4 min
17 February 2025
15 small business ideas in Odisha
Odisha, with its rich cultural heritage, diverse natural resources, and growing tourism industry, presents numerous opportunities for small businesses. Entrepreneurs can explore ventures in handloom, eco-tourism, tribal crafts, and food processing to capitalise on the state's economic potential. Additionally, Odisha’s demand for eco-friendly solutions, education services, and smart farming innovations creates new business prospects. With increasing government support, access to business loans, and rising digital connectivity, small business owners can thrive in this evolving market. This article explores 15 profitable small business ideas in Odisha, highlighting how entrepreneurs can establish and grow their ventures in the state’s dynamic economy.1. Handloom and textiles
Odisha is famous for its intricate handloom weaving traditions, including the renowned Sambalpuri, Bomkai, and Kotpad sarees. The state’s skilled artisans create high-quality textiles, making the handloom sector a lucrative business opportunity. Entrepreneurs can establish handloom units, retail stores, or online platforms to promote and sell Odisha’s traditional textiles to a national and global audience.- Set up a handloom weaving unit – Invest in raw materials, looms, and skilled artisans to produce high-quality fabrics
- Start an e-commerce store – Sell traditional Odisha textiles through online marketplaces to reach a wider audience
- Collaborate with designers – Partner with fashion designers to create contemporary designs using traditional fabrics
- Export Odisha handlooms – Tap into international markets where handcrafted textiles are in high demand
- Promote sustainable fabrics – Market handwoven, organic, and eco-friendly textiles to attract conscious consumers
2. Eco-tourism
With its rich biodiversity, scenic landscapes, and tribal heritage, Odisha has immense potential for eco-tourism. Entrepreneurs can establish eco-friendly resorts, wildlife safaris, and adventure tourism businesses to attract domestic and international tourists. Eco-tourism not only boosts the economy but also promotes environmental conservation and local employment.- Start an eco-resort – Set up eco-friendly accommodations using sustainable materials near forests and beaches
- Offer guided nature tours – Organise bird-watching, trekking, and eco-walks in Odisha’s national parks
- Promote homestays in rural areas – Partner with local communities to provide authentic village experiences
- Develop adventure tourism packages – Provide activities like kayaking, rock climbing, and jungle safaris
- Collaborate with government schemes – Access tourism-related funding and support for sustainable initiatives
3. Tribal craft emporium
Odisha’s tribal communities produce unique handicrafts, including Dhokra metalwork, terracotta pottery, and palm-leaf paintings. Entrepreneurs can establish craft emporiums to showcase and sell these handmade products, supporting local artisans while catering to growing demand for ethnic and handcrafted items.- Open a tribal craft store – Sell authentic Odisha handicrafts in urban markets and tourist areas
- Develop online platforms – Create e-commerce websites to reach global buyers
- Organise craft workshops – Conduct training sessions to promote tribal art forms
- Export tribal crafts – Expand market reach by exporting handicrafts to international retailers
- Collaborate with NGOs – Partner with organisations that support artisan communities and ethical sourcing
4. Coconut processing
Odisha’s coastal regions provide an abundance of coconuts, making coconut processing a profitable business. Entrepreneurs can manufacture coconut oil, desiccated coconut, coconut-based sweets, and coir products. With increasing demand for organic and health-conscious products, coconut-based businesses offer high growth potential.- Start a coconut oil extraction unit – Process coconuts into virgin and edible coconut oil
- Produce coconut-based sweets – Make ladoos, barfis, and biscuits for local and export markets
- Manufacture coir products – Develop eco-friendly mats, ropes, and brushes from coconut husk
- Supply desiccated coconut – Sell shredded coconut to bakeries and confectionery manufacturers
- Export coconut products – Tap into international demand for organic coconut items
5. Herbal and Ayurvedic products
With Odisha’s vast biodiversity, the herbal and Ayurvedic sector is a promising business opportunity. Entrepreneurs can manufacture herbal skincare, wellness supplements, and medicinal oils using locally sourced ingredients. Rising consumer preference for natural and organic products enhances the demand for Ayurvedic businesses.- Set up an Ayurvedic wellness brand – Develop skincare, haircare, and immunity-boosting products
- Open an herbal medicine store – Sell Ayurvedic formulations for common ailments
- Start an organic farming venture – Cultivate medicinal plants like tulsi, ashwagandha, and aloe vera
- Offer herbal therapy services – Provide spa treatments using natural oils and herbs
- Export Ayurvedic products – Cater to the growing international demand for Indian herbal remedies
6. Education and skill development
Odisha’s youth population presents a great opportunity for businesses in education and skill development. Entrepreneurs can establish coaching centres, vocational training institutes, and online learning platforms to provide job-oriented skills and competitive exam preparation.- Start a coaching institute – Offer classes for IIT-JEE, NEET, banking, and government exams
- Launch a skill development centre – Provide training in IT, hospitality, and vocational trades
- Develop e-learning platforms – Offer online courses in regional languages for accessibility
- Collaborate with government schemes – Participate in initiatives like PMKVY (Pradhan Mantri Kaushal Vikas Yojana)
- Offer corporate training programs – Provide skill-enhancement courses for working professionals
7. Water sports and adventure tourism
Odisha’s long coastline and water bodies create opportunities for water sports businesses. Activities like jet skiing, scuba diving, and boating attract adventure enthusiasts, boosting local tourism. Entrepreneurs can invest in adventure tourism to create a unique travel experience.- Set up a water sports centre – Offer jet skiing, parasailing, and surfing experiences
- Organise scuba diving tours – Provide guided diving trips along Odisha’s coastline
- Launch a kayaking and boating service – Develop scenic water-based activities in Chilika Lake and Mahanadi River
- Partner with tour agencies – Collaborate with travel firms to promote adventure tourism packages
- Secure government approvals – Ensure safety regulations and tourism licences for legal operations
8. Smart farming solutions
Odisha’s agricultural sector is gradually embracing modern technology, creating opportunities for smart farming businesses. With increasing demand for precision farming, organic produce, and technology-driven agriculture, entrepreneurs can invest in agri-tech solutions to enhance productivity and sustainability.- Develop hydroponic and vertical farming units – Grow crops using soil-less techniques to maximise yield
- Provide farm automation services – Offer drone technology and IoT-based solutions for precision farming
- Start an organic farming business – Cultivate pesticide-free fruits, vegetables, and spices for local and export markets
- Manufacture bio-fertilisers and pesticides – Produce eco-friendly agricultural inputs to promote sustainable farming
- Offer agribusiness consultancy – Educate farmers on modern techniques and profitable farming models
9. Cultural experiences for tourists
Odisha’s rich cultural heritage makes it an ideal destination for immersive tourism experiences. Entrepreneurs can capitalise on this by offering curated cultural tours, traditional performances, and hands-on workshops that showcase the state’s history, art, and cuisine.- Organise heritage walks – Conduct guided tours in ancient temples and historic sites
- Host traditional dance and music events – Promote Odisha’s folk and classical performances
- Create interactive craft workshops – Allow tourists to experience handloom weaving and pottery-making
- Offer authentic Odia cuisine experiences – Start cooking classes showcasing local flavours
- Develop storytelling tourism – Share myths, legends, and cultural insights through guided experiences
10. Eco-friendly packaging solutions
With the growing focus on sustainability, eco-friendly packaging solutions have high demand. Entrepreneurs can produce biodegradable and reusable packaging products to replace plastic, catering to industries like food, e-commerce, and retail.- Manufacture biodegradable food containers – Develop alternatives to plastic packaging for restaurants and vendors
- Produce paper and bamboo packaging – Create eco-friendly cartons, wraps, and pouches
- Start a jute packaging business – Supply jute bags and wraps for sustainable packaging
- Offer corporate eco-packaging solutions – Provide businesses with custom-designed biodegradable packaging
- Partner with food delivery services – Supply sustainable packaging to restaurants and cloud kitchens
11. Home-based catering services
Odisha’s diverse cuisine offers great opportunities for home-based catering businesses. Entrepreneurs can provide traditional Odia meals, snacks, and sweets for small gatherings, corporate events, and online food delivery services.- Offer traditional Odia thalis – Serve authentic local cuisine to residents and tourists
- Provide tiffin services – Cater healthy, home-cooked meals for office-goers and students
- Specialise in festival and wedding catering – Offer customised menus for special occasions
- Create a cloud kitchen business – Deliver food through online platforms like Zomato and Swiggy
- Start an organic and diet catering service – Cater to health-conscious customers with nutritious meal options
12. Jute-based eco-friendly products
Odisha is a major producer of jute, making jute-based businesses a profitable and sustainable venture. Entrepreneurs can manufacture eco-friendly jute bags, home decor, and office supplies to meet the increasing demand for biodegradable products.- Produce jute shopping bags – Offer reusable alternatives to plastic carry bags
- Develop jute home decor items – Create carpets, curtains, and cushion covers
- Manufacture office and stationery products – Supply jute-based folders, pen holders, and gift items
- Export jute handicrafts – Tap into international markets for handmade eco-products
- Collaborate with retail brands – Supply sustainable packaging and merchandise to businesses
13. Community-based enterprises
Community-based businesses create employment opportunities and support local economic development. Entrepreneurs can work with rural communities to set up cooperative ventures in farming, handicrafts, and social services.- Start a cooperative farming business – Help farmers collectively grow and sell produce
- Establish women-led self-help groups – Enable women entrepreneurs to create handmade products
- Develop rural tourism initiatives – Offer homestays and cultural experiences in villages
- Set up community-driven handicraft centres – Support artisans in selling their products
- Promote micro-financing solutions – Provide small-scale financial support for rural entrepreneurs
14. Food delivery
Odisha is a major producer of high-quality cashew nuts, creating opportunities for processing and export businesses. Additionally, food delivery services in urban areas are in high demand, making both ventures profitable.- Start a cashew processing unit – Clean, roast, and package cashew nuts for retail and export
- Export cashew nuts to global markets – Supply to international retailers and wholesalers
- Launch a local food delivery service – Cater to growing demand for convenient meal options
- Offer dry fruit gift packs – Create premium cashew-based gift assortments
- Partner with supermarkets and online platforms – Sell processed cashew nuts through major retail chains and e-commerce websites
15. Exporting cashew nuts
Odisha is one of India's leading cashew-producing states, making cashew nut export a profitable business opportunity. With increasing global demand for high-quality, processed cashew nuts, entrepreneurs can capitalise on this sector by setting up processing units and connecting with international markets. Cashew nuts are widely used in confectionery, bakery, and snack industries, ensuring consistent demand throughout the year. By focusing on value addition, such as roasted, flavoured, or organic cashew nuts, exporters can cater to niche markets. Additionally, government support through export incentives and financial assistance makes this venture even more viable.- Set up a cashew processing unit – Invest in shelling, drying, grading, and packaging facilities to ensure high-quality export products
- Obtain necessary export licences – Register with APEDA (Agricultural and Processed Food Products Export Development Authority) and comply with international food safety standards
- Identify target export markets – Research demand in countries like the USA, UAE, and European nations where Indian cashew nuts are highly sought after
- Establish distribution partnerships – Collaborate with global wholesalers, retailers, and online marketplaces to expand market reach
- Ensure quality control and branding – Focus on superior packaging, organic certification, and branding to differentiate products in the competitive export market
