Aloe vera is no longer just a plant in your garden—it’s a money-making crop. This wonder herb is used in cosmetics, health products, and even food items. With rising demand in both domestic and international markets, aloe vera farming has become a smart choice for small and medium farmers in India. If you’re planning to start an agricultural business with low risk and good returns, aloe vera farming could be your ticket.
Let’s understand how to build a practical aloe vera farming business plan from scratch, suitable for 1-acre to multi-acre cultivation.
Why Aloe Vera Farming is a Smart Business in 2025
India’s climate is perfect for aloe vera cultivation. It needs minimal care, grows well in dry and semi-arid zones, and can even survive with little water. This makes it a great crop for states like Rajasthan, Gujarat, Maharashtra, Uttar Pradesh, Tamil Nadu, and Andhra Pradesh.
Here’s why it’s gaining popularity:
- Low input costs
- High market demand
- Long harvesting cycle (up to 5 years)
- Medicinal and cosmetic value
- Good export opportunities
Step-by-Step Aloe Vera Farming Business Plan
1. Land Selection and Preparation
Choose a field with sandy loam soil, rich in organic matter, and good drainage. Avoid waterlogged areas as roots can rot.
- Soil pH: Between 7.0 to 8.5
- Land preparation: Plough the land 2-3 times, then level it
- Add farmyard manure: At least 10-15 tons per acre before plantation
If the field is dry, drip irrigation can be a good option for maintaining moisture.
2. Choosing the Right Aloe Vera Variety
Not all aloe vera types are suitable for commercial farming. In India, Aloe barbadensis Miller is the most preferred species due to its high gel content and medicinal value.
Certified nurseries and Krishi Vigyan Kendras (KVKs) often provide genuine saplings. Avoid buying from unknown local sources.
3. Plantation and Spacing
The best time for planting aloe vera is February to April or July to September, depending on your region.
- Spacing: 60 cm x 45 cm (around 10,000 to 12,000 plants per acre)
- Planting method: Raised beds or ridges are better for drainage
Use a healthy sucker with at least 4-5 leaves for planting.
4. Irrigation Needs
Aloe vera doesn’t need daily watering. For the first month, water once every 7–10 days. After that, water once in 15–20 days.
- During summer: Slightly more frequent watering
- During rainy season: Drain excess water
Drip irrigation helps save water and improves productivity.
5. Fertilizers and Weed Control
Aloe vera is a hardy crop and doesn’t need heavy fertilization.
- Organic manure: Apply cow dung, compost, or vermicompost once every year
- Bio-fertilizers: Azospirillum and phosphobacteria improve root strength
- Weed control: Manual weeding 2-3 times a year is enough
Avoid using chemical pesticides or fertilizers unless necessary. Organic produce has higher demand.
6. Pests and Disease Management
Aloe vera is generally pest-free, but sometimes fungus or aphids may appear. Use neem oil or organic fungicides as a preventive measure.
- Yellow leaves may indicate poor drainage
- Wilting can happen if the soil remains too wet
Always monitor plant health and maintain cleanliness in the field.
7. Harvesting Aloe Vera Leaves
You can start harvesting the leaves after 7–8 months of planting. Full yield begins after one year.
- Harvesting cycle: Every 3–4 months
- Leaves per plant: Around 3–4 healthy leaves can be harvested each time
- Yield per acre: 25 to 30 tons per year on average
You can harvest for 4–5 years continuously from a single plantation.
Aloe Vera Processing and Market Opportunities
You can sell fresh leaves to cosmetic companies or local juice makers. But to earn more, processing aloe vera into gel, juice, or powder gives better profit margins.
- Local ayurvedic stores
- Pharmaceutical companies
- Online organic stores
- Export markets (Middle East, US, EU)
Setting up a small aloe vera processing unit costs about ₹3–5 lakhs, and products can be sold under your brand or to wholesalers.
Profit Calculation (Per Acre Aloe Vera Farming)
| Component | Cost (₹) |
| Land preparation | 5,000 |
| Planting material (suckers) | 15,000 |
| Labor & Maintenance | 12,000 |
| Organic Manure & Fertilizer | 8,000 |
| Irrigation | 5,000 |
| Miscellaneous | 5,000 |
| Total Cost (Year 1) | ₹50,000 |
Now the return:
- Yield per year: 25–30 tons of leaves
- Rate per kg: ₹6–₹10 depending on quality
- Total Income: ₹1.5 lakh – ₹2.5 lakh
- Net Profit (Year 1): ₹1–2 lakh approx.
- From Year 2 onward (no replanting needed): Higher profit with lesser input cost
Value-Added Business Opportunities from Aloe Vera
If you want to grow further, think beyond farming:
- Aloe Vera Juice Bottling Unit
- Aloe Vera Gel & Skincare Products
- Contract Farming with FMCG Brands
- Export to Herbal Product Companies
You can also collaborate with Ayurveda brands, beauty parlours, and online organic retailers.
Tips for Success in Aloe Vera Farming
- Always use certified planting material
- Prefer organic farming—it increases market value
- Keep records of yield and maintenance
- Learn basic processing skills
- Connect with KVK experts or farming groups
- Promote on social media and WhatsApp groups for local buyers
Sources: Krishi Jagran, ICAR, NABARD, AgriFarming
