Agarwood exports

Guwahati airport’s approval as an agarwood export hub is expected to boost Assam’s cultivation, trade and access to international markets.
Agarwood exports
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The Government of India has approved Lokapriya Gopinath Bardoloi International Airport in Guwahati as the export point for agarwood chips and agarwood oil, which will significantly enhance agarwood cultivation in Assam. Commerce and Industry Minister Piyush Goyal, in a social media post on Saturday, said the approval was made following a request from Assam Chief Minister Himanta Biswa Sarma sometime back. As the Union minister indicated, it is a massive logistical leap not only for Assam but also for the whole of Northeast India, because it will now connect potential markets almost directly to the producers. It is important to note that only about a week ago, a consignment comprising 123 kg of agarwood chips was exported from Assam to Dubai, marking a significant step towards expanding the international market for the state’s traditional agarwood industry, which has been rapidly growing in recent years. According to Chief Minister Sarma, over 50,000 persons across Assam are directly engaged in agarwood cultivation in the state. While the Northeastern region accounts for nearly 96% of the country’s agarwood trees, Assam alone accounts for around 81 per cent of it, with Tripura standing a distant second. Other states in the region, such as Manipur, Nagaland, Meghalaya, Arunachal Pradesh, Mizoram and Sikkim, are also emerging as significant contributors, with expanding plantations supported by focused state-level initiatives and policy interventions. The region’s substantial resource base, traditional knowledge and growing enterprise ecosystem offer opportunities for greater local value addition, organised trade and access to international markets. Agarwood is a high-value aromatic resinous wood derived from Aquilaria tree species and is widely used in the global market for incense, luxury perfumery, wellness products and traditional medicine. Agarwood – called Sanchi or Agaru in Assamese – is a high-value aromatic resinous wood derived from Aquilaria tree species and is widely used in the global market for incense, luxury perfumery, wellness products and traditional medicine. Recognizing its potential, the Ministry of Development of the Northeastern Region (DoNER) in 2023 constituted an Inter-Ministerial Task Force. Based on its recommendations, the Centre first approved a comprehensive roadmap for the promotion of agarwood in the Northeastern Region and then constituted, in February 2025, an Agarwood Steering Group (ASG) to facilitate its coordinated implementation across the concerned ministries/departments and the states. It is interesting to note that unlike other trees and plants where health matters a lot, healthy agarwood wood does not produce fragrance on its own. Instead, it is only when the tree experiences stress or fungal infection (such as Phaeoacremonium parasitica) via natural stem borer holes or scientific/artificial inoculation techniques that dark, resinous heartwood forms inside it. But, the most important aspect which requires serious attention of the Assam government is that though agarwood cultivation is heavily concentrated in the Upper Assam districts of Golaghat, Jorhat and Sivasagar, the agarwood chips and incense trade is concentrated in the hands of only one particular community.