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How to start Aloe Vera farming business and Earn 8 Lakh Per Acre

Aloe vera is a semi succulent plant and it can be cultivated in drought areas as well because it Peniel tropical plant. Aloe vera became popular plant in the world due to its medical values. Each part of this plant has different medical implication.

Africa, China, USA, Australia, Mexico, Coastal Areas Of South India are the major producer of Aloe Vera In this World. The Plant is being used extensively in Cosmetic Industries, Processing Plants and Consumer Product segment. Hence, there is really more reasons to staring an Aloe Vera farm.

This article will guide you through the essential steps to start your own Aloe Vera farming business, from selecting the right location to marketing and selling Aloe Vera products.

How to start Aloe Vera farming business step by step

Aloe Vera, scientifically known as Aloe barbadensis, is a succulent plant that belongs to the Liliaceae family. It thrives in warm and arid climates, making it suitable for cultivation in regions with dry weather conditions. The gel extracted from its leaves contains a rich blend of vitamins, minerals, enzymes, and amino acids, offering various health benefits such as skin rejuvenation, wound healing, and digestion improvement. Due to its medicinal and cosmetic properties, Aloe Vera has a high demand in both domestic and international markets.

# Step 1: Learn the Basics of Aloe Vera farming First

Aloe Vera farming involves the cultivation of Aloe Vera plants for commercial purposes. It requires careful planning, knowledge of proper farming techniques, and market understanding. Aloe Vera plants can be propagated through offshoots, seeds, or tissue culture, and they typically take around two to three years to reach maturity. Once matured, the leaves can be harvested for extracting the gel or used for value-added products like Aloe Vera juice, gel-based cosmetics, and nutritional supplements.

Varieties of Aloe vera In India

The Hybrid varieties of Aloe Vera plant Like Aloe barbadensis perfoliata, IC-111269, IC-111271, IC-111280 and AL-1 cultivation is possible throughout the country.

Aloe Vera farming techniques

Aloe Vera farming can be carried out using traditional or modern techniques, depending on the resources available and the desired outcome.

  1. Traditional farming methods:- Traditional Aloe Vera farming involves manual labor and conventional farming practices. This method may be suitable for small-scale farmers or those with limited access to advanced equipment and technology. It relies on natural rainfall and minimal use of fertilizers and pesticides.
  2. Organic and sustainable practices:- With the increasing demand for organic products, many farmers are adopting organic and sustainable practices in Aloe Vera farming. This approach involves using organic fertilizers, avoiding synthetic pesticides, and promoting biodiversity. Organic Aloe Vera farming ensures the production of high-quality, chemical-free products.

Benefits of Aloe Vera farming

Aloe Vera, with its numerous health benefits and versatile applications, has gained significant popularity in recent years. Its gel-like substance is widely used in various industries, including cosmetics, pharmaceuticals, and food and beverages. If you have an interest in agriculture and are looking for a profitable venture, starting an Aloe Vera farming business can be a rewarding option.

Starting an Aloe Vera farming business offers numerous advantages. Firstly, Aloe Vera plants are hardy and can tolerate drought-like conditions, reducing the risk of crop failure. Additionally, Aloe Vera farming requires relatively low investment compared to other agricultural ventures. The demand for Aloe Vera-based products has been consistently increasing, providing a lucrative market opportunity. Moreover, Aloe Vera farming promotes sustainable agriculture practices, as the plant requires minimal water and pesticides.

Potential challenges and how to overcome them

Starting an Aloe Vera farming business may come with some challenges. Here are a few common obstacles and ways to overcome them:

  • Climate and environmental factors: Aloe Vera plants require specific climatic conditions. Conduct thorough research and consult local agricultural experts to ensure your chosen location is suitable for Aloe Vera farming. Implement appropriate irrigation and water management techniques to overcome water scarcity.
  • Pest and disease management: Monitor the plants regularly and promptly address any signs of pests or diseases. Practice integrated pest management techniques, such as biological control and cultural practices, to minimize chemical usage.
  • Market competition: Aloe Vera farming has gained popularity, leading to increased market competition. Differentiate your products by emphasizing their quality, organic nature, and unique selling points. Build strong relationships with potential buyers and explore niche markets.

Aloe Vera Farming Training Center & Important Resources

if you’re starting the Aloe Vera farming business, you must have knowledge of this business. so here is the best book List that you can purchase by clicking the link.

# Step 2: Market Research and Analysis of Aloe Vera Farming

The global Aloe Vera market, with a valuation of $602.1 million in 2020-2021, is projected to reach $1.13 billion by 2028, exhibiting a compound annual growth rate (CAGR) of 8.0% from 2021 to 2028.

Aloe Vera is extensively produced in several countries, including India, Mexico, the Dominican Republic, China, and South Africa. Notably, India holds the position of the largest producer and exporter of Aloe Vera, contributing to 60% of the world’s production.

When it comes to consumption, the United States, Germany, and Japan emerge as the major importers of Aloe Vera products. The demand for Aloe Vera products is witnessing a significant upswing due to their manifold health benefits and wide-ranging applications in the cosmetic and pharmaceutical industries.

Aloe Vera is utilized in the production of diverse products such as gels, powders, juices, and extracts, catering to the diverse needs of consumers.

Furthermore, the growing preference for natural and organic products is anticipated to fuel the demand for Aloe Vera products, as consumers increasingly seek out sustainable and healthier alternatives. This trend is expected to contribute to the continued growth of the Aloe Vera market in the foreseeable future.

# Step 3 : Prepare Aloe Vera Farming Business Plan

Start an Aloe Vera farming business with minimal investment. Just one acre can accommodate 60,000 plants at a cost of $2,500-$3,000 per acre. Expect a yield of 210,000 kg of Aloe Vera leaves per acre per year. The market demand for Aloe Vera products like juice, gel, and powder is high both domestically and internationally.

Supercharge your profits by establishing strategic partnerships with esteemed local health stores, bustling markets, and thriving e-commerce platforms. Experience substantial returns, averaging $10,000-$14,500 per acre per year, as you command a competitive selling price of $2.5-$3 per kg of premium Aloe Vera leaves. Take charge of your expenses with cost-saving measures such as implementing organic farming techniques, employing natural pest control methods, and embracing water recycling.

However, it is important to acknowledge the potential risks associated with pest and disease management, market price fluctuations, and adverse weather conditions in Aloe Vera farming. Fortunately, various government schemes exist to offer financial assistance, including loans and subsidies specifically designed for Aloe Vera farmers. To ensure sustainable growth, it is imperative to maintain a continuous investment in research and development aimed at improving the quality and yield of Aloe Vera plants and products, as well as expanding into new markets.

# Step 4: Aloe Vera Farming Licensee & Certificates

When starting an Aloe Vera business, selecting the most suitable legal entity is crucial. Among the various options available, it is advisable to establish a private limited company due to its distinct advantages in terms of liability protection, scalability, and long-term sustainability. By forming a private limited company, the business can operate as a separate legal entity, ensuring that the personal assets of the owners are safeguarded in case of any financial liabilities or legal issues.

Furthermore, to engage in the trading of Aloe Vera products, obtaining the necessary registrations is essential. The two primary registrations required are FSSAI (Food Safety and Standards Authority of India) registration and GST (Goods and Services Tax) registration. FSSAI registration ensures compliance with food safety standards and regulations, which is particularly important when dealing with edible or consumable Aloe Vera products. On the other hand, GST registration is necessary to comply with the tax regulations and enables the business to collect and remit appropriate taxes on the goods or services provided.

If you would like to delve deeper into the details and differences between FSSAI licenses and registrations, you can find more information on the subject by referring to relevant resources or official websites.

# Step 5: How to get Funds for Aloe Vera farming Business

Aloevera Juice making plants small business and comes under ” Micro Small and medium scale Enterprises ( MSME ) “. The Indian government provides loans up to 90% for Aloe Vera Business, which is interest free for three years. The Khadi Gramodyog also provides 25% subsidy on that loan amount.

Also Read:- Starting a Poultry Farming Business – Step by Step Guide

# Step 6: Aloe Vera Farming Farm Setup

  1. Selecting the right location:- Aloe Vera plants require a warm and dry climate, ideally with temperatures ranging between 20 to 30 degrees Celsius. They can be grown in various regions, but it is crucial to consider factors such as soil type, water availability, and market proximity. Consult with local agricultural experts or horticulture departments to determine the suitability of your chosen location. To Grow Aloe Vera is not that difficult. It is less sensitive to climate and less hard on maintaining at their best condition. Basically Aloe Vera is warm tropical crop and can grow in various climate condition. low rainfall regions and dry areas with warm and humid conditions are suitable for this plant. This plant cannot tolerate frost and cool climate condition.
  2. Preparing the soil:- Aloe Vera can be cultivated from wide variety of soils form sandy to loamy soils. It thrives best in light soils but sensitive to water stagnation, so make sure to select the well drained soils for its cultivation. The plant can tolerate soil PH up to 8.5 and also the soil with salty in nature. To learn about plantation method click Here to read Agriculture guide. Aloe Vera plants thrive in well-drained sandy or loamy soils with a pH level between 7 and 8.5. Conduct a soil test to assess its fertility and nutrient content. If required, add organic matter or soil amendments to improve soil quality and drainage. Ensure proper soil preparation before planting.
  3. Choosing the right Aloe Vera variety:- There are different varieties of Aloe Vera, each with its unique characteristics and growth habits. Select a variety that is well-suited to your climate and market demand. Some popular Aloe Vera varieties include Aloe barbadensis Miller, Aloe ferox, and Aloe arborescens.
  4. Sourcing quality planting material:- Obtain high-quality Aloe Vera offshoots or tissue-cultured plants from reputable nurseries or certified suppliers. Healthy and disease-free planting material is crucial for establishing a successful Aloe Vera farm.
  5. Planting and caring for Aloe Vera plants:- Prepare the planting beds or containers by creating furrows or holes for the plants. Space the plants adequately to allow air circulation and sunlight penetration. Water the plants initially and establish a regular irrigation schedule. Apply organic fertilizers or compost to enhance plant growth and health. Monitor and control weeds to prevent competition for nutrients.
  6. Irrigation and water management:- Aloe Vera plants are drought-tolerant but require periodic watering, especially during the initial growth stages. Implement an efficient irrigation system such as drip irrigation to minimize water wastage. Monitor soil moisture levels and adjust irrigation frequency accordingly. Avoid overwatering, as excessive moisture can lead to root rot and other diseases.
  7. Pest and disease control:- Although Aloe Vera plants are relatively resistant to pests and diseases, they may still be susceptible to certain insects, fungi, or bacteria. Regularly inspect the plants for any signs of infestation or disease. Utilize organic pest control methods whenever possible to minimize chemical usage and maintain the plant’s organic status.
  8. Harvesting and processing:- Aloe Vera leaves can be harvested once they reach maturity, which is typically around two to three years. Use a sharp knife or shears to cut the leaves close to the base. Handle the leaves with care to avoid damaging the gel inside. After harvesting, the leaves can be processed to extract the gel or used directly for various applications.
  9. Aloevera Processing unit:- Another best option is to sell Processed aloevera juice to Herbal Companies and consumer Product manufacturers. The cost for Aloe Vera Processing machine is around 7-8 lakhs rupees. The cost for producing 1 ltr of juice is around 40 Rs/ltr . If you are selling them directly to the market or to any company without using any Brand name, the Market Price price will be 150 rs/ ltr. You can produce 22000- 25000 Rs of Aloevera juice per day and generate Profit around 20 lac rupees. You can increase your earnings by purchasing aloe Vera leaves from local farmers, making more juice in your processing plant and earn around 50 lac to 1 crore per year.

# Step 7: Implement Marketing and Sales Strategies

The Aloevera plants have excellent demand in Pharma and herbal sector companies as well as in international market due to its medical values and aroma. You can make business with Aloe Vera plants in two ways. The first one is to Supply Aloe Vera leaves to market or directly to these companies. The second one is Setup Processing Plants and Sell alovevera Juice.

  1. Sell Aloevera Leaves:- On Average 40- 45 tonnes of thick leaves can be obtained form 1 hectare of Land. The Price per tonne for of Aloevera leaves in wholesale market is 20000- 25000 thousand India rupees. You will earn 8-10 lac rupees by selling them to wholesale market. After third year the Aloe Vera plant can produce thick leaves up to 60 tonnes per hectare and you can earn more from 3rd to 4th year.

# Step 8: Aloe vera farming profit per acre

Aloe Vera cultivation has emerged as a highly lucrative enterprise due to its soaring demand in the market. In India, the production expenses for a single acre of land amount to approximately INR 1.8-2 lakhs ($2,400-$2,700), encompassing various elements such as land preparation, planting material, labor, fertilizers, pesticides, and water. Fascinatingly, with a modest investment, farmers can cultivate as many as 60,000 Aloe Vera plants within a mere acre of land, exhibiting the incredible potential of this endeavor. Notably, each plant can yield around 3.5 kg of leaves, with the average selling price per leaf ranging from INR 15-18 ($0.20-$0.24).

Astoundingly, a farmer can effortlessly garner profits of up to INR 8-10 lakhs ($10,800-$13,500) per acre of land. This signifies that the profits obtained are nearly five times the production costs, rendering Aloe Vera farming an exceptionally alluring and remunerative business venture. Nevertheless, it is essential to recognize that profit margins may fluctuate depending on factors such as market demand, pricing dynamics, and prevailing weather conditions.


Starting an Aloe Vera farming business can be a profitable venture, considering the increasing demand for Aloe Vera-based products in various industries. By following the outlined steps, selecting the right location, implementing proper farming techniques, and adopting effective marketing strategies, you can establish a successful and sustainable Aloe Vera farming business. With careful planning, dedication, and market awareness, you can reap the benefits of this versatile and lucrative crop.

Also Read: Start Goat farming business in India and generate monthly income up to 2 lakh

FAQs (Frequently Asked Questions)

1. Is Aloe Vera farming profitable?

Yes, Aloe Vera farming can be profitable due to the high demand for Aloe Vera-based products in various industries.

2. Can I grow Aloe Vera in my backyard?

Yes, Aloe Vera can be grown in backyards, provided the climate and growing conditions are suitable.

3. How long does it take for Aloe Vera plants to mature?

Aloe Vera plants typically take around two to three years to reach maturity.

4. Are there any specific certifications required for organic Aloe Vera farming?

Depending on your location and target market, specific organic certifications may be required. Consult with relevant certification bodies or agricultural authorities for more information.

5. What are the potential health benefits of Aloe Vera?

Aloe Vera offers various health benefits, including skin rejuvenation, wound healing, digestion improvement, and immune system support.

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6 thoughts on “How to start Aloe Vera farming business and Earn 8 Lakh Per Acre”

  1. 1 Does the govt provide loans even for purchase of land for Aloe Vera farming?
    2. Do companies like Patanjali Himalaya give opportunity to new sellers as they must be already having their own suppliers?
    3. Can someone help ne with a detailed description for this business? I intend to start in Kerala

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