Scindia Launches Rs 800 Mn Agarwood Value Chain Scheme in Tripura

28 Jan 2026 CW Team

Addressing the gathering, the Union Minister said the initiative aligns with the vision of Prime Minister Narendra Modi to build a developed North East by focusing on each state’s unique strengths. He noted that India’s agarwood production is largely concentrated in Tripura and Assam, and the new scheme is designed to unlock the full potential of both states.

Under the scheme, the entire agarwood value chain will be strengthened—from cultivation in farmers’ fields to processing, branding and marketing in global markets. Two Central Processing Centres will be established, one in Golaghat, Assam, and another in Tripura. These centres will enable end-to-end processing and marketing, remove intermediaries and ensure farmers receive full value for their produce.

The Union Minister highlighted several enabling measures to make the sector globally competitive. The process for securing a Geographical Indication tag is underway, export quotas have been significantly enhanced, and agarwood chip exports have been increased from 25,000 kg to 1.5 lakh kg, while agarwood oil exports have risen from 1,500 kg to 7,500 kg. Digital integration of sites and permissions will allow farmers to directly access international markets.

Fulkabari’s agarwood ecosystem was cited as a strong example of the ‘Local to Global’, ‘Vocal for Local’ and One District One Product approach. The Minister noted that nearly 90 per cent of India’s estimated 150 million agarwood trees are located in the North East, and Tripura’s production capacity is expected to rise by up to 50 per cent under the scheme.

Looking ahead, the Union Minister said Tripura’s agarwood sector has the potential to achieve an annual turnover of around Rs 20 billiom within the next three to four years. Buyer–seller meets are being organised to establish direct global linkages, including recent engagements with international buyers from Qatar.

Concluding, he said the scheme reflects sustained efforts by the Centre in partnership with the Manik Saha-led state government, and expressed confidence that Tripura’s agarwood sector will gain global recognition while contributing to Atmanirbhar Bharat.

Union Minister for Development of North Eastern Region and Communications Jyotiraditya M. Scindia recently laid the foundation stone for the Rs 800 million Agarwood Value Chain Development Scheme at North Fulkabari in Tripura, marking a major push to strengthen one of the region’s most distinctive agro-based industries. Addressing the gathering, the Union Minister said the initiative aligns with the vision of Prime Minister Narendra Modi to build a developed North East by focusing on each state’s unique strengths. He noted that India’s agarwood production is largely concentrated in Tripura and Assam, and the new scheme is designed to unlock the full potential of both states. Under the scheme, the entire agarwood value chain will be strengthened—from cultivation in farmers’ fields to processing, branding and marketing in global markets. Two Central Processing Centres will be established, one in Golaghat, Assam, and another in Tripura. These centres will enable end-to-end processing and marketing, remove intermediaries and ensure farmers receive full value for their produce. The Union Minister highlighted several enabling measures to make the sector globally competitive. The process for securing a Geographical Indication tag is underway, export quotas have been significantly enhanced, and agarwood chip exports have been increased from 25,000 kg to 1.5 lakh kg, while agarwood oil exports have risen from 1,500 kg to 7,500 kg. Digital integration of sites and permissions will allow farmers to directly access international markets. Fulkabari’s agarwood ecosystem was cited as a strong example of the ‘Local to Global’, ‘Vocal for Local’ and One District One Product approach. The Minister noted that nearly 90 per cent of India’s estimated 150 million agarwood trees are located in the North East, and Tripura’s production capacity is expected to rise by up to 50 per cent under the scheme. Looking ahead, the Union Minister said Tripura’s agarwood sector has the potential to achieve an annual turnover of around Rs 20 billiom within the next three to four years. Buyer–seller meets are being organised to establish direct global linkages, including recent engagements with international buyers from Qatar. Concluding, he said the scheme reflects sustained efforts by the Centre in partnership with the Manik Saha-led state government, and expressed confidence that Tripura’s agarwood sector will gain global recognition while contributing to Atmanirbhar Bharat.

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