Aloe Vera Farming Project Report, Cost and Profit

Aloe Vera Farming Project Report, Cost and Profit Analysis

Aloe Vera Farming Project Report – Introduction To Aloe Vera Farming:

ALOE VERA is an evergreen perennial plant that was believed to have originated from the Arabian Peninsula some 6000 years ago. Generally, this plant grows in the wild where the climatic conditions are tropical in nature. This plant is stemless and attains a height in the range of 60 to 100 cm. The leaves of this plant are either grayish-green or green with thick flesh inside. The leaves are serrated with small white teeth. The fleshy substance inside the leaves has a bad odor and is bitter to taste. The flowers of the plant are yellow in color and are not used for medicinal purposes. This plant is Succulent in nature that is, it has the ability to close the stomata to avoid loss of water through evaporation, thereby surviving drought conditions. It originated as an ornamental plant but now its cultivation is in demand due to its unending list of medicinal properties. Though this plant originated in the Arabian Peninsula it first gained popularity in the United States. ALOE VERA has been used in various forms like gel, juice, creams, raw, etc. ALOE VERA is ready to use medicine that can be cultivated in the kitchen garden. The life of an Aloe plant is considered to be 12 years. The chemical constituents of the ALOE VERA plant are either obtained from the gel or the latex leaf lining. The gel has polysaccharides, vitamins (A, C, E), amino acids, plant sterols, salicylic acid, magnesium, zinc, calcium, glucose, and cholesterol. Whereas the latex leaf lining has anthraquinone glycosides (aloin, Aloe-emodin, and barbaloin). The gel of ALOE VERA has 99% water and a pH of 4.5. There are many compounds present in ALOE VERA, which account for different properties of the plant.

This plant is known to have 240 different species and hybrids of which only a few are recognized to have medicinal properties and are cultivated. National Botanical Plant Genetic Resource, ICAR, Delhi has released the plant varieties with high aloin content (20.7- 22.8%)

  • IC111271
  • IC111269
  • IC111280
  • IC111273

The Central Institute of Medicinal and Aromatic Plants, Lucknow released the AL-1 species which is used for commercial cultivation. These species are estimated to have four harvests.

The other commercial cultivated varieties are Aloe barbednsis, Aloe chinensis, Aloe perfoliata, Aloe vulgaris, Aloe indica, Aloe littoralis, and Aloe Abyssinia.

Aloe Vera Farming Project Report – Climate And Soil Conditions For Aloe Vera Farming:

Aloe Vera Plantation.
Aloe Vera Plantation.

This plant is highly adaptable to various climatic conditions but should be protected from frost and shade. March – June is the best time for the cultivation of the crop as it needs bright sunlight. The ideal temperature range for ALOE VERA farming is 25 – 40˚C. The lower annual rainfall required for ALOE VERA farming is 50 to 300 mm. The soil that best suits the plant is dry sandy soil. But the species is expected to grow well on loamy, light, coastal sandy, and black cotton soils. The plant can resist high pH, sodium, and potassium values in the soil, but the ideal pH level ranges from 7 to 8.5.

Aloe Vera Farming Project Report – Propagation For Aloe Vera Farming:

ALOE VERA plants produce offshoots at the base close to the soil level and these can be used for propagation. These offshoots are put in a mixture of sand, charcoal, and potting soil. A young ALOE VERA plant can also be used for propagation purposes. The area where leaves grow actively is chosen and is carefully removed. The leaf is then dipped in the rooting hormone and left at room temperature for 2 to 3 days such that the end dries up and forms call us. This leaf is now ready to be planted in a pot with a well-prepared potting mixture. The plant is lightly watered and kept under indirect light. It takes several weeks for the plant to start rooting.

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Aloe Vera Farming Project Report – Land Preparation And Sowing For Aloe Vera Farming:

The roots of this plant do not penetrate deep into the soil; therefore soil distribution should not be too deep. The soil can be given 1 – 2 ploughings and levelling can be done. Cow dung manure @ 25 tonnes/ha is added to the soil during the land preparation. Ridges and furrows are made with a minimum distance of 45 cm. 15-18 cm of the plant rhizome cutting size planted such that only two-thirds of the portion is below the ground. The plant to plant and row to row spacing is 60 x 60 cm. One hectare of land approximately requires 15,000 rhizomes for plantation.

Aloe Vera Farming Project Report – Irrigation Needs For Aloe Vera Farming:

This plant doesn’t require much water. The farming of ALOE VERA can be done in both rainfed and irrigation conditions. 4 to 6 irrigation cycles are required annually for proper growth and yield of the plant. First irrigation is done soon after planting and light irrigation is done after harvesting the leaves. The plant is not tolerant of waterlogging.

Aloe Vera Farming Project Report – Fertilizer And Weed Control For Aloe Vera Farming:

This plant is mainly cultivated as an organic crop because it finds its use in medicines and health care. Farm Yard Manure (FYM) @ 12 tonnes/ha is used as a fertilizer to the crop. During the planting when pits are prepared vermicompost @ 2.5 tonnes/ha and wood ash can be used. Sometimes ammonium nitrate is used as an additional supplement for producing higher yields. The manual weed control mechanism is preferred.

Aloe Vera Farming Project Report – Disease And Pest Control In Aloe Vera Farming:

Initially, infected leaves should be removed and destroyed. Termites can be controlled by giving the plant light irrigations. Mealybug causes the leaf to turn yellow and wither off, this can be controlled by the application of methyl parathion @ 10 ml or quinalphos @ 20 ml mixed in 10 liters of water. Black and brown spots on the leaves can be controlled by avoiding low temperatures and moisture. Defoliation, dieback, twig cankers, blotches, anthracnose, and shoot blight can all be controlled by spraying 70% of neem oil.

Aloe Vera Farming Project Report – Harvesting In Aloe Vera Farming:

The commercial yield is obtained in the second or fifth year of planting. Leaves that have a large base and are healthy are harvested by cutting them at an angle close to the base of the plant. The plant can be harvested a minimum of four times a year. The harvesting is either done in the morning or in the evening.

Post Harvest Management In Aloe Vera Farming:

The yellow colorless juice that oozes out of the cut leaf is drained into vessels that are concentrated by evaporation or by frequent boiling. Hepatic or livery Aloe is an amorphous, opaque waxy substance obtained by either sun drying or concentrating Aloe juice over the fire. The pulp within the Aloe is scraped out, stirred in a blender to form a homogenous mixture which is strained, filtered, and precipitated by adding acetone to it slowly while stirring the mixture. This content is stored overnight and the gel is isolated by centrifugation. The processing of the ALOE VERA has to be done within a few hours of harvest to prevent oxidation.

Yield In Aloe Vera Farming

The average yield of ALOE VERA leaves for one hectare of land is estimated to be 15 to 20 tonnes. If a plant is well irrigated and managed then the yield is higher, i.e. 30 to 35 tonnes per hectare.

Read this: Frequently Asked Questions About Aloe Vera Farming.

Composition and Properties of Aloe Vera

The active components in ALOE VERA are:

  • Antioxidizing vitamins A, C, E, B12, folic acid, and choline.
  • Alkaline phosphatase, carboxypeptidase, catalase, cellulose, lipase, amylase, bradykinase, aliiase, and peroxidase. (Enzymes)
  • Calcium, copper, selenium, chromium, manganese, magnesium, potassium, sodium, and zinc. (Minerals)
  • 12 anthraquinones also called laxatives among which two are evidently useful, are aloin and emodin.
  • Four fatty acids – cholesterol, campesterol, beta-sitosterol, and lupeol.
  • Hormones- auxins and gibberellins.
  • Sugars in the form of monosaccharides and polysaccharides.

Some of the biological activities of ALOE VERA are outlined here.

Healing properties: it is believed that the presence of polysaccharides and gibberellins (a growth hormone) interact with the growth factor receptors of the fibroblast and increase the collagen content which in turn increases the breaking strength of the tissue.

Modulates immunity: the compound acemannan found in ALOE VERA leaves tends to increase the number of monocytes, white blood cells, and macrophages which helps to improve the immunity of patients.

Antimicrobial properties: the compounds such as lupeol, salicylic acid, urea nitrogen, cinnamonic acid, phenols, and sulfur are found in ALOE VERA and are antiseptic in nature. All these compounds can prevent the growth of fungi, bacteria, and viruses.

Effect on the skin and mucous membrane: the enzymes present in the ALOE VERA gel accelerate the healing capacity of the skin and mucous membrane. The moisturizing agents within the gel help in the treatment of psoriasis, skin burns, dry skin, wrinkles, and erythema.

UV and gamma radiations: the presence of metallothionein helps the skin to become less sensitive when exposed to UV radiation.

Anti-diabetic properties: ALOE VERA enhances glucose metabolism by an antioxidant mechanism that helps in decreased levels of diabetics.

Aloe Vera Farming Project Report – Tips For Growing Aloe Vera At Home:

  • It should be planted in wide containers because it spreads as the leaves grow.
  • Place the container in moderate sunlight.
  • The plant should be watered sufficiently, but there should be a gap between the watering cycles so that the soil is allowed to dry and prevent rotting.
  • As it is known that Aloe propagates through offsets, as the plant grows to find some offsets, and use them to plant in new areas. These offshoots should be dried to form callus for a day or two.
  • It is recommended that the offshoots should not be planted deep into the soil.
  • The offshoots which have no roots initially for a month should not be watered. As the root growth is clear, light watering can be done.
  • Fertilizers are not required, but care should be taken to avoid pests and diseases by occasionally spraying neem oil.

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Benefits of Aloe Vera:

This miracle plant finds its use in many substances and purposes such as:

  • Consuming ALOE VERA either in the gel or juice forms is expected to help in better nutrient absorption and digestion.
  • Helps in proper blood circulation and boosts immunity.
  • Produces nitric acid in the body which prevents the growth of tumors and cancer agents.
  • ALOE VERA gel application or juice consumption can relieve the patient from the side effects of cancer radiation.
  • The gel of ALOE VERA has innumerable effects on the skin such as improving skin health, reduces rashes and infection, removes wrinkles, conditions the skin, etc. Either it is directly used fresh from the garden or in the form of creams and treatment lotions.
  • The anti-inflammatory property of ALOE VERA helps in the growth of hair and prevents alopecia.
  • The juice of ALOE VERA when consumed directly or in the form of capsules, expected to cure arthritis pain in patients. Also, the same relief is obtained in patients with joint and muscle pains.
  • It has the ability to heal wounds, tissue injuries, and skin burns.
  • The extracts from ALOE VERA are believed to help women overcome their menstrual problems.
  • The enzymes in ALOE VERA are a good cure to the digestive tract; they prevent nausea which may occur due to many reasons.
  • Expected to lower the blood sugar levels.
  • Build the immune system of the body by preventing oxidative stress.
  • The symptoms of heartburn and discomfort due to acid reflux are pacified by the intake of ALOE VERA juice.
  • It works on the body’s glucose and triglyceride levels and reduces cholesterol content. Also improves cardiovascular health.
  • Provides Relief from gum-related infections and sores in the mouth.
  • It works as a natural food preservative by preventing the growth of E.coli bacteria.
  • The consumption of ALOE VERA improves the blood oxygenation capacity of the body.

Economics/Aloe Vera Farming Project Report  of a Small Area:

The commercial cultivation of ALOE VERA is gaining importance due to its wide presence in various industries such as health, cosmetics, etc. The cultivation of ALOE VERA needs moderate investment but provides high returns. An example of the investment costs and returns for ALOE VERA farming is outlined here. The figures given here are just an estimation of the entire project. The original values may change depending on the location and market value of the items. This report deals with the cost involved in ALOE VERA production in 2 to 5 acres of land. Also, if the land is taken for lease during the farming period, it is expected to incur more investment and the amount of the lease could vary from 25000-50000 Rs annually for one acre of land. The lease charges may also vary from place to place.

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Assumptions in Aloe Vera Farming Project Report:
  • The cost of planting material per shoot or sucker: Rs 0.50
  • The wage of labor per day: Rs 120.00 but is likely to vary from (Rs 180-250 per day)
  • Cost of I kg of farmyard manure: Rs 4.00
  • Cost of 1 kg of nitrogen fertilizer: Rs 10.50
  • Cost of 1 kg of potassium fertilizer: Rs 7.50
  • Cost of 1 kg of phosphorous fertilizer: Rs 19.00
  • The price at which leaves are sold per tonne: Rs 15000.00

Materials Required

Materials Required Investment Cost In INR (Rs) Year 1 Year 2  Year 3
Cost of the planting materials 2,75000
The cost of FYM 45,000 45,000 45,000
Fertilizers and other chemical costs 26,500 26,500 26,500
Cost of Irrigation facilities 12,000 12,000 12,000
Total Investment 3,58,500       83,500  





Labour Requirement For Various Works

Labour Requirement For Various Works Annual Charges In INR (Rs) Year 1  Year 2  Year 3
Preparation of the land 90,000       –           –
Preparation of the ridges and furrows 90,000    
Applying Manure, fertilizers, and chemical sprays 24,000 24,000 24,000
Irrigating the farm 18,000 18,000 18,000
Manual weeding and other intercultural operations 60,000 60,000 60,000
Harvesting    – 60,000  90,000
Packing    – 30,000  60,000
Total costs 2,82,000 1,92,000 2,52,000
Total material and labour charges 6,40,500 2,75,500 3,35,500


Production Revenue (Rs) Investment (Rs) Profit (Rs)
60 Tonnes of leaves @ Rs 15000/ tonne in the 2nd year for 5 acres of land 9,00,000  2,75,500 6,24,500

Since the yield is highly dependent on climatic and other production factors. It may vary in the range of 30-50 tonnes per hectare of land which ultimately affects the profit margin. Also in the first year of planting no harvesting is done.

The extracted form of ALOE VERA has been in an ever-increasing demand due to its use in food, cosmetics, healthcare, skincare, medical industries. The properties of ALOE VERA and being researched by various organizations and developmental studies are being carried out to scientifically prove the effectiveness of ALOE VERA in the treatment of diseases. Therefore, it can be estimated that the production of ALOE VERA would result in a profitable business due to its demand in the market.

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    • You should have contract farming before entering into commercial cultivation of Aloe Vera. Your point of contact is Hebral and Cosomotic Companies like Patanjali and Himalaya.

  1. May we plant aloe vera farm between coconut trees which are around 35 feet height?
    What is the water irrigation period like 10 days once or 15 days once?

  2. Dear Agri farming team,
    I had gone through various project reports of Aleovera, Wants to start Also farming, Where from I will get a sampling, What is contract farming?, How to approach Patanjali, Himalayan, and other prospects?

    • Contract farming is nothing but a buyback agreement from companies or individuals. If you are planting Aloe Vera on large scale, without proper buyback agreement, don’t proceed. You should talk to marketing guys of those companies for more information.

  3. Hello Sir
    I Have 33 Acres Of Land In Tamil Nadu . There Are Already Maggo Trees In It.they Are About 10-15 Feet In Height .is It Suitable For Aloe Vera Plantation In It.

  4. I am new to farming but im interested and this is my need also so i want to go to plant aloe vera in rajasthan jaisalmer district ive got about 80 acre of land water is available through canal ,but before i want to go in large scale production i want to get knowledge in a piece of land of about 15000 sq.feet which is away from the main land shall i proceed and what are the precutions i should take

  5. I have about 20 Acres of land, slightly sloping and moderate water availability in Madurai, Tamil Nadu. Partly planted with Mango Trees. I am thinking of venturing into Aloe Vera farming, considering the low water availability. Could you please advice, whether there are any buy back arrangments possible in Madurai.

  6. good day. I was moved by your article on aloe vera farming. on behalf of the catholic university in Mozambique, We ask if you could share with us the article via email for a possible group discussion and if you could do your costing in USD. The university has over 1800 hectares of land that is not being used and we feel this is the right project for it.
    We will be so honored to hear from you.


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