Paper Bag Business Small Scale Profit

Is Paper Bag Making Business Profitable in India? - Paper Bag Business Small Scale

Rapid urbanization and increasing disposable incomes are driving the demand for luxury and premium paper bags in India. Environmental concerns are leading the Government of India to reduce single-use plastics, with the National Green Tribunal (NGT) banning non-biodegradable plastic bags in Delhi and the NCR region. State-owned institutions like Indian Railways and Air India have also imposed a ban on single-use plastics, promoting the adoption of paper bags across various industries. This shift presents an opportunity for paper bag making business profitable in India. Manufacturers focusing on aesthetically appealing designs can help brands enhance their image, creating lucrative prospects in the coming years for the paper bag making business small scale.

India Paper Bags Market Size:

The India paper bags market size reached USD 759.7 Million in 2024. Looking forward, IMARC Group expects the market to reach USD 1,122.6 Million by 2033, exhibiting a growth rate (CAGR) of 4.21% during 2025-2033.

Paper Bag Making Business Investment With Fully Automatic Paper Bag Making Machine

The attracting report from IMARC about the growth of the paper bag making business is expected to influence you to start a paper bag making business. When the search for paper bag making business investment is conducted, a fully automatic paper bag making machine will yield a result of investment for the machine of INR 50 lakhs (USD 50,000) or more. If this investment is only for the machine, then the building investment will be INR 20 lakhs (USD 25,000) or more. The working capital investment will be INR 25 lakhs per month (USD 30,000). To sell 80,000 paper bags per day, the marketing expenses investment will be INR 20 lakhs per month (USD 25,000). With all these investments in the paper bag making business, a reduction in production costs will be achieved!

Investment BreakdownINRUSD
Fully Automatic Paper Bag Machine50,00,00050,000
Building Investment20,00,00025,000
Working Capital (Monthly)25,00,00030,000
Marketing Expenses (Monthly)20,00,00025,000
Total Initial Investment1,15,00,0001,30,000

This table result lets us think about paper bag making business investment in India and other small countries. The question that arises is how the paper bag manufacturer, investing this much, can provide a retail shop with 2,000 to 10,000 bags with printing, because if investment is made in the paper bag making business with a fully automatic machine, the minimum printing order will be 30,000 paper bags, and more than three sizes cannot be made with a single machine. These ideas have been put together, and a semi-automatic sheet feeding paper bag machine has been developed to start the paper bag business on a small scale.

Sheet Feeding Paper Bag Making Machine for Paper Bag Business Small Scale Profit

The idea of developing a sheet feeding paper bag making machine is intended to resolve the challenges that startups or paper bag business entrepreneurs face in surviving in the market. Yes, it is a semi-automatic process, but at the same time, the investment in the paper bag making business is less, or it can be referred to as a low-cost paper bag making machine for starting a paper bag making business. The idea originated from the observation that in a metro city!

CategoryBranded Textile ShopsUnbranded Textile Shops
Number of Shops10 to 201,500
Percentage2%98%
Paper Bags Per Shop (Month)25,0002,000
Total Paper Bags (Month)5,00,00030,00,000

If there are 10 to 20 branded textile shops available, then there are around 1,500 unbranded or other textile shops. This means that 2% are branded textile shops while 98% are other textile shops. If the branded textile shops purchase 25,000 paper bags per shop in a month, it would result in only 5,00,000 paper bags per month. Conversely, if we calculate the unbranded or other textile shops to purchase 2,000 paper bags per shop in a month, it results in 30,00,000 paper bags per month. This analysis prompted the development of the sheet feeding paper bag making machine to build the paper bag business small scale profit. The conclusion is that the paper bag manufacturer should also consider 30,00,000 paper bags per month, not just 5,00,000 paper bags per month.

Sheet Feeding Paper Bag Making Machine - Paper Bag Making Process

The paper bag making process from sheet feeding paper bag making machines is detailed below. The market sector for paper bags produced from sheet feeding paper bag making machines includes textile shops, boutiques, mobile shops, jewelry shops, etc. In simple terms, these are retail shops that expect paper bags with a weight of above 100 gsm and board too.

Process NumberProcess Description
1st ProcessPurchasing paper sheets
2nd ProcessHorizontal creasing lines (creasing machine)
3rd ProcessOne side folding of the sheet (manual process)
4th ProcessSide pasting to tubes (sheet feeding paper bag making machine)
5th ProcessBottom creasing (creasing machine)
6th ProcessSquare bottom opening (manual process)
7th ProcessBottom pasting (sheet feeding paper bag making machine)
8th ProcessHandle gluing and pasting (manual process)

Square Bottom Opening Reference Video:

Just 15 seconds work which produces 1500 bags square bottom opening per person can do in a day – https://youtube.com/shorts/at18mtYsDBo?si=lanfFcSgmOd9_vQo.

Paper Bag Business Profit Margin With Sheet Feeding Paper Bag Making Machine

The paper bag making process from sheet feeding paper bag making machines is detailed below. The market sector for paper bags produced from sheet feeding paper bag making machines includes textile shops, boutiques, mobile shops, jewelry shops, etc. In simple terms, these are retail shops that expect paper bags with a weight of above 100 gsm and board type too. Let’s learn the paper bag business profit margin of textile shop paper bag size Width 12 inches * Gusset 4 Inches * Height 15 inches, GSM 110.

Process NumberProcess DescriptionCost (INR)Cost (USD)
1st ProcessPurchasing paper sheets3.000.036
2nd ProcessHorizontal creasing lines (creasing machine)0.050.0006
3rd ProcessOne side folding of the sheet (manual process)0.050.0006
4th ProcessSide pasting to tubes (sheet feeding paper bag making machine)0.030.0004
5th ProcessBottom creasing (creasing machine)0.050.0006
6th ProcessSquare bottom opening (manual process)0.150.0018
7th ProcessBottom pasting (sheet feeding paper bag making machine)0.030.0004
8th ProcessHandle gluing and pasting (manual process)1.000.012
Total Cost 4.460.054

This table highlights the costs associated with each step of the paper bag making process, as well as the total investment required for production, both in INR and USD. The Selling Price of this textile bag is INR 8.00 to 10.00, So the paper bag business profit margin is around INR 4.00 to 5.00, The minimum production and selling of 5000 paper bags earns you INR 25,000 per day. For customized paper bags, we offer a separate paper bag printing machine capable of printing from single color to four colors. This machine can handle a minimum order of 2,000 bags, with an added cost of INR 0.20 per bag for printing. It allows for printing on all sides of the paper bags and features a width of 21 inches, ensuring high-quality customization to meet your branding needs.

Paper Bag Making Business Project Report With Paper Bag Business Small Scale

Comparing the paper bag making business investment with a fully automatic paper bag making machine, our FTC Sheet Feeding Paper Bag Making Machine will provide the oxygen needed to succeed in the paper bag business. This is especially relevant for a paper bag making business project report focusing on small-scale operations.

Investment CategoryCost (INR)Cost (USD)
Machine Investment with Printing12,00,00014,400
Building Investment5,00,0006,000
Monthly Working Capital Investment7,50,0009,000
Monthly Marketing Expenses30,000360
Monthly Labour for Production (for 2.50 Lakhs paper bags)1,50,0001,800
Total Cost26,30,00031,560

This table highlights the key investment categories and their associated costs in both INR and USD, emphasizing the affordable investment required for our FTC Sheet Feeding Paper Bag Making Machine. As noted, this aligns with a paper bag making business project report, particularly suitable for small-scale ventures.

By opting for the FTC Sheet Feeding Paper Bag Making Machine, you’re not only investing in efficient machinery but also facilitating the establishment of a sustainable business model in the growing eco-friendly paper bag sector, making it an ideal choice for a paper bag business on a small scale.

Video Explanation