Top 10 Groundnut-Based Businesses You Can Start with Low Investment

Today we will talk about a versatile and nutritious crop, that has not only found a place on our food plate but has also become the foundation of many industries and businesses – yes, we are talking about groundnuts! Known as the poor man’s almond, groundnuts are cultivated on a large scale in India and are used in various forms. Due to this wide range of uses, immense potential is hidden in groundnut-based businesses. Yes, according to experts, this market is set to witness even more growth in the coming years. The main reason for this is peanuts a tasty and nutritious food product are loved by people of all classes, be it children, youngsters, or the elderly so that is always in demand. So, if you are dreaming of starting a successful business, whether small or large, groundnuts can be a great option for you. In this article, we will discuss some of the best groundnut-based business ideas that are in good demand in the market and can earn you good profits.

List of 10 Groundnut-Based Business Ideas

1. Groundnut Oil Extraction Business

Let’s first look at groundnut oil, there is a huge demand for groundnut oil for cooking, and starting an oil extraction business can be very profitable. To start this business, you will need a small oil extraction machine, which costs around ₹2 to 5 lakhs, and a steady supply of raw groundnuts. You can sell the extracted oil in bulk to wholesalers or directly to consumers with good branding. Additionally, you can sell the by-product groundnut cake as animal feed, which will add additional income. So start small and expand as demand increases.

2. Peanut Butter Manufacturing

Next, peanut butter is a popular and healthy product that is loved by both kids and adults. You can start a small peanut butter manufacturing unit with an investment of ₹3 to 6 lakhs, including grinding machines and packaging equipment. Focus on different flavors like honey, chocolate and crunchy peanut butter to attract more customers. Selling your product through local shops, online platforms and supermarkets will increase your sales. Also, with smart marketing and quality products, this business can generate high profits.

3. Roasted Peanuts and Flavored Snacks

Roasted and flavoured peanuts are a favourite snack not only in India but also around the world. You can start this business with a small roaster machine and various spices to create unique flavours like roasted peanuts in masala, garlic or honey. The initial investment starts from ₹1 or 3 lakhs, mainly for roasting, packaging and branding. After this, sell your products in local shops, supermarkets and online marketplaces to reach a wider audience. Importantly, there is always a high demand for this business, especially during festive seasons.

4. Groundnut Candy Business

Now let’s talk about peanut candy, a sweet made from jaggery, is a popular Indian traditional sweet loved by people of all ages. And you can start making peanut candy from home or in a small unit with an investment of ₹1 to 2 lakh for raw materials, packaging and distribution. Apart from this, you can also expand into making other sweets like peanut laddus and energy bars. Then, sell your products in local markets, schools and even online platforms for better reach. Also, with proper hygiene and attractive packaging, you can build a strong brand.

5. Peanut Flour Production

Peanut flour is used in baking, protein supplements and various foods, and is an essential ingredient in high demand in many Indian households. So you can start a peanut powder manufacturing business with an investment of ₹2 to 4 lakhs, including grinding and packaging machinery. You can then sell this peanut flour to bakeries, health-conscious consumers and food manufacturers. Moreover, with the increasing demand for gluten-free and high-protein products, this business has great potential, mainly focus on quality and proper packaging to stand out in the market.

6. Groundnut Farming

If you have land, groundnut farming can be a lucrative venture. Yes, India is one of the largest producers of groundnuts, and exporting them to international markets can bring in a lot of income. To start this business, you will need quality seeds, farming equipment, and proper irrigation, the investment for which ranges from ₹50,000 to ₹2 lakh. Also, apart from selling raw groundnuts, you can also sell processed products for better profits. Apart from that, government schemes and agricultural subsidies can help you grow your business further.

7. Groundnut Animal Feed Manufacturing

Groundnut is an excellent source of protein for livestock and poultry, and there is a high demand for groundnut-based animal feed. So you can start a groundnut animal feed manufacturing business with an investment of ₹2 to 4 lakhs, including drying, grinding and packaging machinery. There is a high demand for quality animal feed among all dairy farms and poultry farms. So selling in bulk to wholesalers and local farmers will give you a steady income. Especially with the right branding, you can even supply to big animal feed companies.

8. Groundnut Milk and Vegan Products

Groundnut milk is a great alternative to dairy milk and is gaining popularity among vegetarians and lactose intolerant consumers. So, you can manufacture and sell peanut milk in a small setup costing around ₹2 to 5 lakhs. You can also expand into other products like peanut yogurt and peanut-based protein drinks. The market for plant-based milk is growing these days and this business has a high profit margin. Sell your products through health food stores, supermarkets and online platforms to reach the right audience.

9. Groundnut Paste Manufacturing

Raw groundnut paste is widely used in cooking, sauces, and even bakery products, making it a profitable business idea. You can start with an investment of ₹2 to 5 lakhs, including grinding machines, storage, and packaging equipment. The demand for raw groundnut paste is high in restaurants, food manufacturers, and households. So, you can supply bulk orders to supermarkets and online platforms like Amazon and Flipkart. Focus on different varieties like plain, salted, or flavoured peanut paste to attract more customers.

10. Groundnut Oil Soap Manufacturing

Groundnut oil is not just for cooking – it is also great for skin care! Yes, you can start a small-scale soap making business using groundnut oil as a natural moisturizer. The investment starts from ₹2 to 5 lakhs, which includes soap making equipment and raw materials. Then, market your products as organic, chemical-free skin care solutions for better market reach. Nowadays, there is a demand for handmade soaps with herbal ingredients, especially in health stores and online platforms. So, focus on unique branding and packaging to attract customers.

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How to Start Groundnut Oil Production Business

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