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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Mosquito Repellent Liquidator - Manufacturing Plant, Detailed Project Report, Profile, Business Plan, Industry Trends, Market Research, Survey, Manufacturing Process, Machinery, Raw Materials, Feasibility Study, Investment Opportunities, Cost and Revenue

There are some essential oils which have property to repellant of mosquito. Mosquitoes cannot bear the flavour of essential oil though they do not die but they run away. Raw material required for manufacturing of essential oils are easily available in the market. Raw material for the production of moulded pot and cages also available in the market. It is largely used in the domestic and in the commercial sector for mosquito repellant. And it may be used for the insect killer. Demand growth of this quality product is about 5% which is mostly filled up by the existence manufacturer. Though there is large gap in the village side market, any company may manufacture it and may get good market in the Indian remote areas. Any new entrepreneur may enter into this product and will be successful.
Plant capacity: 2000 BOTTLES/dayPlant & machinery: -
Working capital: -T.C.I: -
Return: 1.00%Break even: N/A
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Natural Food Colours - Manufacturing Plant, Detailed Project Report, Profile, Business Plan, Industry Trends, Market Research, Survey, Manufacturing Process, Machinery, Raw Materials, Feasibility Study, Investment Opportunities, Cost and Revenue

Dyes, colour and pigments are one of the important sections of the chemical industry. For making different food attractive to the consumer, it is required to make coloured food items. Natural pigments like chlorophyll, turmeric powder etc. has large use in the industry as it is eco-friendly and it has very small side effect. Turmeric powder is used to make yellow colour. Beet powder is used for making red coloration in the food material and making red coloured soft drink and grape extract colour is generally used for making soft drinks colours. There is very good market demand of food colour synthetic and natural. There is maximum demand of natural food colour. So we can predict that there is a good scope for a new entrepreneur.
Plant capacity: Beet Powder 200kg/day, Caramel 500 kg/day, Turmeric yellow colour 250 kg/dayPlant & machinery: 65 Lakhs
Working capital: -T.C.I: 133 Lakhs
Return: 41.00%Break even: 45.00%
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Tomato Ketchup, Tomato Sauce And Tomato Soup - Manufacturing Plant, Detailed Project Report, Profile, Business Plan, Industry Trends, Market Research, Survey, Manufacturing Process, Machinery, Raw Materials, Feasibility Study, Investment Opportunities

Fruit and vegetable production is labour intensive, as every plant and its products need to be looked after and greater human intervention is needed at the time of harvest, to ensure right size, maturity, colour, ripeness and so on. The fruit and vegetable group is the single largest item in the national statistics on private final consumption expenditure in domestic market. Tomato ketchup, Tomato soups and Tomato sauce are all palatable foods used in all hotels, restaurants and houses. Indias vegetable production has increased from about 20 million tonnes in the fifties to about 90 million tonnes. Few new entrepreneurs can venture into this project.
Plant capacity: Tomato Ketchup 600 MT/Annum, Tomato Sauce 600 MT/Annum, Tomato Soup 600 MT/AnnumPlant & machinery: 32 Lakhs
Working capital: -T.C.I: Cost of Project : 115 Lakhs
Return: 43.00%Break even: 61.00%
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PIGGERY/MEAT/CHICKEN PROCESSING - Detailed Project Report, Profile, Business Plan, Industry Trends, Market Research, Survey, Feasibility Study, Investment Opportunities, Cost and Revenue, Plant Economics

In Indias almost the entire production of meat is marketed in the fresh state. The products made from pig meat are known piggery products. The most popular piggery products are-bacon, ham, sausage and salamy. Meat is used as food for man either in raw or dry states. Being dried product piggery products are very convenient for transport. Piggery, chicken, meat products are extensively used throughout the world. The production is mainly used as foodstuffs. The marketing of processed meat products and exports are relatively better organized though quality assurance needs lot of strengthening and streamlining. Meat is the most important food commodity in the international trade but our share in this is hardly 1%. Abundance of livestock and central geographical location of India to Gulf and far East Countries hold a bright future for meat trade. Asia including India is emerging as the future heartland of meat production with the highest annual growth rate of 4.5% in the world. It will be profitable for the new entrants to invest in this project.
Plant capacity: (1 Ton Piggery Product, 3 Ton Meat Product, 1 Ton Chicken Product) Per Day Plant & machinery: 23 Lakhs
Working capital: -T.C.I: 414 Lakhs
Return: 57.00%Break even: 24.00%
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PAN MASALA SADA, MEETHA, ZARDA (GUTKA) & PACKAGING-Manufacturing Plant, Detailed Project Report, Profile, Business Plan, Industry Trends, Market Research, Survey, Manufacturing Process, Machinery, Raw Materials, Feasibility Study, Investment Opportunities

Pan Masala is widely used to remove bad odour of mouth and for scenting the breath in order to impart it a pleasant feeling. Now-a-days Pan Parag, Prince Gutka, Pan Mayur, Dabur, Pan Bahar types pan masalas are commonly used. The other types of pan masalas are available in the form of fine powder, pills or tablets or paste but the various constituents remain nearly the same. Actually on pan masala market data is not available but tobacco based products has market survey data. Basically pan masala is a substitute of tobacco products. Users of tobacco products largely converted to use pan masala. Now-a-days pan masala has very good market demand due to customers habit. So, a new entrepreneur can confidently venture into this field.
Plant capacity: (200 Kgs. Sada Masala, 200 Kgs. Meetha Masala, 500 Kgs. Zarda) Per DayPlant & machinery: 38 Lakhs
Working capital: -T.C.I: 189 Lakhs
Return: 56.00%Break even: 34.00%
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AUTOMATIC BREAD AND BISCUITS PLANT - Manufacturing Plant, Detailed Project Report, Profile, Business Plan, Industry Trends, Market Research, Survey, Manufacturing Process, Machinery, Raw Materials, Feasibility Study, Investment Opportunities

Bread is most consumable wheat based bakery product. It contains high nutritive value. This is easy to digest therefore, its consumption is increasing very fast. Biscuits appear to have been first manufactured in India more than three centuries ago. With the development of biscuits came the development of several other products. Indian bakery industry is spreaded over all small scale, large scale and household sectors. Bread is manufactured through fermentation and baking process. The manufacturing process and techniques are so simple that they can easily be adopted for production at any level. Bakery products in India are now in common use. Biscuit is a solid product. It is crispy in taste. It is estimated to enjoy around 37% share by volume and 75% by value of the bakery industry. There is a good scope for new entrepreneurs to venture into this field.
Plant capacity: (3000 Packets Bread, 200 Kg. Toasts, 100 Kg. Pastries, 200 Kg. Cakes, 600 Kg. Biscuits) Per DayPlant & machinery: 110 Lakhs
Working capital: -T.C.I: 240 Lakhs
Return: 38.00%Break even: 45.00%
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MAYONNAISE - Manufacturing Plant, Detailed Project Report, Profile, Business Plan, Industry Trends, Market Research, Survey, Manufacturing Process, Machinery, Raw Materials, Feasibility Study, Investment Opportunities, Cost and Revenue, Plant Economics

There are few unorganized and private companies engaged in the manufacturing of Mayonnaise. It may be called the product is better substitute product. For the product manufacturing basic raw materials required vegetable oil, vegetable protein, milk protein, egg protein or fat emulsifier salt and water. This is of two types (1) vegetable base mayonnaise (2) egg base mayonnaise. Both the products are used as food additive in the salad dressing and making sandwich. There are few organized and few private factories engaged in the manufacturing of mayonnaise. There is average growth of the product about 10%. It has scope for export. It can be concluded that there will be good scope for new entrepreneurs.
Plant capacity: 300 MT Per Annum.Plant & machinery: 40 Lakhs
Working capital: -T.C.I: 107 Lakhs
Return: 40.00%Break even: 58.00%
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APPLE CHIPS - Manufacturing Plant, Detailed Project Report, Profile, Business Plan, Industry Trends, Market Research, Survey, Manufacturing Process, Machinery, Raw Materials, Feasibility Study, Investment Opportunities, Cost and Revenue, Plant Economics

Apple is one of the delicious fruits. It contains vitamins, minerals, enzyme, fruit juice etc. Apples can be preserved in the form of apple chips by drying it. In normal drying apples pieces changed its colour to brown. There is very good market of apple chips. It can be sealed in the aluminium foil. Apple chips are used as snack food. It can be used as health care food, vitamins, minerals and substitute product. India is the largest producer of fruits in the world. The fruit production in India has recorded a growth rate of 3.9% whereas the fruit-processing sector has grown as about 20% per annum. However, the growth rates have been extensively higher for frozen fruits and vegetables than the dehydrated fruits and vegetables. There is very good scope of apple chips. It can be exported in the European countries. They have large demand of this product. As a whole there is a good scope for new entrepreneurs with manufacturing of good quality of product.
Plant capacity: 5 MT/DayPlant & machinery: 253 Lakhs
Working capital: -T.C.I: 656 Lakhs
Return: 47.00%Break even: 33.00%
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SOYABEAN PRODUCTS (SOYABEAN OIL, SOYA PANEER, SOYA EXTRACT)- Manufacturing Plant, Detailed Project Report, Profile, Business Plan, Industry Trends, Market Research, Survey, Manufacturing Process, Machinery, Raw Materials, Feasibility Study, Plant Layout

Soyabean is one of the most important agro based product, which has commercial value after rice, wheat, maize etc. It has commercial value in the field of vegetable oil and soyabean protein. Soyabean oil can be extracted from soyabean by solvent extraction process. Soya protein is extracted out from soyabean as soya paneer. Due to the soya flavour, soya product has peculiar flavour and taste. Soyabean oil is used in the manufacture of margarine, shortening and other edible products. Soya paneer can be used directly as nutritious food. It can be used for the preparation of amino acids and for the manufacturing of different kinds of sweets. China, the fourth largest soyabean producer in the world, used to export 75 percent of its produce. It has become a net importer of soyabean. In fact, India exported 11,000 tonnes of soyabean extract to China valued at Rs.6.86 crore. According to consumer aspect it has been found that soya milk has a very good demand in all over the country. Direct soya milk producer unit is only one in Delhi. Their production is one-lakh pouches per day. It can be concluded that there is very good scope for new entrants.
Plant capacity: (5 MT Soyabean Oil, 1 MT Soya Paneer, 1 MT Soya Extract) Per DayPlant & machinery: 66 Lakhs
Working capital: -T.C.I: 303 Lakhs
Return: 63.00%Break even: 38.00%
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PRE-COMPRESSED PRESSBOARD - Manufacturing Plant, Detailed Project Report, Profile, Business Plan, Industry Trends, Market Research, Survey, Manufacturing Process, Machinery, Raw Materials, Feasibility Study, Investment Opportunities, Cost and Revenue

Pre compressed press board is special type board. It has specialty use in the floor of special electrical instrument like transformer. Specification of board is depend upon the specifications of the transformer. Basic raw material used for the manufacturing of pre compressed press board is paper pulp, made by soft wood. Pre compressed press board is used mainly in power and distribution transformers to provide electrical insulation. It is used in the form of sheets, machined components and moulded components in cylinders and caps, as runners and wedges; as spacers and duct strips; as angle rings and cap rings etc. Millions numbers of transformers are required for the distribution of energy to the domestic as well as in the industrial need. For that reason there is need of much more pre compressed press board. A new entrepreneur can well venture into this field.
Plant capacity: 300000 Sq. Mt./AnnumPlant & machinery: Rs. 61 Lakhs
Working capital: -T.C.I: Cost of Project Rs. 157 Lakhs
Return: 38.00%Break even: 53.00%
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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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