In our Indian society, Dhoop, Dhoop Batti, Agarbatti, all these are taken as synonymous of incense sticks because these are burnt for fragrance. But dhoop or dhoop batti is not same with agarbatti. And the term incense sticks actually refers to agarbatti and not for dhoop batti. Dhoop Batti is prepared from the extracts of the dhoop trees, which are botanically termed as Vateria Indica and Canarium strictum mixing it with dried cow dung and charcoal power, whereas essence sticks are normally made from same mixture with bamboo stick inside. The dhoop making extracts is collected from the tree by tapping the trees just like in case of rubber. Vateria Indica is the source for saka dhoopa and Canarium strictum is the soruce for rala dhoopa. In market dhoop batti is available not exactly in stick form but as a bit damp paste of combustible material, somewhat similar to putting but black in colour. Dhoop batti paste is a mixture of ghee, herbs and dhoop tree extracts. These pastes are available in cones or thick sticks. Moreover, now days Dhoop batti are found in various fragrances like panch dham, kesar, nag campa etc. Whereas agarbatti is a mixture of powdered wood, charcoal, barks, seeds, leaves, roots, rhizomes, flowers etc. mixed with some essential oil, mineral oil, resins, gums and aromatic chemicals etc. The paste is applied passed through an injection and dried up. For mass production special dies can be use. Dhoop batti usually forms more smoke than agarbatti. It is mainly used during ritual ceremonies like havan and all holy occasions. The scent of Dhoop batti is also strong and creates a spiritual mood. The Dhoop trees are mostly found in eastern India. But unfortunately these trees are at the verge of being extinct, because of its heavy deforestation owing to their good market value.

This proposal mainly deals with cottage scale dhoop kandi making business ( 1000 to 5000 Kg / Years production cycle). Here the process & cost of dry dhoop kandi is taken for proposal. Verities of essence & process flow may varies as per local likening & traditional process.

MARKET POTENTIAL: The product Dhoopbatti (Incense sticks) is now-a-days becoming very popular in ritual ceremonies like havan etc. In market Dhoopbatti is also sold in bulk quantities. The local vendors do repacking in small quantities. Hence, it is presumed that if this type of unit is set up in Velhe  or nearby area it will earn good profit and also will create employment.

Target Customer:


Local market, individuals , temple , village huts.


Funding Source of Customers:


Either customers can self-fund it. If required micro loans can be taken from micro financing agency and banking institutes.



Business plan

Production –


Monthly 150 Kg Dhoopkandi production- 1800Kg per year


Fixed Costs:

Sr. No. Particulars Qty Rate Amount
1 Sealing Machine 1 1700 1700
2 Die 1 2000 2000
3 Incense powder mixing machine 1 20000 20000
4 Coal Pulverizer machine( 50Kg) 1 10000 10000
Total 32700







Operational Costs:

Sr. No. Particulars Qty Rate per Kg Amount
1 Cow dung 1800 Kg 10 18000.00
2 Sandal Wood Powder 150 Kg 480 72000.00
3 Ud(उद) 3 kg 320 960.00
4 Bhimseni camphor 67 kg 260 17420.00
5 Charcoal Powder 180 60 10800.00
6 Resin (राळ) 37.5 120 4500.00
7 Coconut oil 37.5 Kg 100 3750.00
8 Nirgudi powder 60 Kg 100 6000.00
9 Nagarmola 225 Kg 100 22500.00
10 Labors (3 Labors*10 /day * 30days * 12 months) 3 Labors 10 /Labour/day 9360.00
11 Label printing 43200 0.2 Rs / pcs 8640.00
12 Electricity 2 units * 26 days * 12 months 624 units / year 8 7488.00
13 Marketing cost (travel , sales commission/ incentives , advertisement etc) Approx 40 Rs/ Kg 72000.00
Total 253418.00


  Fixed Cost 32700.00
  Operational Cost 253418.00
Average Selling Price  (#)                      Rs  250 /- per Kg     1800 Kg Dhoop 450000.00
Total Profit 196582.00



# Note –

Wholesale price of Dhoop Kandi Rs.250 with MRP of of Rs.45 / 50 Gm pack



Operating profit per batch – Rs. 196582.00


Break Even Point – 1.88 Years.




Vigyan Ashram recognizes that the working of Dhoop kandi Business consists some assumptions about operations, costs, customer behaviors, working condition and Weather.

  1. Land cost is not in consideration.
  2. There is regular demand of product.
  3. Legal cost (licensing) is not considered.
  4. Marketing expenses may vary as per local conditions.

Process –