Indian Economy News

MDoNER and CHEMEXCIL Organise Industry Summit on Prospects & Export of Agarwood Oil from India

The Ministry of Development of North Eastern Region (MDoNER) and the Chemicals and Allied Products Export Promotion Council (CHEMEXCIL) organised an industry summit in New Delhi to promote the commercial potential and exports of agarwood oil from India, particularly from the North Eastern Region (NER). The summit brought together stakeholders from the fragrance, essential-oil, perfumery, incense, processing and export industries, along with scientific institutions, policymakers and regulatory agencies. The NER accounts for nearly 96.6% of India’s estimated 139.89 million agarwood trees, highlighting its significant potential to become a major source of high-value agarwood and oud oil for global markets. Assam accounts for about 114.3 million trees, followed by Tripura with around 15.15 million trees, while agarwood resources are also present in other Northeastern states. With strong demand in Gulf markets and growing applications in premium fragrances across Europe, the US and East Asia, the sector offers opportunities for value addition, exports and livelihood generation.

A key highlight of the summit was the release of the Roadmap for Agarwood Export Promotion from the North Eastern Region, which provides a framework for coordinated action by government agencies, Northeastern states, export promotion councils and other stakeholders to facilitate compliant, higher-value exports and strengthen market linkages. Measures already initiated include enhancement of the agarwood export quota, digitisation of Certificates of Origin, resource mapping in Assam and Tripura, empanelment of validated inoculum suppliers, and efforts towards Geographical Indication registration and standards for agarwood oil. MDoNER has also supported an Agarwood Cluster Development Project in Assam and Tripura under PM-DevINE and an Agarwood International Trade and Research Centre in Agartala under schemes of the North Eastern Council. The formation of an Agarwood Export Promotion Cell in May 2026 is expected to further strengthen exporter facilitation and market development, supporting the NER’s transition from a raw-material supplier to a globally recognised origin for Indian agarwood products.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.