They started with banana waste. Now, 3 MBA friends from Bihar run Rs 2.5 crore business

Three MBA graduates from Bihar turned discarded banana stems into an opportunity worth crores. With an initial investment of Rs 20 lakh, their startup, Taruwar Agro, has grown into a Rs 2.5-crore business by converting agricultural waste into sustainable products while creating jobs for local communities.They started with banana waste. Now, 3 MBA friends from Bihar run Rs 2.5 crore business (Photo: Instagram/Harsh Pratap Singh; AI-generated)New Delhi,Nov 10, 2026 08:35 ISTBanana stems that farmers once discarded are now helping three friends build a multimillion-rupee business in Bihar. Jagat Kalyan, Satyam Kumar and Nitish Kumar Verma spotted an opportunity in the agricultural waste left behind after banana harvesting. In 2021, they launched Taruwar Agro, turning discarded banana stems into natural fibre products such as yoga mats, baskets, prayer mats and file folders.What began with an investment of around Rs 20 lakh has grown into a business that recorded approximately Rs 2.5 crore in revenue in FY26, as reported by YourStory. The company is also finding ways to use other parts of the banana plant to make vermicompost and plant nutrition products.WHY DID THREE MBA FRIENDS CHOOSE ENTREPRENEURSHIP?The founders met while pursuing their management education at Taxila Business School, where they completed their PGDM with SAP specialisations.Their professional journeys had already taken them into different sectors. Jagat Kalyan, who hails from Khagaria, Bihar, studied engineering in Bengaluru before pursuing management studies. He received job opportunities from organisations in Tanzania and Dubai, as well as IDFC First Bank. He later gained experience in sales, marketing and business operations. Satyam Kumar, who belongs to Darbhanga district, studied Economics before pursuing his MBA. He also gained experience in the sustainability sector through his association with EcoHoy before co-founding Taruwar Agro.Nitish Kumar Verma, from Bihar Sharif, completed his BCom (Honours) from Nalanda and worked with organisations such as S&P and Infosys. Despite having corporate career opportunities, the three friends decided to explore entrepreneurship in their home state. The COVID-19 pandemic became a turning point, prompting them to consider building something of their own rather than pursuing conventional corporate careers.Jagat Kalyan, CEO of the venture, said the three founders chose entrepreneurship over lucrative job opportunities, including overseas opportunities, during the Covid-19 pandemic. They wanted to build something of their own and put Bihar on the national and global map.Their search for a business opportunity eventually led them to banana cultivation, where they identified an underutilised resource that could become the foundation of a new enterprise.HOW DID BANANA WASTE TURN INTO MARKETABLE PRODUCTS?The founders noticed that banana farmers often discard thick stems after harvesting the fruit, unaware that they contain natural fibres with commercial potential.With guidance from Dr Sunita Kushwaha, then Head and Senior Scientist at Krishi Vigyan Kendra (KVK), Vaishali, and her team, they began exploring ways to extract and process banana fibre.Taruwar Agro developed a system to collect discarded banana plants from farmers and extract fibre using specialised machinery. After cleaning, processing and drying, the fibre is converted into products such as file folders, yoga mats, baskets and prayer mats. The company is also exploring its use in vegan leather and blended textiles.Its approach extends beyond fibre extraction. The leftover pulp is used to make vermicompost, while other plant components are explored for agricultural applications. The company also manufactures plant nutrition liquid.By utilising different parts of the banana plant, Taruwar Agro aims to reduce agricultural waste while creating additional income opportunities for farmers.FROM RS 20 LAKH TO RS 2.5 CRORE: WHAT'S NEXT?Building the business came with several challenges. The founders initially invested around Rs 15 lakh, along with Rs 5 lakh as working capital, using personal savings and family support. The company has not raised external funding.Developing the fibre extraction process, transporting bulky banana stems and finding skilled workers were among the early hurdles. To address the workforce shortage, the company trained local people, with women now making up nearly 60 per cent of its workforce.Taruwar Agro follows both B2B and B2C models, supplying fibre to businesses and selling finished products through its platform and marketplaces such as Amazon, Flipkart and Meesho.The company has also diversified into makhana, offering raw and roasted varieties in more than 10 flavours. Its next areas of exploration include banana flour, starch, vegan leather and sustainable textiles. It has also sent product samples to France and the Philippines to explore international markets.A BUSINESS BUILT ON SEEING VALUE IN WASTEFrom discarded banana stems to products used in everyday life, Taruwar Agro's journey highlights how agricultural waste can become a commercial resource when combined with innovation and value addition.For the three founders, the venture is also an attempt to demonstrate that entrepreneurship need not be limited to established business hubs. By connecting farmers, local workers and emerging markets, they are building a business that aims to create economic opportunities within Bihar while giving agricultural waste a second life.- Ends