The sanitary pad industry in India is experiencing significant growth, driven by increased awareness, government initiatives for menstrual hygiene, and a cultural shift in addressing women’s health needs. Despite the surge in demand, many rural and semi-urban regions still lack adequate access to affordable and quality menstrual products. This gap presents a golden opportunity for aspiring entrepreneurs to venture into sanitary pad manufacturing at a low investment. With the right setup, materials, and marketing strategy, one can not only build a profitable business but also contribute to women’s health and social impact.
Why Start a Sanitary Pad Manufacturing Business?
India’s market for sanitary pads is rapidly expanding, projected to grow annually at a double-digit rate. Yet, around 60% of menstruating women in India still do not have access to proper sanitary products. This creates an urgent need and demand for budget-friendly disposable sanitary pads. Government schemes like Suvidha and private NGOs are also investing heavily in promoting menstrual hygiene. Setting up a sanitary pad manufacturing unit can serve both commercial and social objectives.
Low Investment Opportunity with High Social Impact
Starting a sanitary pad manufacturing unit does not require massive capital investment. Small-scale units can be started with a budget of INR 5-10 lakhs, depending on the machinery and materials selected. Manual, semi-automatic, and fully automatic machines are available, each with different production capacities and cost implications. Low-cost manufacturing units have already shown successful models in many Indian states, creating employment for women and supplying pads to local schools and communities.
Understanding the Manufacturing Process
To manufacture disposable sanitary pads, you need to follow a basic production process that includes several key steps:
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Raw Material Procurement: The main materials used in sanitary pad manufacturing are non-woven fabric, absorbent core (pulp or SAP – superabsorbent polymer), back sheet, release paper, and adhesive.
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Core Formation: The absorbent material is shaped into a pad form. Machines help compress and shape the pulp or SAP mixture.
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Layering: The absorbent core is layered between non-woven fabric (top sheet) and polyethylene sheet (bottom layer).
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Sealing and Cutting: Heat sealing or ultrasonic sealing joins the layers together. Pads are then cut into desired shapes and sizes.
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Packaging: Each pad is individually wrapped or packed in groups depending on the target market (bulk or retail).
Machinery and Equipment Required
There are three types of machines commonly used in sanitary pad manufacturing:
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Manual Machines: Ideal for very small-scale operations. These are labor-intensive and produce fewer units per hour.
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Semi-Automatic Machines: Suitable for medium-scale setups. These machines increase productivity and reduce labor dependency.
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Fully Automatic Machines: These are best for high-scale production and ensure consistency, quality, and hygiene. Initial cost is higher, but the output and ROI are also greater.
When starting with a low investment, semi-automatic machines are generally preferred due to their balance of cost-efficiency and productivity.
Raw Material Sourcing
The key to producing affordable yet good-quality sanitary pads lies in sourcing the right raw materials. Here’s what you need:
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Non-woven Fabric: Used as the top layer for comfort and absorption.
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Wood Pulp/SAP: Core absorbent material.
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Polyethylene Sheet: Serves as the leak-proof base layer.
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Release Paper and Adhesives: Used for wrapping and adhesion to undergarments.
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Packing Material: Printed wrappers or simple plastic pouches.
These raw materials are available from multiple vendors in India, including local suppliers in industrial zones or wholesale distributors from Delhi, Gujarat, and Maharashtra.
Setting Up the Manufacturing Unit
Before beginning production, you need to select an appropriate location and layout for your sanitary pad manufacturing business.
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Location: A 1000–1500 sq. ft. area is sufficient to set up a small-scale unit. Make sure the space is well-ventilated and hygienic.
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Manpower: 5–10 skilled and semi-skilled workers can operate a basic setup.
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Utilities: Stable electricity, clean water, and proper waste disposal systems are essential.
You’ll also need to register your business and get the necessary certifications:
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Udyam/MSME registration
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GST registration
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BIS certification (if scaling up)
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ISO 9001 or 13485 (for better quality assurance)
Cost Breakdown for Small-Scale Setup
Here’s an approximate investment structure for a small sanitary pad manufacturing unit:
Expense Head | Approx. Cost (INR) |
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Machinery (semi-auto) | 3,00,000 – 5,00,000 |
Raw Materials (first lot) | 1,00,000 – 2,00,000 |
Space (rent/setup) | 50,000 – 1,00,000 |
Packaging Material | 50,000 |
Licenses & Certification | 25,000 |
Labor Cost (initial) | 50,000 – 1,00,000 |
Marketing & Branding | 50,000 – 1,00,000 |
Total Estimate | 6,00,000 – 10,00,000 |
This budget can vary depending on your region, scale, and chosen equipment.
Marketing and Distribution
In sanitary pad manufacturing, success depends largely on marketing, awareness, and distribution. Here are strategies to ensure visibility and sales:
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Target Schools and NGOs: Offer subsidized products to schools and health NGOs. This can be a steady bulk order channel.
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Government Schemes: Register under government programs that distribute pads to rural areas. Work in collaboration with health departments.
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Retail Outlets: Tie up with local medical stores, general stores, and supermarkets.
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Online Platforms: Sell through Amazon, Flipkart, or your own website.
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Branding and Packaging: Good branding increases trust. Use clean, attractive, and informative packaging.
Profitability and Return on Investment
The production cost of a standard sanitary pad is around ?1.50 to ?2.50, depending on materials and volume. Retail prices range between ?4 and ?10 per pad, offering a good profit margin.
For example, if your unit produces 20,000 pads/month and you sell them at ?4 with a ?2 cost per pad, your monthly gross profit would be ?40,000. With bulk orders and good distribution, this number can scale significantly.
Within 12–18 months, a well-run unit can recover its investment, especially if operating near demand centers like schools, villages, or healthcare hubs.
Government Support & Training
There are several government and NGO-led programs providing subsidies, training, and financial assistance to women entrepreneurs in this space:
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NSIC (National Small Industries Corporation) offers machinery subsidies.
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PMEGP (Prime Minister’s Employment Generation Programme) provides low-interest loans.
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SIDBI (Small Industries Development Bank of India) finances women-led microenterprises.
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NGOs like Goonj, Aakar Innovations, and Muruganantham’s initiatives offer training on low-cost sanitary pad manufacturing.
Challenges and Solutions
Like any manufacturing business, this industry has its challenges:
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Quality Control: Maintaining hygiene and product consistency is essential. Solution: Train your staff and periodically test products.
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Awareness: Many rural women still hesitate to use sanitary pads. Solution: Conduct awareness drives with local health workers.
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Competition: Big brands dominate urban markets. Solution: Focus on niche markets and local distribution where demand is unmet.
Conclusion
The sanitary pad manufacturing business offers a rare blend of profitability, scalability, and social contribution. With increasing awareness, government backing, and a strong demand curve, the timing couldn’t be better to step into this venture. By starting small, maintaining quality, and focusing on underserved markets, you can build a sustainable business while empowering women across India.
Whether you’re a first-time entrepreneur or a social impact enthusiast, sanitary pad manufacturing can be your gateway to meaningful enterprise and long-term success.
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