One-fourth of the population of Palampur is engaged in non-farming activities like shop-keeping, dairy, manufacturing and transport.
Shop-keepers buy goods from wholesalers in Shahpur and sell them in Palampur. Milk from the dairies in Palampur is transported daily to Raiganj. Some traders from Shahpur have set up collection centres and chilling plants at Raiganj, from where milk is supplied to other towns and cities.
In villages manufacturing happens at a much smaller scale using simple and often traditional methods. All members of the family contribute to the manufacturing activity and outside labour is rarely hired. Palampur is connected by an all-weather road to Raiganj and Shahpur. A number of people in Palampur are engaged in transporting goods and people along this route, using a variety of vehicles like cycle rickshaws, tongas, bullock carts, jeeps, tractors and trucks.
Kareem opened a computer class in his house using hired labour. Mishrilal buys sugarcane from other farmers in Palampur and makes jaggery that he sells to traders in Shahpur at a small profit. Kishora took a small bank loan to buy a buffalo, and became a milkman and a transporter from a landless labourer.