Top 5 Small Scale Industries in India

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India is rich in natural resources with a large workforce; India is quite a favorable destination for entrepreneurs to grow.

Top 5 Small Scale Industries in India

Today, the government encourages and supports many of these small industries through subsidies and funding. The primary sector examples have an indispensable role to play in the small-scale industries of India owing to the products they provide, further leading to the next stage i.e., secondary sector.


India has long been known for its love affair with sugar. Growing health consciousness and people switching veganism are shaping the evolution of this industry and bringing in more choices to consumers. According to Mintel, the chocolate market will grow by 6.7% a year from 2020 to 2024.

Sanitary Napkins

Government, NGOs, and corporates address the issue of menstrual hygiene. The problem is portrayed, and awareness has been created. With the help of movies like Padman on big screens, masses have been reached. The sanitary napkin has also created a job market for many.

The Indian sanitary napkin market is expected to reach a value of $631 million by 2023, growing at a CAGR (compound annual growth rate). The market is expected to grow at a CAGR of 11% between 2021 and 2026. They will reach a value of almost USD 975.4 million by 2026.


India is one of the largest consumers of spices. The food industry relies heavily on a variety of herbs this country has to offer. The Indian subcontinent has been in the limelight for its spices. Hence the demand will always be high. Not only does it cater to the need of the national market, but it has grown massive popularity in the international market.

Soaps And Oils

21st century, where people are opting for a chemical-free lifestyle, eventually leading to an increase in the demand for organic products, the industry is thriving very well. Many small-scale industries offer customized products, which has easily grabbed popularity in the market. Ranging from scents to color, all are available.

Incense stick

It is multi-functional, used to scent up indoor areas, for spiritual purposes, or as an insect repellent. It isn’t just restricted to this domain but used in meditation or aromatherapy. The Indian incense stick industry is a highly export-oriented industry, which earns huge profits. It contributes a significant share in the economy of the country.


The handloom industry is yet another large chain of small-scale industries. For the past few years, social media platforms have highly contributed to the booming of small-scale industries. Apart from the good factors, small-scale industries face multiple difficulties but continue to thrive due to the affordability and quality of the products. Initiatives like Rural Small Business Development Centre (RSBDC), National Commission for Enterprises in the Unorganised Sector (NCEUS), launched by the government, are intended to extend small-scale businesses. Such initiatives will help small-scale companies to prosper.

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