The food sector, in particular, is showing notable expansion.
The food sector, in particular, is showing notable expansion.(Representative image | EPS)

Start-up ventures in food business drive growth of MSMEs in Tiruchy

Service-sector enterprises are leading the growth, accounting for more than half of all new registrations this financial year.
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TIRUCHY: The district's Micro, Small, and Medium Enterprises (MSMEs) sector is witnessing a steady surge, driven by food-based manufacturing and startup-led ventures.

According to the District Industries Centre (DIC), UDYAM registrations have crossed 24,700 units between April and December 2025, continuing the upward trend observed over the past three years. Service-sector enterprises are leading the growth, accounting for more than half of all new registrations this financial year.

The food sector, in particular, is showing notable expansion. Home bakeries and small restaurants are flourishing, offering millet-based cakes, ready-to-eat snacks, and nutritious meals. "People are increasingly looking for healthy and convenient options.

Our millet sevai and malt mixes have been in high demand," said N Malathi, a food-processing entrepreneur in Tiruchy. The district's agricultural strengths, including millet, rice varieties and malt, are increasingly being transformed into packaged and branded foods. G Satish Kumar, secretary of the Tiruchy Export-Import Federation, said, "Entrepreneurs are moving beyond raw produce into processed products.

As of now they have flooded the local market, having the potential to export." Beauty and personal care services are also expanding rapidly. Salons, tattoo studios and wellness centres are gaining popularity, especially among start-up entrepreneurs.

"We see more customers coming for grooming and wellness every month. Demand has definitely increased, and the number of salons has increased from around 20 to 40 in Thillai Nagar in the last five years ," said R Venkatesh, owner of a local salon.

Start-up-led services are also contributing to the district's entrepreneurial ecosystem. MT Krishna Kumar, who runs an organic vegetable delivery service, said, "The demand for home delivery of fresh and organic produce is rising steadily." Digital marketing entrepreneur R Sajnish added,

"More local businesses are seeking online solutions to reach customers. There's a surge in requests for digital marketing services, showing how start-ups can fill emerging needs." Manufacturing units, particularly in food processing, continue to grow, though at a smaller scale than services.

"Tiruchy has the raw material base to create value-added products. Our upcoming Food Processors' Enclave on Friday will allow local entrepreneurs to showcase offerings and explore new markets," said a senior DIC official.

He cautioned, "MSME registration alone does not always reflect real growth. Many units register because compliance is easy, but several close within a year. The challenge is to help them perform and scale in a sustainable manner."

UDYAM-Registered MSME Units in Tiruchy Financial Year Manufacturing Services Trading Total 2023-24 5,200 14,312 8,200 27,714 2024-25 5,300 14,836 8,300 28,436 2025-26 (Apr-Dec) 5,100 13,162 6,461 24,723

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