Paper Cup Making Business plan

Paper cups are disposable products used for serving beverages like tea, coffee, soft drinks, etc. worldwide. Paper cup demand is growing as people are constantly looking for ways to avoid the use of harmful plastic materials.

Opening a paper cup manufacturing business isn’t only a great opportunity to make income but also an environment-friendly initiative. Papers cups are used to serve tea, soft drinks, and other beverages in tea stalls, restaurants, hotels, weddings, parties, picnics, etc.


There is a varied list of benefits you will be enjoying while running a paper cup-making business.

  • Paper materials enjoy a growing market acceptance
  • Project investment required is affordable
  • Financial support accessibility is easy
  • Governments also lend support due to its environment-friendly nature
  • No special academic qualification demanded
  • Labour, and infrastructure requirements are low
  • Reasonable returns on your investment
  • Involvement of low overheads

Manufacturing process

Paper cup manufacturing is generally a three-phase process. The first phase involves making sidewall paper. It is followed by the second phase – production of bottom paper and joining together the bottom and sidewalls. The third phase involves preheating, and curling of the bottom/rim to ensure the formation of ready-to-use paper cups.

The raw material required for paper cups includes PE paper, bottom reel, and packing materials.

Land Requirements

The minimum land that is required to set up your paper cup plant spans 500 square meters which equals 1 Kanal area.

Building Requirements

Building DetailsArea in Sq ft
Shed/Processing Area20 x30 Sq ft
Raw Material Area20×15 Sq ft
Finished Goods Store20×20 Sq ft
Office Space Area10×10 Sq ft
Care Taker Room10×15 Sq ft
Bathroom8×6 Sq ft

Machinery & Equipment

The required sets of machinery and equipment for making paper cups are mentioned as follows:

  • Automatic paper cups machine
  • Molds and Dies
  • Office equipment – computers, printers, etc.

Investment structure

Land DevelopmentOwned/Leased
Plant & Machinery /Equipments8.00 Lakhs
Miscellaneous Assets0.50 Lakhs
Working Capital /
Operational Cost (Per cycle)
5.50 Lakhs
Total investment14.00 Lakhs

Hire required labor

Labor that you require to employ in your paper cup business is fortunately very less. You need just two-four persons to perform the production process.

Tip: Hire the best people who can ensure efficiency as well as higher production. However, pay them salaries on time and boost their morale and provide them incentives with time.

Spread awareness

Plan some budget for placing and running an ad in the local newspaper or cable network for at least a month to spread awareness about your business.

Ashly William

This piece of expertise is brought to you by Ashly William who is a freelance writer and a trainer on business services and marketing. Her work has been acknowledged by many national and international publications.