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With sandalwood and mahogany emerging as the “green gold” of agriculture, farmers and investors are discovering how a modest ₹200 sapling can grow into a six-figure windfall
Mahogany wood is highly valued for its use in furniture, instruments, and shipbuilding, and also offers numerous medicinal benefits. (Local18)
In India, agriculture has long been viewed as a means of sustenance. But today, a silent revolution is taking root, literally. Tree farming, once considered a niche activity, is fast becoming a lucrative wealth generator for farmers, landowners, and even first-time investors. The buzz around this trend is fueled by the promise that a ₹200 sapling can yield returns worth ₹1 lakh or more over time.
The Rise of “Green Gold”
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At the heart of this goldmine are trees like Sandalwood (Chandan) and Mahogany, often called “green gold” and the “king of timber.” A sandalwood sapling costs around ₹200–₹300, and though it takes patience—12 to 15 years to mature—it can fetch anywhere between ₹8–₹10 lakh per tree at harvest. Similarly, mahogany, prized for its rich timber, is increasingly being cultivated across India, offering an earning potential of ₹1 crore or more per acre over its growth cycle.
Why Tree Farming Makes Sense Now
Unlike seasonal crops, tree farming offers low maintenance, high demand, and long-term security. With changing climate conditions and increasing land pressure, many farmers are shifting from water-intensive crops to trees that not only bring better economic returns but also contribute to sustainability.
Steady Demand: Sandalwood oil is used in perfumes, Ayurveda, and cosmetics; mahogany timber powers global furniture and interiors markets.
Policy Support: Several states have eased restrictions on sandalwood cultivation, allowing farmers to grow and sell the wood legally.
Eco-Friendly: Beyond income, tree plantations help restore soil fertility, prevent erosion, and reduce carbon footprints.
The Business Math
Here’s how the economics work:
Investment per plant: ₹200
Maturity period: 12–15 years
Average yield: 300–400 trees per acre (depending on spacing)
Returns: ₹1 crore+ per acre over time
In essence, tree farming functions as a long-term fixed deposit with far greater returns—an asset that grows in value while requiring little day-to-day intervention once established.
Future of Wealth in Farming
Experts believe tree farming could redefine rural prosperity. As awareness grows, farmer cooperatives and agro-startups are stepping in to guide cultivators on plantation techniques, market linkages, and export opportunities.
For urban investors with unused land, this model also offers a chance to combine wealth creation with environmental impact making it an attractive proposition for a new generation that seeks both profit and purpose.
The Bottom Line
Tree farming isn’t about overnight riches. It’s about patience, vision, and sustainability. Planting a ₹200 sandalwood or mahogany sapling today could mean securing a financial windfall tomorrow while also greening the planet. As India looks toward eco-conscious growth, this could well be the farming goldmine of the future.
About the Author
Swati Chaturvedi, a seasoned media and journalism aficionado with over 10 years of expertise, is not just a storyteller; she’s a weaver of wit and wisdom in the digital landscape. As a key figure in News18 Engl…Read More
Swati Chaturvedi, a seasoned media and journalism aficionado with over 10 years of expertise, is not just a storyteller; she’s a weaver of wit and wisdom in the digital landscape. As a key figure in News18 Engl… Read More
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