Sandalwood Cultivation in India: High Value Returns for Farmers

Table of Contents

• What is Sandalwood?
• What is the Current Status of Sandalwood Production?
• What are the Medicinal Uses of Sandalwood?
• What is the Step-by-Step Process of Sandalwood Cultivation in India?
  • Soil and Climate Requirements
  • Nursery Preparation
  • Plantation
  • Irrigation and Fertilization Management
  • Sandalwood Plant Protection
  • Harvest and Yield
• What are the Estimated Economic Returns from Sandalwood Cultivation in India?
• National Trade of Sandalwood
• Which are the Major Sandalwood Plantations in India?

What is Sandalwood?

Sandalwood, popularly known as Chandan, is a highly valuable tree with its fragrant heartwood. It is also used for oil extraction, and sandalwood oil is used in cosmetics, perfumes, aromatherapy, and pharmaceuticals. It is one of the best woods, ideal for carving due to its uniform fibres and close, straight grains.

Sandalwood is a small to medium-sized tree native to dry, deciduous, and scrub forests in the Deccan region, especially in Telangana and Karnataka. A neutralized population of Sandalwood is also found in Andhra Pradesh, Kerala, Rajasthan, Madhya Pradesh, Bihar, Odisha, and Maharashtra.

What is the Current Status of Sandalwood Production?

Globally, India & Australia are the largest producers of sandalwood, while the largest markets are the United States, China, Japan & the Indian domestic market.

Recently, as part of the ongoing initiative ‘Azaadi ka Amrit Mahotsav’, the Ministry of Rural Development & Panchayati Raj inaugurated a training program on Sandalwood Farming & Management of its health. The program focused on attracting youth to sandalwood farming, reviving this declining art & helping reposition India as a market leader in trade.

In recent years, sandalwood cultivation has been adopted energetically in Karnataka and Telangana. These two states are now emerging as the primary sandalwood cultivating states in India.

What are the Medicinal Uses of Sandalwood?

Sandalwood is a medicinal plant widely used in pharmaceutical industries because of its several medicinal properties. Some medicinal uses of Sandalwood are listed below:

• It is used as an anti-inflammatory and helps in reducing pain and swelling.
• It is used as an anti-septic that helps prevent infections.
• It is quite useful in curing fever when used as an antiphlogistic.
• It is a great anti-spasmodic and relieves spam.
• It is a diuretic and helps in improving urine discharge.
• It is a carminative and can help remove gas from the stomach and intestine.
• It helps reduce blood pressure because of its hypotensive nature.
• It is a great skin agent that softens and soothes the skin due to its emollient properties.
• It acts as a sedative, and its calming effect minimizes stress, anxiety, and irritability.
• It also acts as a memory booster and helps improve memory.

What is the Step-by-Step Process of Sandalwood Cultivation in India?

Soil, climate, nursery preparation, plantation, etc. are some of the major steps in sandalwood cultivation in India. Let’s understand the step-by-step process below:

Soil and Climate Requirements

Sandalwood can be grown in a wide variety of soils, from sandy clay to gravelly loam to soils with poor nutrients. It can withstand a soil pH of 9.0. Sandalwood needs good drainage, and waterlogging is not suitable for its growth.

Sandalwood can be grown at an altitude of 1800 m above sea level and requires rainfall of 500-3000 mm. The ideal temperature range is 19°C to 28.5°C.

Nursery Preparation

Select high-quality sandalwood seeds, depulp them by rubbing, and wash them thoroughly before keeping them dry in the shade. Rats eat away the seeds, and so it is usual to roll the seeds in main red lead or in Acorus paste. Germination takes place 1 to 3 months after sowing.

Note that sandalwood requires host plants to survive. This makes it an ideal plant for agroforestry. The sandalwood plant spreads roots and attaches to the roots of nearby plants, making those plants available for water and nutrients. The seeds can also be treated with fungicides to prevent infection and stored at 5% moisture and 10° to 15°C in polythene bags or plastic jars.

Plantation

The plantation process starts with digging pits measuring 30 x 30 x 30 cm and leaving them open for a week. Add 10-15 grams of Phorate and Carbendazim to the pits. Depending on the chosen silviculture system, Sandalwood is planted as a pure block plantation or grown in an agroforestry system alongside horticultural crops such as mango, citrus, and guava. It is also grown with forestry species, such as casuarina and pongamia, as permanent hosts. Sandalwood trees start flowering after three years of age and flower twice a year, from March to April and September to October.

Irrigation and Fertilizer Management

There is very little need for water in sandalwood cultivation, so drip irrigation every 2 to 3 weeks is recommended. For Fertilization, apply 15 to 20 kg of organic fertilizers regularly, such as farmyard manure, vermicompost, or neem cake. Inorganic fertilizers, especially NPK, can also be applied to seedlings after formation at a rate of 150 to 200 grams per plant.

Sandalwood Plant Protection

• Theft Risk: Due to its high value, sandalwood trees are at risk of theft, so you can employ protection in various forms, such as barbed wire fencing, solar electric fencing, armed security guards, dog hunting, patrols, and more.
• Drought: It can withstand moderate drought, but prolonged drought kills it.
• Fire: It is a fire tender and should keep away from dry bushes, grass, etc.
• Diseases: Diseases such as insect attacks or root rot can harm the plant, so keep spraying neem cake or any other fertilizer.
• Illicit Felling: As sandalwood is a scented wood, illicit felling may occur.

Harvest and Yield

Normally, heartwood formation begins after 7 to 8 years, and harvesting begins after 15 to 20 years of plantation. The development of heartwood, its total content, and oil content depend on climate and soil conditions. In hot, dry conditions, heartwood formation begins early.

What are the Estimated Economic Returns from Sandalwood Cultivation in India?

The total yield of heartwood and sandalwood oil may vary by location. The natural forest growth data states that 4 to 10 kg of heartwood per tree is obtained from 20 to 30-year-old sandalwood trees. In 2008, the IWST Bangalore earned Rs. 1.43 crores per hectare in total returns, assuming 3 to 4 kg of heartwood per tree at a procuring rate of Rs. 3500 per kg.

Another report from 2017 estimated returns of Rs. 2.98 crore per hectare, assuming a price of Rs. 6000 per kg of heartwood and 15 kg of heartwood per tree. It also includes security costs, which account for about 30% of total returns.

According to recent studies, sandalwood cultivation under scientifically managed plantations can yield 15 kg of heartwood per tree with a GBH of 45 cm at 15 years of age. According to the Karnataka forest department, the estimated return is around Rs. 15 to 20 crores per hectare over a 15 to 20-year rotation.

National Trade of Sandalwood

At present, the price of Indian sandalwood of I-class heartwood is around Rs. 7,500 per kg, and the price of sandalwood oil is around 1,50,000 per kg according to the government rate. In the domestic market, the price of sandalwood is around Rs. 16,500 per kg. Its price in the international market is around 15-20% higher than the domestic rate.

Which are the Major Sandalwood Plantations in India?

According to the Indian Council of Forestry Research and Education, the total land under sandalwood cultivation in India is increasing by 600 hectares annually. Today, the total area of sandalwood plantations in the country is approximately 17,432 hectares. The major plantations are listed below: