How to make money from an e-waste recycling business in India
In the waste segment, the e-waste recycling business is the largest growth having a business, with computer equipment about almost 70% of it, followed by telecommunication equipment estimated to be 12%, electrical equipment of around 7%, and medical equipment accounts to 6%.
An idea to make money from an e-waste recycling business
E-waste is an enormous environmental threat. But, it also grants huge chances for businessmen interested to take the plunge. According to the latest study by ASSOCHAM-ckinetics, India stands as the fifth largest e-waste producer, and its electronics-waste production is estimated to annually grow at about 30% to reach 5.2 million metric tonnes (MT) per annum in few years as against the present level of 1.8 million metric tonnes. Thus, it is visible the extreme potential and openings in the e-waste recycling business.
E-waste recycling business plan to make huge money
An e-waste recycling business plan comprises the capital involved in getting necessary permissions and licenses. You must also check how to have a space for your operations with a dump yard. The processing operation requires different tools and equipment. You have to appoint professional manpower who is skilled in this kind of operation. And lastly, you must take care of the daily basic expenses associated with the operation, marketing, etc.
Steps for e-waste recycling business plan
These are the following sections that you need to plan carefully before starting the business.
- Secure the licenses and permits
- Waste recycling procedures
- E-waste business set-up
- E-waste recycling safety measures
- Electronics-waste types of equipment
- E-waste recycling plant cost
The cost to an e-waste recycling business
The e-waste recycling plant charges to begin the e-waste recycling business. The e-waste recycling plant cost: Rs. 700,000 – Rs. 800,000.
Area required for starting an e-waste recycling business
It requires a minimum of 1000 sq. ft – 1500 sq. ft (93 sq. m – 139 sq. m) to start the e-waste recycling business.
Operational expenses
Below is the list of expenses that you need to take into consideration. These include-
- Human resource cost
- Cost of the scrap
- Utilization of electricity and water supply
- Logistics expenses
- Advertising expenses
- Spares and consumables
- Contingency expenses
- E-waste recycling business model
In initiating the business, it is crucial to create an effective E-waste recycling business model. There are two types of operations –
Franchisee-based: Waste management as a franchise unit is taking care of the operations of an already established e-waste management company.
Self-owned: Waste management by purchasing waste from various sources. This kind of franchise model is generally comfortable for investors who are planning for a business opportunity with low capital.
In this model, the franchisee unit could gain from some of the parent company’s infrastructure. The entrepreneur takes care of the whole investment in self-owned business operations. It’s not possible to arrange for an economic analysis of the franchisee model as it is based on the terms of the agreement. In the self-owned model, the business unit is capable of income generation around 6.0 to 7.5 million rupees per month (which is by the processing of at least 500kg e-waste per day) are given below:
License to start an e-waste recycling business
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Initiating an e-waste recycling and processing activity requires the different types of licenses for the E-waste recycling business from the government authorities.
However, the particularities may vary from state to state. Here we have listed some of the basic but essential necessities. Firstly, it is important to have the Udyog Aadhaar MSME registration which can be obtained by applying online.
Next, is to seek permission from the state Pollution Control Board for getting the ‘consent to establish’. This needs the paperwork and submission of certain documents like the plan and index of the site.
Topographical map, process flowsheet plans and index of the site, detailed plant layout including DG set capacity in KVA, Consent fees in form of DD in favor of the state PCB, SSI Certificate or NOC from Directorate of Industries, details of water, local body NOC and stamp paper or CA certificate about proposed investments. If you wish to import the scrap form other countries, you must take permission from the environment ministry for importing e-scrap.Additionally, you must have a detailed procedure from CBEC (Central Board of Excise and Customs).
How to start an e-waste recycling business in India
If you are planning to set-up an e-waste recycling business in India, the simple guide to begin the e-waste recycling business in India has been mentioned below.
Step 1: After you determine to start the e-waste recycling business, verify the online marketplace. Check the previously established e-waste recycling company websites for acquiring the knowledge of their pattern of operation.
Step 2: Create a brand name, a trendy one, with a logo. These are all compulsory in the present day for operating a business effectively.
Step 3: Register your business by applying for all required licenses and permissions.
Step 4: Secure a sufficient place. Ensure the availability of commercial electricity and water supply in the area. You should even have a dumping yard. It is recommended to secure the space in an industrial region. Though it is not compulsory, it avoids different political and social hazards.
Step 5: Plan for the e-waste recycling business model and design a company website. If you wish to focus on the end consumers, then you can propose an instant quote facility for the products. Moreover, you can provide free pickup facility and instant cash payment options.
Step 6: Determine the region. It is very essential when you gather the devices from the consumers. Because the distance is an essential aspect of calculating the unit cost and net gain. Moreover, your consumers should know in which specific location your service is available.
Step 7:Design the best marketing plan carefully keeping in mind the capital you have. It is well known to all that a business can’t be successful without a perfect marketing strategy. And in the present scenario and digital world, you should focus on digital promotions.
Step 8: Purchase the required equipment and tools for the operations.
Step 9: Appoint experienced and skilled manpower. The staff must have the competencies to work for the processing, pickup, admin operation, and delivery facility and for promotions.
Step 10: Finally, you should have the right application for leak-proof operation. E-waste recycling is a deeply detailed oriented business. Therefore, you should have integrated software for proper monitoring and control of the business.
The market potential for an e-waste recycling business to make money
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The total life cycle of electronic product goes through the different phases like introduction, growth, maturity, and the final step disposal or recycling. Every electronic product reaches the recycling stage either because of the end of its life cycle or due to technological advancements. It is even owed to reach the customers as per the changing requirements. The technological advancements resulted in the new developments that replace the old technological products. Most of the people are getting updated mainly on the products releasing into the market. The products released in the market are following the trend by replacing old products. These technically advanced products, which leads to the generation of huge e-waste. This would be our main point to start the e-waste recycling market.
The global e-waste recycling market size is increasing day by day and it finally reaches 5.04 USD billion till 2020, where the estimated value of CAGR of 20.6% between 2015 and 2020 from USD 1.66 million in 2014. The whole value chain in the e-waste recycling management that includes various processes like collection process, gathering the sources for collection e-waste, recycling process, and recovering the materials from sales. In the recycling process of e-waste, materials such as gold, silver, copper, aluminum, glass, plastic, and many others can be extracted which gives you lots of market value for these products. These recycled products/materials can be again utilized for manufacturing the electronic as well as non-electronic products. That’s all folks about to e-waste recycling business in India to make good money. You may be interested in the Skill Center for Computer and Mobile Equipment Repair in India.