Known for its diverse cultural heritage and deep-rooted history, Bihar is emerging as a hub for business and entrepreneurship. With its strategic location and abundant resources, Bihar offers many profitable business opportunities for aspiring entrepreneurs. From the textile industry to agriculture and online businesses, Bihar has so much to offer. With the right strategy and approach, these business ideas can help you achieve financial stability and independence. This blog will explore 11 profitable business ideas in Bihar that can help you turn your dreams into a successful reality.
Why Should You Start a Business in Bihar?
Rich Cultural Heritage
Bihar is a state with a rich cultural heritage that goes back centuries. From the ancient Nalanda University to the Mauryan Empire, Bihar has been home to some of the greatest empires and centres of learning in Indian history. This rich cultural heritage can be leveraged for business opportunities in various ways.
One way to do this is by incorporating Bihar’s cultural heritage into products and services. For example, the state is famous for handicrafts, such as Madhubani paintings, metal crafts, and stone crafts. These products are not unique and beautiful, but they also have a historical and cultural significance that can be highlighted to attract customers.
Skilled Labour Force
If you’re considering starting a business, Bihar’s skilled labour force is something you should take into account. Bihar has a wealth of skilled labourers in various industries who are hardworking and dedicated to their craft. In addition, the state’s long history of craftsmanship and its emphasis on education has produced a pool of skilled workers eager to work and contribute to the growth of Indian economy.
In Bihar, you can find skilled workers in handicrafts, agriculture, manufacturing, and technology. These skilled workers can help you achieve high-quality products and contribute to the overall growth of your business. In addition, the cost of labour in Bihar is significantly lower than in other parts of the country, which makes it an ideal location to start a business that requires a large labour force.
Strategic Location
Bihar, located in the eastern part of India, is strategically positioned close to other major cities in India. The state shares its border with Nepal, which opens up multiple possibilities for cross-border trade. Bihar’s central location also means it is easily accessible to other major cities in India. For instance, it is just a few hours’ drive from Kolkata, one of the busiest commercial hubs in eastern India. This makes it an ideal location for businesses looking to expand their market reach.
The state’s location is particularly advantageous for industries such as agriculture, textiles, and pharmaceuticals, where transportation and logistics play a crucial role in the business’s success.
Growing Market Potential
Bihar has a growing market potential, attracting businesses from all over India. One of the key reasons for this is the state’s rising middle class and increasing purchasing power. As more and more people move into the middle class, they can spend more on goods and services, creating a significant opportunity for businesses in Bihar.
One sector that has been particularly successful in capturing this growing market potential is the retail industry. Retailers who have recognized the potential of Bihar’s growing middle class have thrived in the state by offering a range of products that appeal to this demographic. For example, supermarkets and shopping malls that offer a range of products, from household essentials to luxury items, have been doing particularly well.
Government Support
You’ll be pleased to know that the state government is dedicated to supporting entrepreneurs like you. Several government initiatives and policies are in place to help businesses flourish in Bihar. One of the main initiatives is the Bihar Industrial Investment Promotion Policy (BIIPP), which aims to promote and facilitate investment in the state. The policy provides several incentives, such as capital subsidies, interest subsidies, stamp duty, and registration fee reimbursement. It also supports infrastructure development, including power, water, and road connectivity.
The Bihar State Industrial Development Corporation (BSIDC) is another organization supporting entrepreneurs. In addition to these initiatives, the government has set up several business incubation centres and skill development programs to support entrepreneurs. The aim is to provide a nurturing environment for startups and help them grow into successful businesses. If you’re planning to start a business in Bihar, the government’s support initiatives can provide a significant boost. Take advantage of these opportunities to help your business grow and succeed.
11 Profitable Business Ideas in Bihar in 2023
Textile Export
The state is known for its silk production, and thousands of skilled weavers are experts in handling fabric and garments. This presents a great opportunity for entrepreneurs to tap into the market and utilize the available resources.
The market potential for textile exports in Bihar is immense, with countries such as the USA, Russia, and UAE being major importers of textile products from India. By tapping into these markets, you can create a profitable business that caters to the needs of these international customers. However, it’s important to note that competition can be fierce, and you’ll need to be able to differentiate yourself from other textile exporters to succeed.
Yarn Import Business
One lucrative idea is to import yarns and become a local yarn distributor. Yarns are threads made from fibres that are weaved together to make fabrics. With the recent skyrocketing prices of yarns, this business idea can be highly profitable. By importing yarns that are not easily available in India, you can supply them to manufacturers at a competitive price. You can also become a local yarn distributor, providing the raw materials to local weavers and manufacturers.
There is huge market potential in Bihar for yarn import and distribution business. With 90,000+ weavers and textile-favourable economies like Bhagalpur, Gaya, and Madhubani, there is a high demand for raw materials like yarns. Mills like Jayshree import linen yarns and raw materials from Europe to India, indicating that there is already a market for imported yarns in the country.
Textile Printing & Embroidery
The vast textile industry and printing and embroidery are two major value-added services. Unfortunately, most small textile merchants do not have their own dedicated printing and embroidery units due to high initial investment costs and low utilization. This creates an opportunity for you to set up your unit and offer these services to textile merchants, or you can also start a clothing business on your own.
To start a printing and embroidery business in Bihar, you will need some basic machines, such as flat-bed screen printing machines. As your business grows, you can invest in more sophisticated machines to print on various textile materials. For embroidery services, you can start by hiring hand embroidery talent to reduce initial investment costs and later invest in automatic machines. It’s important to keep your target customer in mind when pursuing embroidery business ideas in Bihar. Your target audience should be B2B customers who need printing and embroidery services. These could be textile merchants, garment manufacturers, and even corporate clients who need embroidered merchandise for their employees or events.
Coaching Institute
Bihar produces many public servants, including IAS officers, which means a huge demand for coaching institutes that help students prepare for competitive exams. However, there are already established coaching institutes in Bihar, so you need to differentiate yourself from them. Providing high-quality teaching, experienced teachers, and a unique teaching methodology can help you stand out.
On the other hand, the opportunities in this business are immense. With a population of over 10 million people, there is a large pool of potential customers in Bihar. Additionally, the demand for government jobs in the state is high, so there is a constant need for coaching institutes. Your target customers would be students preparing for competitive exams like IAS, PCS, and SSC.
Logistical Support
Logistical support is an essential part of any business operation. It involves planning, coordinating, and implementing activities related to transporting, storing, and distributing goods and services. Bihar has a significant demand for logistical support services due to the state’s growing economy and increasing trade activities.
One of the major challenges in this business is the lack of proper infrastructure and facilities. However, with the government’s push, the situation is improving gradually. Entrepreneurs can leverage this opportunity by providing efficient and cost-effective logistical support services to businesses in Bihar.
Tourism Agent
Bihar is a state with a rich history and culture, making it a popular tourist destination. Starting a tourism agency in Bihar can be a great business idea. As a tourism agent, you can offer transportation, lodging, food, tour guides, and other essential services tourists require.
This business has many opportunities with the potential to grow and expand. Bihar has numerous monuments and landmarks that attract tourists from across the globe. Nalanda University, Bodh Gaya, and Barabar Caves are some of the most popular destinations in Bihar. With a growing interest in heritage tourism, the potential for this business is immense.
Homemade Products
If you are creative and enjoy making art and crafts, turning your talent into a business by creating homemade products is one of the best ideas to sell products online. In Bihar, there are ample opportunities for this kind of business as people love to buy handmade items. There are several handmade products that you can create, such as candles, soaps, jewellery, paintings, and even flower arrangements.
The market potential for homemade products in Bihar is significant. There is a growing demand for handmade items as people appreciate the quality and uniqueness of these products. Target customers for homemade products include people looking for eco-friendly and sustainable products and those who appreciate the value of handmade items.
The competition for homemade products in Bihar is relatively low. However, as this is a growing trend, it is important to stand out from other homemade product businesses. You can do this by offering unique and personalized products that cater to the specific needs of your clients.
Handicraft Products
The state is known for handicrafts like Madhubani paintings, metal crafts, Mehsi stone crafts, Conch shell work, Lahati bangles, and Bhagalpuri silk production. These handicraft products are unique and have significant cultural and historical value, making them popular among tourists and locals.
The handicraft industry in Bihar provides employment opportunities for many landless and skilled workers who can earn a livelihood through their creativity. The industry does not require any machinery, making it accessible for those who cannot afford expensive equipment. The growth of the handicraft industry can contribute to the state’s economic growth and increase the GDP per capita.
However, there are challenges in starting a handicraft products business in Bihar. One of the main challenges is the lack of infrastructure, such as proper transportation and storage facilities, which can make it difficult to transport and store the finished products. Another challenge is the lack of proper training and education for the workers in the industry, which can affect the quality and consistency of the products.
Dropshipping
Dropshipping is a popular business model where the seller does not keep the products in stock but instead partners with a supplier who handles the products’ storage, shipping, and delivery. With the increasing demand for online shopping, dropshipping can be a lucrative option for entrepreneurs in Bihar who want to tap into the eCommerce market. Moreover, the low startup costs make it an accessible business idea for those who may not have access to significant capital.
Organic Farming
Organic farming is an agricultural practice aiming to produce crops without harmful chemicals or synthetic fertilizers. Bihar is blessed with fertile land and has great potential for organic farming. Moreover, the state’s agricultural sector is known for producing many paddy, wheat, maize, and pulses. This makes Bihar a suitable place for starting an organic farming business.
As people are becoming more health-conscious, there is a growing demand for organic produce in the market. As a result, organic farming has a higher market value than conventional farming. By starting an organic farming business, you can meet the increasing demand for organic produce and contribute to a healthier lifestyle.
However, starting an organic farming business also comes with its own set of challenges:
- The initial investment can be high, as you may require special equipment, seeds, and tools for organic farming.
- Organic farming can be labour-intensive and requires proper knowledge and training to produce good-quality crops.
- Farmers may also face challenges in marketing their products, as the market for organic produce can be limited.
Online Marketing
Online marketing is a crucial aspect of any business in today’s digital age, and Bihar is no exception. With the increasing number of internet users in Bihar, there is a massive potential for businesses to tap into the online market.
One of the biggest opportunities for online marketing in Bihar is the ability to reach a vast audience locally and globally. With effective online marketing strategies, businesses can increase their brand awareness, drive traffic to their website, and generate leads that can lead to sales. Online marketing also allows for targeted marketing, ensuring the right message is sent to the right audience.
Conclusion
Bihar is a state with enormous potential for business opportunities. Its rich cultural heritage, skilled labour force, and growing market potential make it a prime destination for entrepreneurs looking to start or expand their businesses. Throughout this blog, we have discussed the top 11 profitable business ideas thriving in Bihar, including organic farming, tourism, eCommerce, and more.
You can tap into a growing market and establish a successful business by taking advantage of these opportunities. So, if you are looking for a place to start or grow your business, Bihar might just be the perfect destination for you.
