Article · 10 min read
Agarbatti making business in India 2026: licences and GST
CalcGuru · calcguru.in Free Beginner India
A July 2026 guide to agarbatti manufacturing: no product licence, White or Green pollution category, 5% GST on agarbatti against 18% on fragrance inputs, the 25% duty on raw bamboo sticks since 2019, and PMEGP support.
- Home-scale agarbatti units run on Udyam and a trade licence.
- File inverted-duty refunds, since inputs carry more GST than the product.
- Secure raw stick supply first; it is the real constraint.