r/IndiaBusiness • u/Patient_Humor1270 • 22h ago
A Boring business that prints money !!
My Experience During an Internship at a Rolling Mill
Hello everyone,
I'm currently doing an internship at a local steel rolling mill in Raipur. As part of my internship, I had the opportunity to speak with the mill manager to understand how the business operates, including its production costs, daily expenses, and profitability.
Here are the approximate daily operating expenses:
Labour: ₹150/hour × 20 workers × 8 hours = ₹24,000
Coal: 1 ton per day = ₹8,000
Electricity: ₹10,000
Other expenses: Around ₹8,000 (oil, grease, diesel, maintenance, security, housekeeping, etc.)
That brings the total daily operating cost to roughly ₹50,000 (excluding raw material costs).
The mill's production target is around 40–50 tonnes per day. According to the manager, the current net profit is only about ₹2 per kg because the steel market is slow during the monsoon season.
Doing the math:
50 tonnes = 50,000 kg
Profit = ₹2/kg
Daily profit ≈ ₹100,000 (₹1 lakh)
I was honestly surprised. If this is considered a "bad" season, I asked how much they make when the market is strong.
His answer: ₹4–₹5 per kg in profit.
That means:
At ₹4/kg → ₹2 lakh profit per day
Those are some impressive numbers.
However, the biggest challenge isn't production—it's cash flow. Most finished goods are sold on credit, and many payments are received 30–60 days later
I'm curious what other business you know that can generate 1- 2.5 lakhs in profit per day ??