India’s Agarbatti sector looking for global growth

In line with the larger Atmanirbhar Bharat vision, India’s National Bamboo Mission (NBM), is working with various States and industry partners to enable India to become self-reliant in the agarbatti sector.

May 11, 2021

Growth in the agarbatti sector is expected to improve livelihoods of local communities.

The mission seeks to increase the adoption of technology for data management, reporting and production through an MIS-based platform.

Agarbatti exports could hit a billion dollars by 2021.

It will help bridge information gaps and enhance process efficiency for all stakeholders involved.

The Government of India’s National Bamboo Mission (NBM), in association with the Ministry of Small and Medium Enterprises (MSME) as well as Khadi and Village Industries Commission (KVIC), is working with various States and industry partners to enable India to become self-reliant in the agarbatti sector. This is in line with the larger vision of Atmanirbhar Bharat. Growth in the sector is expected to improve livelihoods of local communities, and facilitate an increased adoption of technology for data management, reporting and production, as per an official release from the Ministry of Agriculture & Farmers Welfare.

NBM, launched in 2018 to improve connectivity between stakeholders in the bamboo sector using a hub and spoke model for farmers and markets, has launched a management information system (MIS)-based platform for end-to-end monitoring of production within the agarbatti sector. The platform will collate information on the location, functioning, and production capacity of manufacturing units, availability of raw materials, and marketing functions, in order to bridge information gaps and enable efficiency among stakeholders across the supply chain.

A large section of India’s population depends on agriculture to meet its economic needs. As such, in the country’s bid to bounce back from the COVID-19 pandemic, agriculture has emerged as an important pillar of strength having seen record-high yields over the last few months. The rising popularity of organic produce presents a big opportunity for Indian agriculture given that the country has a strong foundation in place to deliver quality products to the domestic as well as international market. 

With its use of relevant technologies, modern processing facilities, and improved understanding of compliance requirements in establishing trade partnerships, the Indian bamboo sector has enormous potential for growth in both domestic and international markets. Currently, India exports agarbattis to over 150 countries around the world, with the US, UK, Malaysia, and Nigeria being its top markets. Exports from the sector are expected to hit US$1 billion by the end of 2021.