The agarwood industry in Tripura is set for major growth, with the Central Government working towards securing a Geographical Indication (GI) tag for Tripura Agar and significantly increasing export quotas for agar products, Union Minister for Development of North Eastern Region (DoNER) Jyotiraditya Scindia said on Saturday.

Speaking after laying the foundation stone of an Agarwood Cluster Processing Centre at Kadamtala in North Tripura district, Scindia said the initiative, funded under the PM-DevINE scheme, would strengthen the entire agarwood value chain. He noted that Tripura’s agar industry has the potential to achieve a turnover of nearly Rs 2,000 crore.

The Union Minister said the Centre is also integrating digital systems for CITES and other mandatory permissions, allowing agar farmers to directly access international markets. This move, he added, would eliminate middlemen and ensure farmers receive the full value of their produce.

Highlighting recent development work in the state, Scindia said he had inaugurated and laid foundation stones for several projects on Friday, including road infrastructure, solar power facilities, and health institutions.

“I inspected two major projects in Agartala — the Government Dental College costing Rs 152 crore and the Child and Maternity Hospital worth Rs 200 crore,” he said.

Later in the night, the minister said he would travel to Dumbur in Gomati district to inaugurate the Matabari tourism circuit project, valued at Rs 290 crore.

“This tourism circuit has been jointly conceptualised by Chief Minister Dr Manik Saha and myself,” he added.

Scindia said that under the leadership of Prime Minister Narendra Modi and with the support of the Tripura government, several policy and infrastructure initiatives are being undertaken to boost the agar industry in Tripura and Assam.

“In North Tripura district alone, an agar-based project worth Rs 80 crore has been launched. From cultivation and processing to branding and marketing, the entire ecosystem is being strengthened,” he said.

He further informed that two central agar processing centres are being established — one in Golaghat district of Assam and another in North Tripura. As part of policy reforms, export quotas for agar products have been increased sixfold. Agar chip exports have been raised from 25,000 kg to 1.5 lakh kg, while agar oil exports have gone up from 1,500 kg to 7,500 kg.

The minister said the digitisation of approval systems would help farmers seamlessly connect with global buyers.

“This effort reflects the Prime Minister’s vision of ‘Vocal for Local’ and ‘One District, One Product’. Agar has emerged as a flagship product in Fulbari of North Tripura,” he said.

Expressing confidence in the sector’s future, Scindia said agar plantations are expected to expand rapidly.

“Of the estimated 15,000 crore agar trees worldwide, nearly 90 percent are found in the North East. Tripura’s share is expected to increase by around 50 percent over the next four years,” he said.

He also mentioned that buyer–seller meets are being organised to link Tripura’s agar industry with international markets.

“Last year, a buyer–seller meet was held with Qatar, and more such engagements are planned in the future,” he added.