Assam is preparing to expand agarwood cultivation, trade and exports as the state government works to open the sector to more farmers. State minister Bimal Borah said the government has formed a task force to address farming, trade and regulatory concerns. Meanwhile, Assam has secured the required export quota for agarwood products. The Agriculture, Forest and Industries departments will work together to develop the sector. The government hopes the move will create new opportunities for farmers, traders and businesses across the state.
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Key Facts
- Location: Assam, Northeast India
- Minister: Bimal Borah
- New initiative: Government task force on agarwood
- Export development: Assam has secured the required export quota
- Departments involved: Agriculture, Forest and Industries
- Export requirement: Traders need DGFT approval for agarwood chip exports
- Reported exports: Bimal Borah cited around 112 kg of agarwood chips
- Main goal: Expand cultivation, legal trade and agarwood-based industries
Assam Seeks to Make Agarwood Farming Easier
Bimal Borah said the government wants more farmers to enter agarwood cultivation while following existing laws and regulations.
Previously, regulatory and administrative hurdles created uncertainty among growers. As a result, some farmers remained hesitant to invest in the sector.
Now, the government wants to remove unnecessary barriers and give farmers clearer guidance. The newly formed task force will examine these issues and suggest ways to support legitimate cultivation and trade.
Moreover, the government wants to develop industries that can process agarwood and create higher-value products within Assam.
Government Focuses on Agarwood Exports
Assam also wants to increase its share of the international agarwood market. Borah said the state has secured the required export quota, which could help legitimate traders expand overseas business.
However, exporters must follow the applicable regulations. In particular, traders need approval from the Directorate General of Foreign Trade (DGFT) to export agarwood chips.
Borah also questioned the actual volume of agarwood leaving Assam. He claimed that some traders declare agarwood as imported from other countries, process it at places such as Barnihat and then re-export it.
The minister said official exports from Assam amounted to only around 112 kg of agarwood chips. Authorities would need to verify the claim through official trade and customs records.
Agriculture, Forest and Industries Departments to Work Together
The government plans to bring three key departments together to strengthen the agarwood sector.
The Agriculture Department can support farmers and cultivation practices. Meanwhile, the Forest Department can help ensure compliance with applicable regulations. The Industries Department can focus on processing, investment and value-added businesses.
Together, these efforts could create a stronger agarwood supply chain in Assam. They could also generate additional income opportunities for farmers, traders and entrepreneurs.
Bimal Borah Makes Allegation Against Badruddin Ajmal
Borah also accused businessman and politician Badruddin Ajmal of involvement in illegal agarwood-related activities.
However, the minister did not provide supporting evidence for the allegation in the remarks available for this report. Ajmal’s response to the allegation was also not available.
Therefore, the allegation remains a claim made by Borah and should not be treated as an established fact without further evidence.
Why Agarwood Matters to Assam
Agarwood commands high commercial value and supports businesses linked to perfumes, traditional products and other industries. Therefore, expanding legal cultivation could provide farmers with an additional source of income.
At the same time, stronger processing facilities could help Assam retain more value within the state instead of sending raw material elsewhere.
The government’s latest initiative therefore focuses on three areas: easier cultivation, legal exports and stronger local industries.
Questions and Answers
What is Assam doing to promote agarwood cultivation?
The government has created a task force to examine farming, regulatory and business-related issues.
Why does the government want to promote agarwood?
Agarwood can create income for farmers and support trade, processing and other industries.
Can farmers grow agarwood in Assam?
Yes. Borah said farmers can take up cultivation while following the applicable rules.
What is required to export agarwood chips?
Exporters need to follow government regulations and obtain the required DGFT approval.
How much agarwood did Borah say Assam exported?
He cited around 112 kg of agarwood chips and questioned claims about larger export volumes.
Which departments will develop the sector?
The Agriculture, Forest and Industries departments will work together.
Location Context
Assam plays an important role in Northeast India’s agricultural and forest-based economy. Therefore, a stronger legal agarwood industry could create new opportunities for farmers and businesses while supporting the state’s wider economic growth.
