Unleash Your Profit Potential With This Lucrative Business Venture, Know More – News18

Many of us aspire to start our own business, but choosing the right idea can be challenging. To opt for a venture that fetches profits, one needs to do thorough research. Let us have a look at a highly profitable business idea which is growing at a rapid rate i.e., the cardboard box or corrugated box business. The demand for these boxes has skyrocketed in recent times due to the increasing popularity of online shopping. Therefore, entering this business can be a game-changing one.

To begin with, an entrepreneur will require approximately 5,000 square feet of space, including a warehouse to store the items. Two types of machinery are required to carry forward this process – automatic and semi-automatic. The most crucial raw material for this business is craft paper, which sells for around Rs 40 per kg in the market. By utilizing higher-quality craft paper, one can manufacture better-quality boxes.

The most interesting fact about this business is that it can be initiated on both small as well as large scales. If one opts for a larger-scale operation, an investment of approximately Rs 20 lakh will be required. Nevertheless, the profit margin in the cardboard box business is remarkably high. With proper marketing strategies, you can earn anywhere from Rs 5 to 10 lakh per month.

In 2022, the South Indian Corrugated Box Manufacturers Association appealed to the government to reduce the Goods and Services Tax (GST) on corrugated boxes, aiming to alleviate financial stress on Micro, Small, and Medium Enterprises (MSMEs). Previously, corrugated boxes were subjected to a Goods and Services Tax (GST) of 18%, resulting in financial strain. This was particularly challenging for Micro, Small, and Medium Enterprises (MSMEs) since they often experience delayed payment realization, which can take up to 60 days. In contrast, they are required to make duty payments to the government within a 30-day timeframe.

The packaging industry has witnessed a significant surge in demand for corrugated boxes, leading to a 100% increase in the price of Kraft paper in the same year. The global production of cardboard was estimated to be 66 million tons in 2020 whereas the same was estimated at 175 million tons for the corrugated board.