tea plantation in the State has taken up by common man as business venture at present.

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Mineral Industry: Assam is an important state of India with verities of minerals.  The largest Industries in Assam are Oil, Tea and Hydrocarbon.  Geographically Assam lies in an Oil Rich belt. Assam is endowed with vast mineral resources.Coal, petroleum & natural gas, limestone and minor minerals are the chief mineral resources of the State.Crude Oil is the chief mineral available in Assam. The state accounts for about 15% of Indian Crude Oil output. The Oil wells at Digboi, Duliajan and Sibsagar also produce natural gas, contributing to about 50% of Indian’s total on-shore production which may be used for production of fertilizers, electricity, petrochemicals and fuel in the industrial sector.

Opportunities for Entrepreneurs: Oil refinery and petroleum products are huge sector to invest and entrepreneurs can venture in following fields:

·       Grease Manufacturing Unit (Calcium, Lithium & Sodium)

·       Reclamation of Used Engine Oil by Alkali Refining Process (Using Caustic Soda)

·       Blending of Lube Oil from Mineral Base Oil

·       Naphtha Based Thinner

·       Refining of Used Engine Oils for Making Base Oil, etc.

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Herbal and Ayurvedic Products: Medicinal plants are various plants used in herbalism and thought by some to have medicinal properties. Medical Plant constitutes an important therapeutic aid in alleviating ailments.The West is now waking up to the curative properties and almost magical properties of herbal medicine. There is a vast variety of medicinal herbs and plants in the hills and forests of Assam. About 300 types of medicinal herbs and plants are known to exist in abundance in the state.Hence, this sector presents huge resources waiting to be utilized and opportunities exist in plantation & cultivation of medicinal herbs & plants, herbal cosmetics, medicinal plant extract etc. Assam in particular and North-East India in general has great potentiality for the herbs based industries.

Opportunities for Entrepreneurs: Herbal and Ayurvedic products are huge sector to invest and entrepreneurs can venture in following fields:

Medicinal Herbs Plantation

Plantation of Medicinal Plant and Herbs

Ayurvedic Medicines (Chyawanprash, Cough Syrup Herbal, Ayurvedic Hair Oil, Jawahar Mohra & Mukta Shukti Tablets)

Herbal Extracts

Aloe Vera Gel & Powder

Herbal cosmetics, etc.


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Pharmaceuticals Industry: Pharmacy business is an evergreen business in India that is note affected by the economic cycle. The Assam pharmaceutical industry is one of the most attractive investment destinations in the India. With ever increasing returns, lowering risks and anticipated multifold growth, investors are more interested in this industry than ever before. Further, the increasing popularity of corporate hospitals and multispecialty hospitals in India has brought about tremendous growth to the healthcare and pharmacy business in Assam.

Now, if you are planning in opening a pharma distribution business, there are factors for you to think about such as your target market, business plan, great venture, employees, and many others.

Create a business plan. You have to put your outline, your financial info, your financial resources, your marketing strategy, your perspective location, how to set up a website, your business legal structure, number of employees, and so on.

Opportunities for Entrepreneurs: Pharmaceuticals is huge sector to invest and entrepreneurs can venture in following fields:


·         Pharmaceutical Industry

·         Pharmaceutical Manufacturing Unit (Tablet, Syrup & Injectable)

·         I V (Intravenous) Fluid (FFS Technology)

·         Active Pharma Ingredients (API)

·         Pharmaceutical Grade Sugar

·         Pharmaceutical (Biotech Traditional and Genetic), etc.


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Plastic based industries: The rising demand for plastic products around the world is giving a boost to the plastic industry of Assam.Over 120 plastic-based industries from across the country participated in the fair, showing increasing interest of businessman towards northeast. Plastics are the most rapidly growing sector of the materials industry. The material is gaining notable importance in different spheres of activity and the per capita consumption is increasing at a fast pace. Continuous advancements and developments in polymer technology, processing machineries, expertise and cost effective manufacturing is fast replacing the typical materials in different segments with plastics.  Plastics play a very important role in our daily lives. A wide variety of plastics raw materials are produced to meet the materialneeds of different sectors of the economy. These polymeric materials arebroadly categorized as commodity, engineering and specialty plastics.


Opportunities for entrepreneurs: Plastics are the most rapidly growing sector of the materials industry. Hence it provides opportunity to venture in following fields:

·         Disposable Plastic Syringes

·         Plastic Tooth Picks

·         Plastic (HDPE) Water Storage Tank (Syntax Type)

·         PVC Wire & Cables

·         HDPE Containers


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Thrust Areas

Today, Assam has a vibrant industrial base. From the oldest tea industry and huge onshore oil production to the only Stock Exchange in the region and large presence of Banks and Financial Institutions, its industrial base spreads across a wide spectrum of existing industries in Petroleum, Petrochemicals, Fertilizers, Textiles, Cement, Paper, Plastic and a host of products and services. But there is always scope for more. Amongst numerous options, the thrust areas identified for investment is as follows:

§  Petroleum and natural gas based industries

§  Industries based on locally available minerals

§  Processing of plantation crops

§  Food processing industries

§  Agri-Horticulture products

§  Herbal products

§  Biotech products

§  Pharmaceuticals

§  Chemical and Plastic based industries

§  Export oriented industries

§  Electronic and IT base industries including services sector

§  Textiles and sericulture

§  Engineering industries

§  Cane and bamboo based industries

§  Other handicrafts industry


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Niir Project Consultancy Services

106-E, Kamla Nagar, Near Spark Mall,

New Delhi-110007, India.

Email: [email protected][email protected]

Tel: +91-11-23843955, 23845654, 23845886, 8800733955

Mobile: +91-9811043595

Fax: +91-11-23845886

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