Cow Dung Business Ideas: 4 Profitable Ways to Start

Cow dung business, a business in which investment is low, profit is high and the government itself helps you. Last year itself, India exported cow dung and products made from it worth ₹400 crore to the world. America, Dubai, Kuwait are all buying cow dung from India. This is a revolution and today in this blueprint I will tell you every secret of this business step by step.

What This Blueprint Covers

So wait before we get into cow dung business ideas, Let me tell you what I am going to tell you today in this blueprint.

First we will see path number one, the farmer’s path. How you can start vermicompost i.e. earthworm manure business with an investment of less than ₹100. Whose market in India alone is more than ₹100 crores.
Then we’ll talk about the big game. Meaning, path number two is the path of the industrialist. How the government is giving you subsidy worth crores for setting up a CGB gas plant. This is India’s market worth $3 billion i.e. approximately ₹25,000 crore.
After that, our creative path, path number three, the artist’s path. Cow dung paints, lamps and even soap. This is a high margin business in which you can sell cow dung worth ₹10 for ₹100.
And finally the A to Z formula of everyone’s dream export. I will tell you in seven simple steps how you can send your Made in India cow dung to Dubai America and earn in dollars from day one.

So let’s start with our very first path and move further one by one in this blueprint blog.

Path 1: The Farmer’s Path – Vermicompost

So let’s start with the first route. This is for those people who do not have much money but have the passion to work hard. And the hero of this path is vermicompost i.e. earthworm manure. This is the easiest and most profitable way of doing business. This is not rocket science. You feed earthworms with dung and the manure they produce is the best fertilizer in the world. All you need are some earthworms and cow dung. You can start it from as little as ₹10,000. Every farmer, every nursery and people in cities who do gardening at home, everyone wants this black gold. Plain cow dung may be sold for ₹1 per kg, but vermicompost is sold for ₹8 to ₹12 per kg in B2B and up to ₹100 per kg in D2C after branding it.

Step-by-Step Process for Vermicompost

Now know the step by step process of how to make it?

So step one is place place. You need a small piece of open land that has shade. You can make a shed from torpaulin, also known as tarpaulin.
Step two is bed. You have to make a bed with bricks on the ground. Suppose 30 feet long and 4 feet wide or you can also buy readymade HDPE vermicompost beds from the market.
Then step three is cow dung i.e. raw material. In this bed you have to fill one to two months old cold cow dung. Fresh cow dung is slightly warm which causes problems for earthworms. He can even kill them.
Step four is the earthworm, which is the main hero of this game. Now you have to put special type of earthworms in it. These are called Eisenia fitida. You will get this at any agricultural science center or online.

Now you just have to wait for 45 to 60 days and maintain moisture in the bed. The earthworms will eat the dung and start excreting it. After 60 days your tea leaf like granular black manure will be ready.

Let’s say you start with just 10 beds. One bed will give you fertilizer three times a year. You can produce about 8000 kg of compost in a year from 10 beds. If you sell even 10 kg for ₹ in B2B, then it becomes ₹80,000 and if you sell even 100 kg for ₹ in D2C by doing your own branding, then the turnover will be ₹8 lakh and your cost is to buy raw material only once. Cow dung is almost free. From next year your profit will be even higher. Pack it. Name your brand and start selling.

Path 2: The Industrialist’s Path – CBG

So let us now talk about the second path which is the path of the industrialist. This is for those who think big, can invest big and want to provide a solution to the country’s energy problem. We are talking about making CBG i.e. Compressed Biogas. In simple language, it is CNG gas made from cow dung. Just like your car runs on CNG, this gas is also a fuel. This is also made in a large plant by fermenting cow dung. And it is not you but the Government of India itself that wants you to start this business. This is a great scheme of the government. Under the Sustainable SATAT Sustainable Scheme, the government makes three promises to you.

First Guaranteed Buyer. You don’t have to find a market to sell gas. Government companies like IOCL, BPCL, HPCL will make a 15 year contract with you and will buy all your gas. The second promise is fixed price. The government has also fixed the rates. Around ₹55 to ₹60 per kg. If the rate is fixed then there is no tension. And the third promise is subsidy. To set up such a big plant, the government also gives you subsidy worth crores of rupees and cheap loans.

How CBG Plant Works

Now let us know how it works.

So the first step is collection. You collect thousands of kilos of cow dung daily.
Then the second step is the digester. You put the dung in a very large closed tank called an anaerobic digester. Let’s put it in that.
Then the third step is gas generation. Bacteria inside the tank eat the dung and produce methane gas. Then the fourth step is upgradation. This methane gas is purified. H2S and CO2 are removed.
Then the last step is compression. Pure methane gas is compressed and your CBD is ready. The most important thing is that when the gas comes out of the dung, slurry remains. Now what is Slurpee? That is FOM i.e. Fermented Organic Manure i.e. organic fertilizer. This fertilizer is as powerful as vermicompost. And to sell this fertilizer, the government also gives you Market Development Assistance i.e. MDA of ₹1500 per ton. Meaning money from gas and also from the leftover fertilizer.

Investment and Government Support

How much is the investment now? So this is a big business. Even a small plant i.e. a plant with 5 tonnes per day will require an investment of Rs 8 to 12 crore. This path is not for small farmers. This is for FPOs i.e. Farmer Producer Organizations, big traders or industrialists. But with the help of the government which includes continuous MDA and subsidy, your factory becomes profitable in 5 to 7 years.

Path 3: The Artist’s Path – High-Margin Cow Dung Products

So now let us come to our third step and the most interesting path, this is the path of the artist. This is for those who are creative and can give a new look to cow dung. In this way, you sell cow dung not by the kilo but by the piece. Here the margin can be 100%, 200% or even 500%.

Product Ideas

So product number one is our natural paint. Do you know that paint is also made from cow dung? The government itself is promoting it in the name of Khadi Natural Paint. This paint is 100% natural, antibacterial, antifungal and keeps the house cool in summer and does not smell. Its demand is very high in cities. Where people want eco-friendly and chemical-free products. Now they want to get rid of the old smelling and chemical paint. The government is providing both technology and help to set up its manufacturing unit.
Then the second product is cow dung lamps or idols. During Diwali, you buy plastic lights imported from China. Why? Nowadays there is huge demand for cow dung lamps. This lamp gets mixed with the soil after the puja. That means it is biodegradable. All you need is cow dung, some Multani Mitti and a mould. The cost of one lamp will be around ₹1, which you are selling in the market for ₹3, ₹4, ₹5 by branding it and even for ₹5.
Then product number three is incense sticks and dhoop sticks. Cow dung is considered the purest among the havan materials. You can dry cow dung, make its powder and add natural herbs and fragrance to it to make incense sticks and dhoop sticks. It is sold in the market at a premium rate under the name of Cow Dung Dhoop Sticks because it is chemical free and pure and there is no limit to what can be made from it.
Cow dung bricks, which are lighter and cheaper than usual cement.
Cow dung paper, handmade paper used in gift packaging.
Pots are also made from cow dung which people keep in the balcony, on the roof or they directly plant the plant in this pot and then plant it in the ground.

What You Need for the Artist’s Path

Now what do you need for this path? So cleanliness is required, your product should be clean. Creativity is required, colouring the lamp, making it beautiful, packaging your product. Should come in a good package. Must have good looks and marketing skills. Sell it directly on Amazon, Flipkart and your Instagram page. In this way, you can sell cow dung worth ₹10 for ₹100.

Path 4: Panchagavya and FMCG

We talked about paint, lamps and incense sticks. This is part of every artist’s path. But if you want to go further down this path, you can go into high value products. This is for those who want to build a brand. We are talking about Panchagavya and FMCG products.

What is Panchagavya?

Panchagavya means five things obtained from cow. Milk, curd, ghee, cow urine and cow dung. It is considered a great medicine in Ayurveda. Nowadays, instead of spraying chemicals in the fields, farmers are spraying Panchagavya. It is very easy to make. It is prepared in 20-25 days by mixing five things and some ingredients like jaggery, banana. Its cost is ₹40 to ₹50 per liter and it is sold in the market for ₹150 to ₹400 per liter. This is a more profitable deal than vermicompost. Its demand is very high in organic farming.

Then comes FMCG, soap, shampoo, face wash. And this is the premium level of this business. Have you heard of brands like Cowpathy? These companies are processing cow dung and cow urine and adding fragrance and herbs to them to make premium soaps and face washes. Why are people buying these? Because it is chemical free, sulphate free and Ayurvedic. A soap containing 20% cow dung and 5% cow urine is being sold for ₹50 to ₹100.

What is needed for this business?

So the first one is research i.e. RAD. You should know the correct formula.
The second is licenses. To make soap and shampoo, you will have to take a license from the AYUSH Department.
The third is branding. Your packaging should be very good.
Fourth is marketing. You have to give confidence that your product is pure and beneficial. This path is difficult. It takes time but it has the highest profit.

Export Roadmap

So now let’s move on to our next part. How to export? You made fertilizer, gas, products. Now is the time to take our Indian cow dung to the world map. You might be thinking that me and export is very difficult. No, India is already the world’s largest cow dung exporter. We exported goods worth Rs 400 crore last year and the demand is very high. Who is buying? In Gulf countries, Dubai, Kuwait, they have deserts. They always need cow dung to grow their date palms. Then there’s buying the Maldives. That is an island. They need our manure for their organic farming. Then USA, UK, Europe they need certified organic fertilizer.

Seven-Step Export Guide

So now the question arises how can you sell your product to them? How can I send it? Let me give you a seven-step guide. This is a simple checklist.

Step number one is register your company. To sell to the world, you need to build a professional company. First of all, register your business. You can form a proprietorship or a private limited company. You will need a company, PAN card and GST number.
Step number two is get the IEC code. You need a passport to travel outside the country. To take the business abroad, you need IEC code i.e. Importer Exporter Code. This is the passport to your business. You can apply it online from the DGFT website. You get it in one to two days.
Then step number three is choose your product. This is very important. You cannot export wet raw cow dung. You can only export these products. Dry cow dung powder, that is, after drying the cow dung and making it into powder, or high quality vermicompost which we talked about above, or dry dung cake, that is, sticks which are available in the village for puja etc., your goods should be 100% dry, high quality and professionally packed.
Then step four is find your buyer. How to find customers in Dubai USA? B to B portals. Create a free profile on Indamar and Alibaba. Buyers from all over the world will find you themselves. Apart from this, you can also take help from the government. APEED is an organization of the government. Register with them. They help you find genuine bias. The third way is social media. Create your own good website and Linkedin page and you can also approach procurement managers on LinkedIn.
Then comes step five, where it is the quality certificate i.e. phytosanitary certificate. This is the most important document. When you send any agricultural product abroad, that country is afraid that it might contain some insects or disease. You have to provide doctor’s certificate for your product. This is called phytosanitary certificate. This is provided by the Plant Quarantine Office of India. They check that your goods are 100% clean. Without this you cannot send goods abroad.
Then step six is price and packaging. Fertilizer is sold at ₹6 to ₹10 per kg in the domestic market. The same fertilizer is sold in the export market for ₹30 to ₹50 per kg. This is the real profit. But for this the packaging will have to be done in a strong waterproof sack. It is placed on a wooden pallet and plastic wrapped.
Then comes step seven, ship your product. How to send the goods? Don’t go to the port yourself. You should hire an expert called CHA i.e. Customs House Agent. This guy will do all your work. Ship booking, customs papers, everything. Just pay him your fees and he will deliver your goods to your buyer.

30-Day Action Plan

And now let’s talk about what will be your practical action plan? I have given you all this information but now the question is what will you do from tomorrow? So this is your first 30 days action plan.

Week Number One First Mile Research. Your job will be to find your raw material. Visit at least three cow shelters. Talk to the owner. Ask how much cow dung is there? Will you sell me? If you sell it, how much will you sell it for or will you give it for free? Also visit two-three dairy farms. Ask them the same question. Build your relationship. Build a good relationship and visit the Farm Science Centre of your district. Ask about vermicompost in it. By the end of this week you should know where your dung will come from.
Week number two is Choose Your Path. Now that you know the supply, choose your route. If the supply is less and the budget is less than Rs 500, then your path is path number one, vermicompost or path number three, lamps or incense sticks. If the supply is more, meaning a cowshed of 1000 cows and the budget is also more, then your path will be path number two, i.e. CBG plant. This week, take a final decision as to which business you are starting.
Week number three is paper work and setup. Now make it official, get your Udyam Aadhar MSME registration done. It is 100% free online. Then you need GST number. Get your GST number. Then build your setup. If you chose Path One, create your first five worm beds. If you have chosen path three then bring lamp moulds and incense stick machine. Buy lamp molds.
Week number four,The First Product. This week you will transform from a planner to a producer. Your only goal is to make your first batch. Buy earthworms from Path Number One and fill the bed. Your 45-day timer starts. And make your first 100 lamps with path number three. Decorate them, customize them, pack them or make incense sticks with an incense stick machine. Add fragrance to it. You can add color to that too. Within 30 days you will have a physical product in your hand and your business will start.

Helpful Resources and Conclusion

Now the question is where will we get help? If you get stuck, visit the sustainable official website for CBG plants. Information about iocl bpcl will be available there. AAIDF portal for bank loans i.e. HIDf. Visit Udyami Mitra.in. This is Animal Husbandry Infrastructure Fund. It provides loans for cow dung management at a cheap interest rate of 3%. And your KVF and NCOF for vermicompost. NCOF is National Centre of Organic Farming.

And if you find this blueprint blog helpful and practical then let me know and also share what you think about this cow dung business which product made from cow dung did you find most creative and whose demand do you think will increase the most in the future? Lamp paint or soap shampoo? Tell us in the comments section.