Starting Aloe Vera Farming Business – Make Huge Profits – Business Plan

Aloe Vera is stem less plant and is an herbal specie found all over the world. Aloe Vera is known for its pulpy thick leaves that are a feet long. The white or grey color pulp inside the green leaves of the plant is known for its medicinal purpose. Aloe Vera in recent days has become quite popular. Since the rise of Ayurveda and intake of herbal remedies Aloe Vera has also gained much importance. Aloe Vera has been found to be effective in many medicinal causes. Some of them are:

  • The pulp is used to make aloe vera juices that is used for drinking purpose
  • The aloe vera pulp is applied on skin as it removes dryness and irritation
  • It works well for the digestive system
  • Aloe Vera is detoxifying thus better for use
  • When applied on skin it gives soothing touch and smoothens the skin
  • It can be applied on hair as well. Its smoothens the hair and reduces hair fall
  • It is used in many cosmetic products because of mineral values

Aloe Vera Farming as a business:

As one knows that Aloe Vera is now in huge demand therefore the requirement is huge. Aloe Vera farming is now very common given the return it provides to the farmers. The other advantage of farming aloe Vera is that you don’t need to do much on the land unlike other plants were watering, caring and fertilizing is required. For the farmers especially those who have small piece of land can get a satisfying return from Aloe Vera farming. It is popular business in South Africa, India, Pakistan, USA, UK, Canada and Australia. In this article we will discuss how to start aloe vera farming business and how can we make huge profit out of this business.

Things to consider before starting Aloe Vera Farming:

You need to consider few things before starting aloe vera farming. These things include:

  • Land size for cultivating aloe vera to have definite and satisfactory profit
  • Quality of soil and favorable conditions for cultivation
  • Investment required and return on investment
  • Type of aloe vera being planted to have desirable profit
  • Necessary equipment available for farming
  • Market to sell the aloe vera and a suitable business model

Above points are necessary to remember when you are opting for aloe vera planting. Here is the detailed business plan.

Aloe Vera Farming Business Plan:

The planning for aloe vera plantation should be brief and comprehensive so that you can extract the most profit out of it. Considering the above factors here is the plan on how to do aloe vera farming and get the best profits.

Size of Land for Cultivation:

Size of the land is important in order to get the maximum profit. One must consider a 2 acre land to grow aloe vera so that you can cultivate at least 25-30 tons of leaves that can be sold to get a desirable profit. The land should be well maintained, ploughed, watered and fertilized so that the plant grows well. Though there is not much water requirement but frequent watering will give you pulpy leaves that are heavy thus giving you more returns.

Quality of Soil and Favorable Conditions:

The PH level of the soil should be 8.5 suiting the plantation. It would be better that you use organic fertilizer like cow dung so that the plant is free from chemicals. Many medical markets ask for chemical free leaves because of medical requirements. So do care on this aspect. Controlling pest is also an important aspect. To control pest you need to spray 0.1% of parathion pesticide on the plant. You can also spray malathion aqueous solution of 0.2% to control pests like Mealy Bug.

Other favorable conditions like the climate is also important. Aloe Vera grows in all the climates but is would be better if the climate is warm, humid with a temperature of 25-35 degree Celsius.

Investment Required:

You need to invest at least $1000 for the first year. From plantation of aloe vera to fertilizer requirements to irrigation all require money. Labor cost, maintenance, plant species, equipment required, and many more will require a decent investment. The investment maybe less or more but you need to be ready to invest this much. Apart from this, you may also need to investment some amount on marketing, transportation, branding of your cultivation.

Varieties of Aloe Vera Plant:

For better output it is important that your plant variety is the best. Chinensis, Aloe Barbednesis, Littorallis, Perfoliata and Aloe Abyssinica are varieties of aloe vera. For aloe vera farming in India, IEC 111271, AAL1, IEC 111269 are highly productive hybrid for farming.

Necessary Equipment for Farming:

Every farming requires some equipment and other necessary components for farming. In aloe vera farming, you need to have an irrigation equipment for water supply, equipment to plough the land, chemical pesticides, manure and some fertilizers. If you have tractor to plough the field then it would be more beneficial in long terms as it will save labor cost and also will help you to transport your cultivation.

Market to Sell your Cultivation and Suitable Business Model:

The above things are necessary but the most important thing in the aloe vera farming is an immediate market where you can sell all your cultivation. If you don’t get a proper market that offers you the required rate then no matter how great your production is, you will be in loss. Make networks to the best buyers like some cosmetic industry, herbal shops and their likes apart from normal buyers and distributors. You can also have a business model like manufacturing your own aloe vera products.

The above points are necessary parts of the aloe vera farming plan but this is not enough. There are also some more points that you need to consider in this business. Here are they.

Harvesting of the Plant:

The first year of your farming will require you to plant a new plant deep inside the soil with an appropriate distance between the two. The plant should be planted in a row wise using hotbed so that there’s a required minimum distance between the two plants. The hotbed should be such that it accommodates maximum plants. The first year cost of planting would be higher but in the later years it won’t be much.

After 8-9 months you can extract the first cultivation where you need to cut down the leaves of the plants. You need not pluck the whole plant because one plant can easily survive five years giving quality return. In a year you can have 25-30 tons of aloe vera leaves that can be sold on a good price. The second year will give you much more returns because you don’t need to spend much on plantation. You just need to look after the existing plant and in the next few months it will grow enough to give you much more returns.

Return on Investment:

A 2 acre land will give you around 25-30 tons of plant. Aloe vera is known to be a tough plant which can grow in normal conditions without any pampering. A ton of leaves will cost you around $250-300 therefore the whole profit in a year will be around $7800 or 5-6 lakh Indian rupees. With an investment of $1000 or 60K Indian rupees you will have a return of 5-6 lakh rupees which is definitely a success. The next year profit will be high because you don’t have to invest much. There will be charges of transportation which may not be much if your market is near and especially when you have your tractor.

Other ways to enhance profit:

You can enhance your profit by investing a little further with the initial profits you get. You can open a manufacturing shop where you synthesis aloe vera to make juices, ointments, lotion, hair gel and many such products. You can also make herbals that work for digestive system, skin creams and so on. They are not tough to do what you require is an expert along with few equipment and labors. This will increase your return to many folds. What you sold at half rates as a raw product will be sold at double rate in a packed container.

There are local markets where the demand of aloe vera products like juices, shampoo, lotion, cream, soap, herbals are in demand. You can make such networks to sell your products. You can also use e-commerce websites of your own or you can sell your products on Amazon, Flipkart, E-bay and many more. There are websites that specialize in herbal products. You can sell your product their by giving them some commission.

Overall, the business of aloe vera is profitable. A plant will last for at least 5 years thus giving you 25-30 tons of leaves every year from a 2 acre land. With additional selling and manufacturing options you can push your profit to another level earning Rs 5-6 lakhs a year or $8000-10, 000 a year.

Presently, this is one of the most profitable business from the farm land because any other plant that your grow will require much more care especially those plants that are profitable whereas aloe vera plant doesn’t require that much pampering and it grows like hell within few months of plantation.

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