Agarwood farming in India is becoming one of the most lucrative plantation businesses due to high global demand for Oud wood and Oud oil. In this guide you’ll discover:
The initial cost for establishing an agarwood plantation depends on several factors such as land preparation, planting material, labor, irrigation, and resin induction methods. Typical costs in India are:
Total initial investment (Year 1): ~₹1,55,000 – ₹2,70,000 per acre.
Agarwood trees take time to develop resin naturally. Large scale plantation timelines are typically:
Because of this slow maturation period, agarwood farming is considered a **long-term investment**, similar to timber or other high-value plantation crops.
Estimated revenue from agarwood farming varies based on resin quality, induction method, and market conditions. A mature acre of agarwood plantation can generate:
**Profit per acre** after harvesting long-term (~8–12 years) can be between: ₹4,00,000 to ₹20,00,000+ depending on resin yield and market demand.
Using authenticated agarwood saplings and disease-free plants improves survival and resin formation.
Optimal tropical/subtropical climate and well-drained soil greatly increase tree vigor and resin quality.
Scientific resin induction methods (fungal inoculation, chemical stimulants) help improve resin content, boosting commercial value.
Global demand in perfume, wellness, and export markets like Middle East & Far East influences prices dramatically.
We supply premium agarwood plants and provide expert guidance for plantation setup.
