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Overview

Overview

What is camphor ? It is a translucent white solid which has an intriguing-menthol-like smell and sour taste. It comes in two varieties :

The naturally produced camphor comes from Japan, Vietnam and Taiwan from the camphor trees abundantly present there.

The synthetic camphor is produced in india from its abundantly present pine trees.

The most common use of camphor is in religious activities and vapour rubs. Now why is it that the India still produces only 17% of camphor here whereas its import for it is 80% ? The typical Indian consumer’s application of camphor for religion purposes that comes with exceptional purity has increased their believe and thereby their demand for implementing camphor’s properties to other various uses.

Market potential

The market potential for camphor making business is precisely high because it’s still growing. The properties of camphor are giving rise to new applications of camphors. This is thereby increasing the presence of camphor in every possible industry.

Uses

Camphor tablet : The small camphor tablets is used for religious activities, most likely as a samagri in puja, keeping the religious sentiments intact.

Camphor powder : The main use of camphor powder is to make camphor tablets using dye cast and is also used as a part of certain recipes for a type of food to built in aroma thereby expanding its horizon in the beauty and food industries

Camphor oils : lastly, camphor oil is used as an aroma oil termed as an essential oil treating a number of conditions related to skin and hair, empowering the hospitality industries ( spa, salons). It is also used in value rubs, medicines etc to improve chest congestion thereby boosting the pharmaceutical industry.

License required

The licenses required to run a camphor making business is as follows :

Factory license
GST registration
PAN and Aadhar cards
NOC from the pollution control board
Udyog Aadhar under MSME registration

Investment required

It requires an overall investment of ₹1,11,000

CONTENT	AMOUNT
Camphor making machine	₹75000
Packing material	₹26000
Accessories	₹ 10000

Profits

From selling 60,000 pallets per day. Providing a monthly income of ₹ 1,10,000

CONTENT	AMOUNT
MRP	₹ 24000
Ex commission	₹ 14,400
Daily income	₹ 4,400

Target consumers

The in-discovery properties of camphor is giving rise to numerous applications making it a by product in almost every industry. So the existing and potential target consumers of this industry are :

Pharmaceutical industry : The pharmas use camphor for medicinal purposes in ointments or rubs for curing cold sores, haemorrhoids, congestion’s and cough

Agricultural industry : The green houses make use of camphor as an insecticide for preventing crop/plant deterioration

Chemical industry : it uses camphor as a moth repellent, plasticiser for nitrocellulose, in crackers etc

Food industry : It makes used of camphor for adding aroma to the food and also sometimes to ensure the quality of food when stored.

Beauty/cosmetic industry : It is used by these industries as aroma therapy and massage oils for skin eg: curing fungi on toe nails etc and also for hair related issues

Households : They make use of camphor as a part of religious activities.

Raw material ,Machine Required & Manpower required

Raw material

Machine

Manpower

Raw materials required in camphor making are as follows:

Dyes
Hand tools
Weighing balance
Camphor powder
Sales tax, freight and insurance
Packaging material

The machine required in camphor making business :

Camphor powder processing machine
Tablet moulding machine
Screener
Cooler
Wax wrapping machine
Multi punch tablet machine

A camphor making business typically requires

2 skilled labours
3 unskilled labours
1 production manager

Moreover ample training in terms of equipment handling, safety precautions, machine using procedure etc

Area required

The area required for camphor making business is approximately 400-500 sq feet. It can be marketed around : holy places, temples, near chemical retailers, pharmacies etc.

Business model and growth

Value proposition : The unique selling point and the value which comes with the camphor making business is:

It’s still-in-discovery applications because of its properties and nature.
Low-investment.
It’s implementation as an oil, tablet or powder in almost every possible industry in India.

Target consumers : The target consumers for your manufacturing plant is limited to the niche you wish to cater or demands you want to meet. However the camphor uses are spread across all the industries.

Pharmaceutical
Chemical
Agricultural
Beauty
Food
Households

Competitor review : Your small scale camphor plant may face a low key competition from the big camphor sharks Like :

Mangalam organics limited
Kanchi kapooram limited and
Oriental aromatics limited

Marketing strategy: The marketing strategy which could be used by your camphor making business could be developing.

Highlighting in ads and print media the quality and affordability which comes with the camphor you manufacture.

Highlighting the existing and potential uses of camphor and how it’s made.

Certifying the quality of your camphor through show of licenses etc.

Growth

The global camphor industry is projected to rise at a CAGR of 7.9% from 2017-2027.

Camphor’s production and demand is the Asia Pacific has been consistently high because of the resources and applications available and is seeming to be high because of its rising demand from the foreign countries like USA, UK etc.

Profit margin

Profit margin : 11.7%
Sales margin : 40%

Suggestions

This growing business requires just a creative mind to put the applications of camphor in front of the eyes of those who need them and we know you’ve got one.

So here are the facts you must consider if you want to get into the camphor business :

Firstly, camphor making comes with low investment I.e just two or machines and little manpower and ensures sufficient profits.

Secondly, camphor comes with a consistent demand because it also has religious sentiments of people attracted to that product and efficient applications in the pharma, chemical and agricultural industries.

Lastly, camphor making doesn’t invite much competition because of the difference in niches you’ll be catering to.

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