7 Homemakers Who Never Dreamed About Success, Just Worked For It, Build 1,600 Crore Empire From Rs 80, Employee Strength 42,000 Now

Find out more about the prime example of a phenomenal success story of a business started by homemakers.

New Delhi: India and other countries around the world are familiar with the moniker Lijjat Papad. It is a shining example of a modest beginning that developed into a remarkable success tale. Lijjat Papad, a cooperative that was founded in 1959 by seven women with a meagre investment of 80 rupees, has expanded into a multi-million dollar organisation that has empowered thousands of women and become one of India's most recognisable and reputable businesses.

Early Days

Lijjat was created by seven Gujarati women from Bombay (now Mumbai), who wanted to create a business using their sole talent for cooking to support themselves. This took place in the 1950s.

The women received an 80 rupee loan from the social worker and Servants of India Society member Chhaganlal Karamsi Parekh. They bought a papad manufacturing company that was in the red and invested in the tools and equipment required to start making papads.

Consequently, a well-known company formed and run by women for the progress of powerful, passionate women. 

Scaling

Lijjat Papad created a cooperative organisation and initially permitted younger girls to join; eventually, the admission age was raised to eighteen. Within three months, some 25 women were working in the papad industry.

They purchased the company's necessities, including cutlery, cabinets, and ovens. In its first year, the company generated sales of Rs 6,196, and any papads that were damaged were shared with the neighbours in the area.

Through word-of-mouth and stories in local media, the club received tremendous visibility that helped it obtain more members. Around 100 to 150 women had joined by the end of the second year, and by the end of the third year, the membership had surpassed 300.

'Lijjat Papad'

The business made the decision to brand its products Lijjat in 1962, which is Gujarati meaning "tasty." The organisation was known by its formal name, Shri Mahila Griha Udyog Lijjat Papad. By 1962-1963, papad sales had reached Rs 182,000 annually.

In 2002, Lijjat generated $300 billion in revenue and exported Rs 10 billion. It employed 42,000 people in 62 divisions all around the country.