Tripura to set up a Rs 27.42 crore integrated agarwood cluster under PM DevINE, boosting plantations, processing, exports, and employment. The project will benefit over 7,000 people and strengthen the state’s global agarwood trade presence.
Tripura is set to strengthen its position as a major agarwood hub with the establishment of an integrated agarwood cluster under the Prime Minister’s Development Initiative for North East (PM DevINE) scheme, Chief Minister Dr. Manik Saha announced on Wednesday. The project, estimated to cost Rs 27.42 crore, aims to transform the agarwood sector into a sustainable, employment-generating industry.
The announcement was made during the inauguration of the two-day 5th International Agarwood Conclave and Buyer-Seller Meet held at Pragna Bhavan in Agartala. Addressing delegates, policymakers, and international traders, the Chief Minister said the proposed cluster would encompass the entire agarwood value chain, from plantation to processing and marketing.
According to Dr. Saha, the integrated cluster will include agarwood nurseries, large-scale plantations, distillation and processing facilities, as well as structured skill development and training programmes. Once operational, the project is expected to directly and indirectly benefit more than 7,000 people, with a special focus on empowering women and youth in rural and forest-dependent communities.
Highlighting Tripura’s deep historical and cultural association with agarwood, the Chief Minister said that even the name “Agartala” is closely linked to the agar tree, which once grew abundantly across the region. He noted that Prime Minister Narendra Modi has shown consistent interest in agarwood cultivation in Tripura and has repeatedly referred to the North Eastern states as India’s “Ashtalakshmi,” symbolising immense natural and economic potential.
Dr. Saha pointed out that nearly 96 per cent of India’s agarwood resources are located in the North Eastern region, placing Tripura in a strategically important position. The state has already earned recognition as the second-largest agarwood-producing state in the country, with an estimated 1.5 crore agar trees currently under cultivation.
To further strengthen market access, the Chief Minister said that the construction of a dedicated agarwood market at Kadamtala in Dharmanagar is nearing completion. The facility will enable direct interaction between buyers and sellers, reduce the role of intermediaries, and ensure better price realisation for farmers and traders.
In another significant development, Dr. Saha announced that an International Agar Trade and Research Centre, supported by Rs 15 crore from the North Eastern Council, is being established in Tripura. The centre is expected to become a regional hub for scientific research, quality certification, product innovation, and global trade facilitation in agarwood and its derivatives.
The state government is also working in coordination with the central government to develop a single-window online platform for agarwood exporters. This digital initiative will simplify licensing, documentation, and compliance procedures, making Tripura more attractive to international buyers and investors.
Forest Minister Animesh Debbarma, speaking at the event, said Tripura’s agro-climatic conditions are highly conducive to agarwood cultivation. He emphasised the need for scientific training, sustainable harvesting practices, and value-added production using locally available raw materials. The minister also invited investors, entrepreneurs, and researchers from across India and abroad to explore opportunities in Tripura’s expanding agarwood sector.
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The conclave witnessed participation from senior officials of central and state governments, international trade delegates, researchers, and industry experts. The Chief Minister and other dignitaries also visited exhibition stalls displaying a wide range of agarwood-based products, including essential oils, perfumes, incense, and handicrafts.
With focused policy support, infrastructure development, and global outreach, Tripura’s agarwood sector is poised to emerge as a key driver of economic growth, employment, and sustainable forest-based livelihoods in the North East.
