Introduction

Agarwood (Aquilaria spp.) is one of the most valuable forest products, used in perfumes, incense, medicine, and Oud oil. Bodhichitta (Ziziphus budhensis) is a high‑value medicinal plant for sacred malas. Both have strong export demand.

40% Subsidy Contract Farming Program

ACT International Nepal offers a 40% subsidy under the National Economic Improvement Project (NED). Farmers receive seedlings, training, technical support, and market assurance.

Investment & Returns

For 1 Ropani (~50 plants): Total investment NPR 83,667; subsidy (40%) NPR 33,467; farmer pays NPR 50,200. Expected income after 8‑12 years: NPR 3‑10 million per tree.

Species & Climate

Aquilaria malaccensis, Aquilaria sinensis. Requires temperature 20‑35°C, annual rainfall 1,800‑3,500 mm, altitude 100‑1,800m. Well‑drained loamy soil.

Inoculation & Harvesting

Artificial inoculation after 5‑7 years (tree diameter ≥15‑20 cm). Resin forms over 2‑5 years; harvesting after 8‑12 years.

Market Potential

Normal Agarwood: NPR 5,000‑50,000/kg; high quality: NPR 100,000‑500,000+/kg; Agarwood oil: NPR 500,000‑3,000,000/kg. Strong demand in Middle East, China, Japan, Europe, USA.

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