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May 02, 2026
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India's mustard oil market hit $1.3 billion in 2025. Learn how to start a sarson tel business in Bihar — expeller machine types, investment, profit per litre & step-by-step setup.
In Bihar, sarson ka tel is not a cooking preference. It is a cultural constant. Litti chokha without mustard oil does not exist. Macher jhol, aloo sabzi, the tadka on dal — all of it depends on that sharp, pungent aroma that no other oil replicates. Mustard oil is not a category Bihar will ever switch away from.
India's mustard oil market was valued at $1.3 billion in 2025 and is projected to reach $1.8 billion by 2034, growing at a CAGR of 4.03%. Cold-pressed mustard oil held the highest product type market share at 56.7% in 2025, driven by a sharp consumer shift toward natural, chemical-free cooking oils. In June 2025, Marico launched the Saffola Dual Seed Cold Pressed Oils range including a premium mustard variant — the biggest FMCG signal yet that Kachi Ghani is where the market is heading.
For a Bihar entrepreneur, this is significant. Most of the mustard oil sold in Bihar's kirana stores and wholesale markets is brought in from Rajasthan, Haryana, and UP-based mills. There is no strong local Bihar brand. A locally produced, freshly cold-pressed kachi ghani mustard oil has a freshness advantage, a freight cost advantage, and direct access to the state's highest-consuming households.
This guide covers everything you need to start — expeller machine types, real investment costs, profit per litre, raw material sourcing, step-by-step setup, and how Startuphyper supports you through the entire process.
| Market Metric | Data (2025–2026) |
| India mustard oil market size | $1.3 Billion (2025) → $1.8 Billion by 2034 |
| India mustard oil CAGR | 4.03% (2026–2034) |
| Global mustard oil market | $22.8 Billion (2024) → $32.8 Billion by 2034 |
| Cold-pressed oil market share (India) | 56.7% (largest product type) |
| India cold pressed oil market | INR 755.16 Million (2025) → INR 1.21 Billion by 2034 |
| India edible oil market volume | 25.33 Million Tons (2025) |
| India mustard oil production | 12 Million Metric Tons (FY 2023–24, +13% YoY) |
| Pouch packaging share | 52% of mustard oil sold in pouches |
| Traditional retail (kirana) share | 45% of total mustard oil sales |
| Profit margin (mustard oil unit) | 25–30% (KVIC pre-feasibility report) |
Bihar's position in this market is clear: Bihar and Jharkhand are named as primary mustard oil-consuming states — litti chokha is specifically cited as incomplete without mustard oil. Households in Punjab, Himachal, J&K, Rajasthan, Assam, Bihar, Jharkhand and Uttar Pradesh consume substantial quantities of mustard oil. Bihar is in the highest-consumption belt in the country — and has no dominant local producer.
Government Push: The National Mission on Edible Oils — Oilseeds (NMEO-OS) was approved in 2024 for a seven-year period (2024–25 to 2030–31) to achieve self-sufficiency in edible oil production. This mission directly supports small-scale oil mill entrepreneurs through subsidies, seed linkage, and infrastructure support.
Before buying any machine, you must decide which type of mustard oil your business will produce. Each has different extraction methods, oil yields, consumer positioning, and price points.
| Type | Extraction Method | Oil Yield per kg Seed | Consumer Price | Margin Potential |
| Kachi Ghani (Cold Press) | Low temperature pressing | 22% (220g/kg seed) | ₹160–₹220/litre | Highest — premium segment |
| Hot Press Expeller | High pressure, heat involved | 30–35% (300–350g/kg seed) | ₹130–₹160/litre | Medium — mass market |
| Solvent Extracted (Refined) | Chemical solvent extraction | 38–42% total (combined) | ₹110–₹140/litre | Lower margin, high volume |
Startuphyper recommends for Bihar entrepreneurs: Start with Kachi Ghani (cold press) production. Here is why:
Consumer demand for cold-pressed, chemical-free oil is growing fastest — the cold pressed oil market is growing at 5.41% CAGR, with North India leading at 31% market share due to strong cultural affinity for mustard oil.
Kachi Ghani commands ₹30–₹60/litre premium over regular expeller oil
Lower yield (22% vs 32%) is offset by significantly higher selling price
Regulatory and FSSAI compliance is simpler for cold-pressed vs refined oil
Bihar consumers specifically trust and pay premium for "kachi ghani" label
| Machine Type | Capacity | Power | Price Range | Best For |
| Mini Home Cold Press | 2–5 kg/hr | 1.5–2 HP | ₹18,000–₹35,000 | Home use / trial |
| Small Commercial Expeller (6-bolt)| 30–40 kg/hr | 5–7 HP | ₹98,000–₹1,55,000 | Small kachi ghani unit |
| Medium Expeller (9-bolt) | 40–60 kg/hr | 7–10 HP | ₹1,40,000–₹1,65,000 | Medium commercial unit |
| Semi-Auto Expeller (10 HP) | 80–100 kg/hr | 10 HP | ₹1,10,000–₹2,45,000 | Established oil mill |
| Fully Automatic Expeller | 150–200 kg/hr | 10–15 HP | ₹3,45,000–₹5,20,000 | Large commercial unit |
| Mini Oil Mill Plant (complete) | 30 kg/hr | 5–7 HP | ₹2,00,000–₹3,50,000 | Full plant, small scale |
A mustard oil expeller is a screw-press machine. Mustard seeds are fed into the hopper. A rotating screw shaft inside a hardened barrel applies progressive mechanical pressure to the seeds, breaking cell walls and forcing out the oil. The oil flows out through slots in the barrel.
The remaining compressed seed mass — called the oil cake (khali) — exits at the end. The difference between cold press (Kachi Ghani) and hot press expeller is temperature. Cold press operates below 50°C — oil retains natural colour, aroma, and nutrients. Hot press expeller heats the seed before pressing, yielding more oil but with reduced nutritional quality.
Budget ₹2–4 lakh: 6-bolt or 9-bolt commercial expeller (₹98,000–₹1,65,000) + filter press + storage tanks. Produces 30–60 kg of seeds per hour. Running 8 hours per day with 35% oil yield = 84–168 litres of mustard oil per day. This is the right entry point for a dedicated small-scale kachi ghani oil mill in Bihar.
Budget ₹4–7 lakh: Mini oil mill plant (complete setup, 30–40 kg/hr) at ₹2–3.5 lakh + supporting equipment. More turnkey, less sourcing effort
| Equipment | Purpose | Price Range |
| Seed Cleaner / Winnower | Removes dust, stones, foreign matter from mustard seeds | ₹15,000–₹40,000 |
| Pre-Heater / Cooker (hot press) | Pre-heats seeds to improve oil yield (hot press only) | ₹20,000–₹50,000 |
| Filter Press | Removes particles from crude oil for clarity | ₹25,000–₹70,000 |
| Oil Storage Tanks (HDPE/SS) | Stores crude and filtered oil before bottling | ₹10,000–₹35,000 |
| Oil Filling Machine | Fills oil into bottles or pouches accurately | ₹20,000–₹60,000 |
| Pouch / Bottle Sealing Machine | Seals filled packaging | ₹10,000–₹30,000 |
| Weighing Scale (digital) | Measures seed input and oil output accurately | ₹3,000–₹8,000 |
Complete Supporting Equipment Budget: ₹1–2.5 lakh for a fully functional small-scale mustard oil unit. The filter press is the most critical non-negotiable — unfiltered mustard oil cannot be sold commercially. Never skip it.
Scenario A — Small Kachi Ghani Unit (₹2–3.5 Lakh)
| Item | Cost (Approx.) |
| 6-Bolt Commercial Expeller | ₹98,000–₹1,55,000 |
| Filter Press (small) | ₹25,000–₹40,000 |
| Oil Storage Tanks (2 × 200L HDPE) | ₹12,000–₹18,000 |
| Basic Bottle Filling + Sealing | ₹18,000–₹30,000 |
| Mustard Seed (1 month — 2 MT) | ₹60,000–₹80,000 |
| Packaging (bottles + labels) | ₹10,000 |
| Licenses + Registration | ₹10,000–₹15,000 |
| Working Capital Buffer | ₹20,000 |
| TOTAL | ₹2.53–₹3.68 Lakh |
Scenario B — Medium Oil Mill (₹5–8 Lakh)
Item Cost (Approx.)
9-Bolt or 10 HP Semi-Auto Expeller ₹1,50,000 – ₹2,45,000
Seed Cleaner ₹20,000 – ₹35,000
Filter Press (medium) ₹40,000 – ₹70,000
Oil Storage Tanks (SS, 500L) ₹30,000 – ₹50,000
Oil Filling + Sealing Line ₹35,000 – ₹60,000
Shed / Workshop Setup ₹25,000 – ₹40,000
Mustard Seed (2 months stock) ₹1,20,000 – ₹1,60,000
Branding + Packaging Design ₹20,000
Licenses + FSSAI + GST ₹15,000
Working Capital Buffer ₹30,000
TOTAL ₹4.85 – ₹7.75 Lakh
Scenario C — Commercial Oil Mill (₹12–20 Lakh)
Item Cost (Approx.)
Fully Automatic Expeller (150–200 kg/hr) ₹4,00,000 – ₹6,00,000
Complete Seed Cleaning + Cooking Line ₹80,000 – ₹1,50,000
Industrial Filter Press + Oil Polisher ₹1,00,000 – ₹1,50,000
Bottling + Pouch Filling Line ₹1,00,000 – ₹2,00,000
Factory Shed (500–800 sq ft) ₹1,00,000 – ₹2,00,000
Raw Material (3 months bulk) ₹3,00,000 – ₹5,00,000
Branding + Website + Cold chain ₹50,000
Licenses + FSSAI + AGMARK ₹40,000
Contingency (10%) ₹1,00,000 – ₹1,50,000
TOTAL ₹13.20 – ₹20.50 Lakh
Government Support: Mustard oil processing is directly eligible under MMUY Bihar (50% subsidy, 0% interest up to ₹10 lakh), PMEGP (15–35% subsidy up to ₹25 lakh), and PM FME (35% subsidy for food processing micro-enterprises). The NMEO-OS mission has a financial outlay targeting oilseed production enhancement from 39 to 69.7 million tonnes by 2030–31 — creating direct upstream support for oil mill entrepreneurs.
Raw Material Specification Price (2025–26) Source in Bihar
Black Mustard Seeds (Rai) Primary — highest oil content ₹55 – ₹75/kg Grain markets: Patna, Gaya, Darbhanga
Yellow Mustard Seeds (Sarson) Popular in North Bihar ₹50 – ₹70/kg Local wholesale mandis
Mustard Seeds (Rajasthani variety) Highest yield — 38–42% oil content ₹60 – ₹80/kg Bulk from Rajasthan via traders
Bottles (1L PET/HDPE) Retail packaging ₹8 – ₹14/piece Packaging suppliers, Patna
Pouches (500ml, 1L, 5L) Alternative retail packaging ₹2 – ₹8/piece Flexible packaging suppliers
Labels (printed) Branded label for bottle ₹0.80 – ₹2/label Local printers
Extraction Method : Oil Yield per kg Seed : Oilcake per kg Seed
Kachi Ghani (Cold Press) : 220 g (22%) : 760 g Hot Press Expeller : 300 – 350 g (30–35%) : 640 – 680 g Combined (Cold + Expeller) : 370 – 400 g (37–40%) : 580 – 610 g
To produce 1 litre (approx. 920g) of kachi ghani mustard oil:
Seeds required: 1 litre ÷ 22% yield = 4.55 kg mustard seeds
Seed cost: 4.55 kg × ₹65/kg = ₹295.75
Electricity + labour: ₹12/litre
Packaging (1L bottle + label): ₹16/litre
Total production cost per litre: ₹323–₹340
Wholesale selling price: ₹380–₹420/litre
Retail MRP: ₹160–₹220/litre (500ml pack = ₹80–₹110)
Gross profit per litre: ₹55–₹90/litre
By-product revenue: The oilcake (khali) from 4.55 kg of seeds = approximately 3.5 kg of oil cake. Selling price of mustard oil cake: ₹20–₹25 per kg = ₹70–₹87.50 additional revenue per litre of oil produced. This by-product alone covers 20–25% of your seed cost.
Oilcake is not waste. It is animal feed and organic fertilizer with a guaranteed buyer market. Every cattle farmer, dairy, and poultry unit near your mill is a potential buyer. Never throw oilcake — it directly subsidizes your production cost.
Source mustard seeds from wholesale grain markets. Check for moisture content (max 8% for optimal pressing) and impurity level. Pass seeds through the seed cleaner to remove dust, stones, and foreign matter. Clean seeds improve oil yield by 2–5% and prevent machine wear.
For hot press expeller, seeds pass through a pre-heater or cooker at 60–80°C for 15–20 minutes. This breaks seed cell walls and increases oil fluidity, improving yield to 30–35%. For kachi ghani (cold press), skip this step — seeds are pressed at ambient temperature.
Feed cleaned (and pre-heated if hot press) seeds into the expeller hopper. The rotating screw shaft applies progressive pressure. Crude oil flows out through barrel slots and is collected in the receiving tray. Oil cake exits from the barrel end.
Crude mustard oil contains seed particles, moisture, and gums. Pass it through the filter press (plate-and-frame type) to remove all impurities. Repeat filtration if needed for clear, bright oil. Filtered oil is transferred to SS or HDPE storage tanks.
Allow filtered oil to settle for 12–24 hours. Any remaining fine particles sink to the bottom. Decant the clear oil from the top. Check colour (amber/reddish-brown for kachi ghani), aroma (sharp, pungent), and absence of sediment before filling.
Fill settled oil into branded bottles or pouches using the oil filling machine. Seal with the sealing machine. Apply labels with all mandatory FSSAI and Legal Metrology information. Pack in cartons for dispatch.
Step 1 — Get FSSAI License First
Mustard oil is a food product. You cannot legally manufacture or sell it without FSSAI registration or license. For a small unit (turnover under ₹12 lakh/year), basic FSSAI registration costs ₹100. For larger units, a State FSSAI License is required. Additionally, for branded mustard oil sold in retail, AGMARK certification is strongly recommended — it signals quality assurance to retailers and institutional buyers.
Step 2 — Udyam Registration + GST
Register as a sole proprietorship or partnership. Get Udyam (MSME) registration — free, online — for government scheme eligibility. GST for mustard oil (HSN 1514) is 5% — one of the lower slabs for edible oils. Register once turnover crosses ₹20 lakh or before any inter-state sale.
Step 3 — Procure Machine and Set Up
Contact Startuphyper for machine sourcing from verified manufacturers in Jaipur, Ludhiana, Nagpur, and Ahmedabad. We arrange transportation to Bihar, installation, and operator training. Minimum workspace requirement: 400–600 sq ft with concrete flooring, drainage for oil spillage, adequate ventilation, and fire safety provisions (edible oil is flammable).
Step 4 — Source Seeds and Run Trial Batches
Buy your first 500 kg–1 MT of mustard seeds from Patna's Mithapur Mandi or through grain traders in Gaya and Darbhanga. Run 5 trial batches before commercial production. Measure oil yield per batch. Test filtered oil for colour, aroma, and clarity. Fix any seed quality or machine calibration issues before approaching customers.
Step 5 — Brand, Package, and Launch
Your label must include: brand name, product name ("Kachi Ghani Mustard Oil" or "Cold Pressed Sarson Tel"), net volume, MRP, FSSAI registration number, AGMARK number (if applicable), manufacturer name and address, batch number, date of manufacture, and best-before date. Launch with free 500ml sample bottles to your first 10–15 target accounts.
Step 6 — Build Distribution
Priority channels for Bihar:
Wholesale distributors in Patna (Chowk wholesale market), Gaya, Muzaffarpur, Bhagalpur
Kirana stores — direct supply with 15-day credit
Institutional buyers — hotels, dhabas, school mid-day meal programs, hospital canteens
IndiaMART listing for B2B bulk inquiry
APEDA registration for export to Indian diaspora markets
Monthly profit model for a small 6-bolt expeller kachi ghani unit in Bihar
Parameter : Details
Machine : 1 × 6-bolt commercial expeller (cold press)
Seed processing capacity : 30 kg/hr
Operating hours per day : 8 hours
Daily seed input : 240 kg
Oil yield (cold press, 22%) : ~52.8 litres/day
Oilcake yield (76%) : ~182 kg/day
Working days per month : 26 days
Monthly oil output : ~1,373 litres
Monthly oilcake output : ~4,732 kg
Seed cost (₹65/kg × 240 × 26) : ₹4,05,600
Electricity + maintenance : ₹15,000
Labour (2 workers) : ₹18,000
Packaging (bottles + labels) : ₹21,968 (₹16/litre)
Total monthly expenses : ₹4,60,568
Oil revenue (₹400 × 1,373 L) : ₹5,49,200
Oilcake revenue (₹22 × 4,732 kg) : ₹1,04,104
Total monthly revenue : ₹6,53,304
Net monthly profit : ~₹1,92,736
Profit Upgrade: Move From Wholesale to Retail Branding
Channel Selling Price / Litre Margin / Litre
Bulk wholesale (loose, unbranded) ₹320 – ₹350 / litre ₹20 – ₹30 / litre
Branded wholesale (1L bottles) ₹380 – ₹420 / litre ₹55 – ₹90 / litre
Retail MRP (branded 1L) ₹160 – ₹220 / litre (500ml = ₹80–₹110) ₹80 – ₹120 / litre
Online premium Kachi Ghani ₹250 – ₹350 / litre (D2C) ₹120 – ₹180 / litre
ROI Timeline: For a ₹3–5 lakh investment (Scenario A–B), with net monthly profit of ₹1.5–₹2.5 lakh, break-even falls at 2–3 months. By-product oilcake revenue meaningfully accelerates this timeline.
Customer Type | Product Needed | Monthly Volume | How to Approach
Wholesale distributors | 15L tins or bulk | 500 – 5,000 litres | Meeting + sample + price list
Kirana / General stores | 1L, 5L branded bottles | 20 – 100 litres/store | Direct visit with sample
Dhabas and restaurants | 15L bulk tins | 50 – 200 litres/month | Morning visit with sample
Hotels and guest houses | 15L bulk or 5L bottles | 100 – 500 litres/month | Procurement manager
School mid-day meal program | Bulk supply | Very high | Government procurement
Cattle / Dairy farms | Oilcake (khali) | 500 – 5,000 kg/month | Direct approach; assured buyer
Organic food platforms | Branded Kachi Ghani | Growing; urban market | IndiaMART + Instagram D2C
Export aggregators | Bulk Kachi Ghani | High; consistent | Through Startup network
Bihar's strongest opportunity: The oilcake market. Every litre of mustard oil you produce generates 3.5 kg of oilcake. Bihar has one of India's largest cattle and dairy populations. Oilcake is a premium cattle feed. Lock in 2–3 dairy farms or cattle feed dealers as your oilcake buyers before you start production — this by-product income is guaranteed revenue that requires zero marketing effort.
License / Registration | Authority | Requirement | Cost
FSSAI Registration / License | FSSAI | Mandatory for all edible oil manufacturers | ₹100 – ₹7,500
Udyam (MSME) Registration | Ministry of MSME | Required for government scheme eligibility | Free
GST Registration | GST Council | Mandatory above ₹20L turnover / inter-state | Free
AGMARK Certification | Directorate of Marketing & Inspection | Quality mark — required for branded retail | ₹5,000 – ₹20,000
Trade License | Local Municipality | Permission to operate commercially | ₹500 – ₹3,000
Factory License | Bihar Labour Dept. | Required if 10+ workers with powered machines | ₹2,000 – ₹8,000
Pollution Control NOC | Bihar SPCB | Oil processing = Orange category | ₹2,000 – ₹8,000
Fire Safety Certificate | Bihar Fire Dept. | Mandatory — edible oil is flammable | ₹500 – ₹2,000
GST Rate on Mustard Oil: Mustard oil (HSN 1514) attracts 5% GST — one of the lowest rates for manufactured food products. This keeps your product price competitive and tax compliance simple.
AGMARK Note: AGMARK certification (IS 544 for mustard oil) is not legally mandatory but is practically essential. Most wholesale distributors, supermarkets, and institutional buyers in Bihar refuse to stock mustard oil without the AGMARK mark. Budget ₹5,000–₹20,000 for certification and factor the testing timeline into your launch schedule.
Mistake 1 — Buying seeds based on price alone without checking oil content
Mustard seeds vary significantly in oil content — from 36% in low-grade seeds to 46% in premium Rajasthani varieties. Buying cheap seeds with 36% oil content gives you 10–15% less oil per kg compared to premium seeds at ₹8–10/kg more. The math almost always favours better seed quality. Always ask for the oil content certificate from your seed supplier, or run a small test batch before committing to bulk purchase.
Mistake 2 — Skipping the filter press to save ₹25,000–₹40,000
Unfiltered crude mustard oil is cloudy, contains suspended seed particles, and has a shorter shelf life. No serious distributor, kirana store, or institutional buyer will accept unfiltered oil. Trying to sell it cheaply as "raw oil" to cattle farms is an option but destroys your margin. The filter press pays back its cost in the first week of operation. It is not optional equipment.
Mistake 3 — Not registering for AGMARK before approaching organized retail
Many Bihar oil mill startups spend months producing good quality kachi ghani oil, then discover they cannot get it into a single supermarket shelf without AGMARK certification. Apply for AGMARK simultaneously with your FSSAI — the process takes 4–8 weeks. Not having it delays your retail market entry by months.
Mistake 4 — Ignoring oilcake as a revenue stream
Every 1,000 litres of kachi ghani mustard oil produces approximately 3,500 kg of oilcake. At ₹20–25/kg, that is ₹70,000–₹87,500 in additional monthly revenue that many new manufacturers either ignore or dump at distress prices. This by-product income covers your monthly electricity and labour costs entirely. Build your oilcake buyer network before you start production.
What We Do | Details
Machine Sourcing | Verified mustard oil expellers from Jaipur, Ludhiana, Nagpur, Ahmedabad — delivered to Bihar with warranty
Installation & Training | On-site expeller setup + operator training + first batch calibration at your location
Project Report (DPR) | Complete DPR for MMUY / PMEGP / PM FME / bank loan applications
FSSAI + AGMARK Support | End-to-end registration and certification support — application to certificate
License Support | Udyam, GST, Trade License, Factory License, Pollution NOC — we handle all documentation
Government Scheme Guidance | MMUY, PMEGP, PM FME, NMEO-OS linkage — eligibility check +full application
Seed Sourcing Linkage | Connect to bulk mustard seed suppliers in Rajasthan and local Bihar mandis
Oilcake Market Linkage | Introduction to cattle feed dealers, dairy farms, and poultry units as oilcake buyers
Branding + Packaging | Bottle label design, FSSAI + AGMARK compliance printing, brand name suggestions
Distribution Linkage | Introduction to wholesale distributors in Patna, Gaya, Muzaffarpur, Bhagalpur
Q1. How much investment is needed to start a mustard oil business in Bihar?
A small kachi ghani unit with a 6-bolt commercial expeller, filter press, storage tanks, filling machine, and seed stock costs ₹2.53–₹3.68 lakh. A medium oil mill with higher-capacity expeller, seed cleaner, and branding setup costs ₹4.85–₹7.75 lakh. Government schemes like MMUY (50% subsidy) and PMEGP (up to 35% subsidy) can significantly reduce your out-of-pocket investment.
Q2. What is the GST rate on mustard oil?
Mustard oil falls under HSN Code 1514 and attracts 5% GST — one of the lowest rates for manufactured edible products. This applies to bottled retail and wholesale bulk sales. Raw mustard seeds (HSN 1205) attract 5% GST as agricultural produce.
Q3. How much oil is extracted from 1 kg of mustard seeds?
Cold press (Kachi Ghani) extracts approximately 220g (22%) of oil per kg of seed. Hot press expeller extracts 300–350g (30–35%) per kg. Combined cold + solvent extraction can yield 37–40% total. Cold press gives less oil but a significantly higher-priced, premium product. The remaining 65–78% is oilcake (khali), which has its own sale value as cattle feed.
Q4. Do I need AGMARK certification to sell mustard oil in Bihar?
AGMARK is not legally mandatory but is practically essential for organized retail, distributor networks, and institutional supply. Most supermarkets and wholesale distributors in Bihar require AGMARK for mustard oil acceptance. Apply simultaneously with FSSAI — the process takes 4–8 weeks. Startuphyper assists with both the FSSAI and AGMARK application processes.
Q5. Can I sell mustard oilcake (khali) and what is the price?
Yes — oilcake is a valuable by-product with a guaranteed buyer market. Mustard oilcake sells at ₹20–25/kg as cattle feed and organic fertilizer. For every 1 litre of kachi ghani oil you produce, you generate approximately 3.5 kg of oilcake. This by-product revenue covers 20–25% of your monthly seed cost and should be factored into all profit calculations from Day 1.
Q6. Can I export mustard oil from Bihar?
Yes. India exports mustard oil under HS Code 1514 to over 40 countries — primarily the Indian diaspora in the USA, UK, UAE, Canada, Malaysia, and Singapore. Premium cold-pressed Kachi Ghani fetches significantly higher export prices than domestic wholesale rates. Export requires IEC (Import Export Code) from DGFT — free online registration — plus APEDA registration for agricultural product exports. Startuphyper connects production-ready units with export aggregators.
Mustard oil is not a trend in Bihar. It is a daily essential with deep cultural roots, a growing premium segment (Kachi Ghani), a strong government policy tailwind (NMEO-OS), and no dominant local manufacturer serving the state's own demand. India's mustard oil market is projected to grow from $1.3 billion to $1.8 billion by 2034, with the cold-pressed segment growing fastest. Bihar consumes substantial mustard oil daily and imports nearly all of it from other states. That gap is the business. Bmvfragrances
Here is what to remember:
Start with Kachi Ghani (cold press) — premium pricing, growing consumer demand, simpler compliance than refined oil Never skip the filter press — it is the difference between a product that sells and one that doesn't Build your oilcake buyer network before Day 1 — by-product revenue covers 20–25% of your monthly production cost Apply for AGMARK alongside FSSAI — without it, your first 4–8 months of distribution will be limited to informal channels only.
Startuphyper will take you from machine selection to your first distributor order — expeller sourcing, filter press, FSSAI and AGMARK registration, government scheme application, seed sourcing, and oilcake market linkage all included. Which scale are you planning to start at — small kachi ghani unit or medium oil mill? Drop your question in the comments or call our team. We respond within the business day.
We have supported 500+ startups across 60+ business categories in Bihar and Eastern India.
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