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Best Business Opportunities in Bhutan - Identification and Selection of right Project, Thrust areas for Investment, Industry Startup and Entrepreneurship Projects

The economy of Bhutan, one of the world's smallest and least developed countries, is based on agriculture and forestry, which provide the main livelihood for more than 60% of the population. Agriculture consists largely of subsistence farming and animal husbandry. The economy is closely aligned with India's through strong trade and monetary links and dependence on India's financial assistance. Most production in the industrial sector is of the cottage industry type. Most development projects, such as road construction, rely on Indian migrant labour. Model education, social, and environment programs are underway with support from multilateral development organisations.

The industrial sector is in a nascent stage, and though most production comes from cottage industry, larger industries are being encouraged and some industries such as cement, steel, and ferroalloy have been set up. Most development projects, such as road construction, rely on Indian contract labour. Agricultural produce includes rice, chilies, dairy (some yak, mostly cow) products, buckwheat, barley, root crops, apples, and citrus and maize at lower elevations. Industries include cement, wood products, processed fruits, alcoholic beverages and calcium carbide.

Bhutan’s hydropower industry accounts for 32% of the nation’s economy. The dependency on a single sector is a potential risk factor, the report states. As an alternative revenue generation sector, the government is promoting tourism, which also hopes to generate employment. Like in most countries, the Cottage and Small Industry (CSI) play a pivotal role in the overall industrial economy of Bhutan.

 

Business Sectors

Agriculture Industry

Agriculture in Bhutan has a dominant role in the Bhutan's economy. Approximately 80% of the population of Bhutan are involved in agriculture. Over 95% of the earning women in the country work in the agricultural sector. Majority of the refugees in this Himalayan nation are also employed in the agricultural sector. Agriculture in Bhutan is characterized by its labor-intensive nature with relatively low intensity of farm inputs.

Major crops cultivated in Bhutan are maize and rice. Maize accounts for 49% of total domestic cereal cultivation, and rice accounts for 43%. Rice is the major staple crop. Agriculture in the country includes cultivation of wheat and other minor cereal crops. Paddy is the primary crop in those regions where proper irrigation is available. Apart from paddy, other crops like wheat, barley, oil seeds, potato and different vegetables are also cultivated in these lands. The primary goals of agriculture in Bhutan are to raise the per capita income of the people living in rural areas, to enhance self-sufficiency in staple crops, and to increase the productivity per unit of farm labor and agricultural land.

There may be investment opportunities in:

  • Dall Mill (Split Dalls/ Pulses for Chhilke-wali Moong, Urad, Arhar, Channa, Masoor)
  • Poha (Rice Flakes)
  • Atta, Maida Suji & Wheat Bran (Wheat Flour Plant) Roller Flour Mill
  • Rice Powder, Puttu and Wheat Powder
  • Biscuits & Candy
  • Rice Mill(Parboiled Rice)
  • Bakery industry, etc.


Minerals and Mining

The country’s mineral industry was small and insignificant to its economy and was dominated by the production of cement, coal, dolomite, gypsum, and limestone. Known resources included deposits of beryl, copper, graphite, lead, mica, pyrite, tin, tungsten, and zinc. Mining is one of the fastest growing industries in Bhutan generating average revenue of 54 million U.S. dollars or contributing 3 percent to country's GDP.

Industrial mineral products were the primary output of Bhutan’s mineral industry and included dolomite, graphite, marble and slate, and sand and stone. The production of a variety of stone materials and energy fuels had been increasing steadily in recent years and corresponded to the increased demand for these commodities in the construction sector. While major exports of minerals are made in raw form, Bhutan processes some of its minerals into value-added products such as calcium carbide, cement, and ferrosilicon.

Accordingly, Bhutan’s policies on mining and quarrying consider inter-generational equity. This is important since minerals constitute vital raw materials for the mineral based manufacturing industries and are a major resource for economic development of a country. Bhutan is endowed with rich mineral resources that has allowed for the sustainable growth of a mineral based industry and export base. This mineral resource exploitation and value addition has helped generate employment and can contribute towards poverty alleviation.

There may be investment opportunities in:

  • Artificial Marble Tiles
  • Granite (Marble) Polishing Batti (Bar)
  • Granite Marble Cutting and Polishing Unit
  • Calcium Carbonate from Marble Chips
  • Coal Washing Unit
  • Ferro Silicon Manufacturing
  • Gypsum plaster boards
  • Beneficiation of chromium, nickel and manganese ore
  • Integrated production unit of gypsum powder, gypsum board
  • P.V.C. laminated gypsum ceiling tiles, etc.


Livestock Industry

Livestock farming practices continue to evolve in response to rapid modernization and growing economic opportunities in the Bhutan Himalaya. Animal husbandry is an integral part of farming activities in Bhutan and, especially in the high altitude or alpine regions, animal husbandry forms virtually the sole economic activity. The consumption of animal products is an important element of the Bhutanese diet.

Livestock is an integral part in all Bhutanese farming systems. While most households rear livestock for home consumption, livestock farming and nomadic herding are the predominant activities in the alpine and cool temperate zones. Over 80 per cent of rural households own cattle. Other significant livestock include poultry (reared by about 65% of rural households), pigs (38%), horses (23%), goats (15%) and yaks (2%). Inadequate pasture land and poor access to markets are significant constraints to improving production, but increasing urban demand for livestock products is encouraging farmers near urban areas to keep better breeds and improve feed and fodder management. In the livestock sector artificial insemination covers not only Jersey breeds that are high yielding but also for the production of Jatsa and Jatsam that are local high yielding varieties.

The indigenous cattle are the most important livestock genetic resources for food, animal energy and household income in Bhutan. Poultry farming is one of the important livestock farming components in Bhutan.

There may be investment opportunities in:

  • Aquaculture Fish Farming
  • Prawn/Shrimp Farming
  • Poultry & Broiler Farming
  • Management of Rabbits/Angora Rabbit Farming
  • Goat & Sheep Farming
  • Poultry Farm for Producing Eggs
  • Animal Feed Using Date Pits, Discarded Dates and Other Ingredients
  • Pig Farming
  • Cattle Feed, etc.

 

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Each detailed project reports cover all the aspects of business, from analysing the market, confirming availability of various necessities such as plant & machinery, raw materials to forecasting the financial requirements. The scope of the report includes assessing market potential, negotiating with collaborators, investment decision making, corporate diversification planning etc. in a very planned manner by formulating detailed manufacturing techniques and forecasting financial aspects by estimating the cost of raw material, formulating the cash flow statement, projecting the balance sheet etc.

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We can modify the project capacity and project cost as per your requirement.
We can also prepare project report on any subject as per your requirement.

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Dry Lemon Powder and Lemon Oil

Spray dried lemon juice powder was used to enhance the acceptability and nutritive value.It reserves the most of bioactive ingredients of lemon and also its property (color, smell, and taste) Ingredient: Vitamin c, citric acid, malic acid.Lemon Essential Oil is a natural detoxifier and contains antiseptic properties that aid in clearing the face from pimples and acne. By doing so, lemon also tightens the skin, preventing wrinkles, and removes excess Oils that clog pores and cause blackheads. According to Lemons and Limes - Market Report, Analysis and Forecast to 2025", the world market of lemons and limes grew by 19% to $ 13.9 billion.The lemon juice powder market, in terms of value, is projected to reach around USD 93.94 Billion by 2021, at a CAGR of 6.0% from 2016 to 2021.The global lemon essential oils market is projected to register an estimated CAGR of 9.2%, during the forecast period, 2018-2023. Thus, due to demand it is best to invest in this project. Few Indian major players are as under • Aarkay Food Products Ltd. • Aayush Food & Herbs Ltd. • Elite Foods Pvt. Ltd. • Foods & Inns Ltd. • Garlico Industries Ltd. • Kamdhenu Foods Ltd.
Plant capacity: Lemon Powder: 32 MT/Day Lemon Oil: 12 MT/DayPlant & machinery: Rs. 721 lakhs
Working capital: -T.C.I: cost of project Rs.1983 lakhs
Return: 33.00%Break even: 51.00%
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Biodegradable Plastic Bags from Corn Starch

Corn starch has 25% amylose and 75% amylopectin. The amylose molecules loose lose water increase biodegradation characteristic and amylopectin molecule is responsible for plasticizer properties. Corn starch used in making biodegradable plastic bags. Biodegradable plastic bags are made of polymers that degrade, or decompose, when exposed to air, water, or sunlight. Biodegradable Plastics Market by Type (PLA, PHA, PBS, Starch-Based Plastics, Regenerated Cellulose, PCL), by Application (Packaging, Fibers, Agriculture, Injection Molding, and Others) - Global Trends & Forecasts to 2020 says biodegradable plastics market is projected to be worth more than USD 3.4 billion by 2020 growing at around 10% CAGR.Entrepreneurs who invest in this project will be successful. Few Indian major players are as under • Arihant Industries Ltd. • Baroda Polyplast Ltd. • Jain Plastics & Chemicals Ltd. • Karwa Consolidated Mktg. Ltd. • Paradise Plastics Enterprise Ltd. • Shakun Polymers Ltd.
Plant capacity: Biodegradable Plastic Bags (Per Bag 25 gms wt.) : 360 MT/AnnumPlant & machinery: Rs 298 lakhs
Working capital: -T.C.I: Cost of Project : Rs 606 lakhs
Return: 25.00%Break even: 61.00%
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Cow Urine (Gomutra)Processing and Packing

Gomutra is not a toxic waste material. 95% of it is water, 2.5% consists of urea, and the remaining 2.5% is a mixture of minerals, salts, hormones and enzymes.Gomutra or gaumutra cow urine is urine from cows used for therapeutic purposes in traditional Indian medicine, Ayurveda and also for purification in VaastuShastra.Cow urine has bio enhancing activity for Rifampicin, the front-line anti-tubercular drug used against tuberculosis, increasing its action up to sevenfold against Escherichia coli, and up to 11-fold against Gram-positive bacteria. There are more than 50 units processing cow urine in India. That cow urine is in demand not just in India, but around the world, became evident recently when health authorities in London raised objections to shopkeepers placing cow urine concentrate on shelves next to food items.As a whole any entrepreneur can venture in this project without risk and earn profit.
Plant capacity: Distilled Cow Urine (Gomutra): 2000Lts./DayPlant & machinery: Rs.22 lakhs
Working capital: -T.C.I: Cost of Project: Rs.187 lakhs
Return: 28.00%Break even: 68.00%
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Chocolate, Toffee and Candy Industry

The chocolate and confectionery products industry has traditionally been subject to significant fluctuations in demand.Chocolate is a key ingredient in many foods such as milk shakes, candy bars, cookies and cereals.Chocolates are the favourite item of children. Its primary feature is that it is solid at room temperature of 20 - 25 deg. C and yet melts rapidly in the mouth at 37 deg. C giving a liquid, which appears smooth to the tongue. It is expected that India chocolate industry will be growing at the CAGR 23% by volume between the years 2013-2018 and reach at 3,41,609 Tons.The dark chocolates are expected to account for the larger market share when compared to milk and white chocolates in the coming years.The India Chocolate market is expected to reach USD 5.01 billion by 2023.This facilitates the development of new technologies and ensures a high quality product. Few Indian major players are as under • Barista Coffee Co. Ltd. • Baroda Agro Inds. Ltd. • Candico (I) Ltd. • Cocoa Products & Beverages Ltd. • Fresh & Honest Cafe Ltd. • Gandour India Food Processing Pvt. Ltd.
Plant capacity: Chocolate: 2000 Kgs./Day Toffee: 500 Kgs./Day Candy: 500Kgs./DayPlant & machinery: Rs.305 lakhs
Working capital: -T.C.I: Cost of Project: Rs. 1058 lakhs
Return: 26.00%Break even: 36.00%
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Residential Apartment

Residential Apartment is a part of Housing, which has encouraging scope or development. House is a very complex term.A standard residential building of bungalow type with has drawing room, dining room office room, guest room, kitchen room, store, pantry, dressing room, bathroom, front verandah, stairs etc., Housing finance companies (HFCs) have been significantly contributing to the industry’s growth. They have been at the forefront addressing financial needs of the segment at the base of the pyramid and have gained a significant market share in India’s mortgage market. If these trends are well leveraged, HFCs will continue to strengthen their market share through wider finance penetration and expanding reach in Tier II and III cities. Driven by these aspects the demand for affordable housing, loan disbursement is expected to record five-year CAGR of 17-18% to reach Rs 9 trillion by 2020-21.Entrepreneurs who invest in this project will be successful.
Plant capacity: 312 Nos./AnnumPlant & machinery: 00
Working capital: -T.C.I: Cost of Project: Rs 10676 lakhs
Return: 1.00%Break even: N/A
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Residential Apartment

Residential Apartment is a part of Housing, which has encouraging scope or development. House is a very complex term.A standard residential building of bungalow type with has drawing room, dining room office room, guest room, kitchen room, store, pantry, dressing room, bathroom, front verandah, stairs etc., Housing finance companies (HFCs) have been significantly contributing to the industry’s growth. They have been at the forefront addressing financial needs of the segment at the base of the pyramid and have gained a significant market share in India’s mortgage market. If these trends are well leveraged, HFCs will continue to strengthen their market share through wider finance penetration and expanding reach in Tier II and III cities. Driven by these aspects the demand for affordable housing, loan disbursement is expected to record five-year CAGR of 17-18% to reach Rs 9 trillion by 2020-21.Entrepreneurs who invest in this project will be successful.
Plant capacity: 312 Nos./AnnumPlant & machinery: 00
Working capital: -T.C.I: Cost of Project: Rs 10676 lakhs
Return: 1.00%Break even: N/A
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Cement Plant

Cement is the binder component of concrete, the glue that holds the filler together to create a uniform, strong material. The filler in concrete consists primarily of aggregate particles.Cement is a material with adhesive and cohesive properties which make it capable of bonding minerals fragments into a compact whole. It can be defined as any substance, which can join unite two or more pieces of some other substance together to form a unit mass. Cement demand is expected to increase by 5.0-5.5% y-o-y in FY18 on back of increased spends on roads and railways, push towards affordable housing by central government, materialization of pent-up demand, particularly in rural housing and low base. Cement demand is expected to reach 550-600 Million Tonnes Per Annum (MTPA) by 2025.Thus, due to demand it is best to invest in this project. Few Indian major players are as under • A C C Ltd. • Adani Cements Ltd. • Ambuja Cements Ltd. • B R Cement Industry Ltd. • Bagalkot Cement &Inds. Ltd. • Bharathi Cement Corpn. Pvt. Ltd. • BhilaiJaypee Cement Ltd.
Plant capacity: Cement: 1000 MT/DayPlant & machinery: Rs. 1732 lakhs
Working capital: -T.C.I: Cost of Project: Rs. 3952 lakhs
Return: 27.00%Break even: 57.00%
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Soft Gelatin Capsules

Soft gelatin (also called softgel or soft elastic) capsules consist of one piece hermetically-sealed soft shells. Soft gelatin capsules are prepared by adding a plasticizer, such as glycerin or polyhydric alcohol (e.g., sorbitol), to gelatin. The plasticizer makes gelatin elastic. Soft gelatin capsules come in various shapes such as spherical, elliptical, oblong, and special tube shapes with and without twist off. The demand of the soft gel capsules is increasing due to the available customization facilities for the molds and content as per customer needs.The Global Softgel Capsules Market is poised to grow at a CAGR of around 5.4% over the next decade to reach approximately $316.6 billion by 2025.Which facilitates the development of new technologies and ensure a high quality product. Few Indian major players are as under • C J Gelatine Products Ltd. • Fortcaps Healthcare Ltd. • Healthcaps India Ltd. • India Gelatine& Chemicals Ltd. • K P Gelatines& Chemicals India Ltd. • MarksansPharma Ltd. • Medgel Pvt. Ltd.
Plant capacity: Soft Gelatin Capsules: 3120000Nos./DayPlant & machinery: Rs. 649 lakhs
Working capital: -T.C.I: Cost of Project: Rs. 10871 lakhs
Return: 35.00%Break even: 31.00%
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Bakery Products (Cake & Filled Croissants Puffs)

Bakery holds an important place in food processing industry and is a traditional activity.Bakery products, due to high nutrient value and affordability, are an item of huge consumption. Due to the rapid population rise, the rising foreign influence, the emergence of a female working population and the fluctuating eating habits of people, they have gained popularity among people, contributing significantly to the growth trajectory of the bakery industry. India is a major manufacturing house for bakery products and is the third- largest biscuit manufacturing country after USA and China. The Indian bakery market is valued at Rs. 3,295 crore and out of this, bread and biscuits hold 82% of the share. India’s organised bakery sector produces about 1.3 millions tonne of bakery products (out of three million tonnes) while the balance is produced by unorganised, small-scale local manufacturers. As a whole any entrepreneur can venture in this project without risk and earn profit. Few Indian major players are as under • Ampro Products Ltd. • Anmol Industries Ltd. • Bakemans Industries Pvt. Ltd. • Bonn Nutrients Pvt. Ltd. • Britannia Industries Ltd. • Century Biscuits Ltd.
Plant capacity: Cakes (200 gm): 720000 Pcs./Day Filled Croissants Puffs (60 gm): 480000 Pcs./DayPlant & machinery: Rs.540 lakhs
Working capital: -T.C.I: Cost of Project: Rs. 12913 lakhs
Return: 33.00%Break even: 35.00%
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Admixtures Plant (Water Retarding Admixtures for Concrete)

Water reducers, retarders, and super plasticizers are admixtures for concrete, which are added in order to reduce the water content in a mixture or to slow the setting rate of the concrete while retaining the flowing properties of a concrete mixture. Admixtures are used to modify the properties of concrete or mortar to make them more suitable to work by hand or for other purposes such as saving mechanical energy.. The use of WRA may accelerate or retard the initial setting time of concrete. Rate of concrete admixtures market growth is highly influenced by construction industry in developing economies and worldwide markets will hit $18.10 billion by 2020, at a CAGR of 9.15% between 2015 and 2020.The market size in terms of value of water retarding admixture is estimated to be USD 2.52 billion in 2015 and is projected to grow at a CAGR of about 8.16% between 2015 and 2020.Thus, due to demand it is best to invest in this project. Few Indian major players are as under • Bharat Chemicals & Fertilizers Ltd. • Fosroc Chemicals (India) Pvt. Ltd. • Hindustan Chemicals & Minerals Pvt. Ltd. • Particle Dynamics Pvt. Ltd. • Prism Johnson Ltd. • Thermax Ltd.
Plant capacity: Water Retarding Admixture for Concrete: 20 MT/DayPlant & machinery: Rs. 40 lakhs
Working capital: -T.C.I: Cost of Project: Rs. 160 lakhs
Return: 30.00%Break even: 76.00%
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Information
  • One Lac / Lakh / Lakhs is equivalent to one hundred thousand (100,000)
  • One Crore is equivalent to ten million (10,000,000)
  • T.C.I is Total Capital Investment
  • We can modify the project capacity and project cost as per your requirement.
  • We can also prepare project report on any subject as per your requirement.
  • Caution: The project's cost, capacity and return are subject to change without any notice. Future projects may have different values of project cost, capacity or return.

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