written by | October 11, 2021


Table of content

Table of content

Exploring Some of the Leading and Best Farming Business Ideas in India

India is the fourth largest agricultural country globally and the largest producer of jute pulses and milk. Though it is the 2nd largest producer of cotton, wheat, groundnut, vegetables, fruits and rice, India is known to have the largest amount of irrigated land. It accounts for the huge contribution of 60% that the agricultural sector makes towards India's gross domestic product (GDP). The agricultural sector was always rated as unprofitable and highly labour-intensive in the past. Today, the concept of this business extends beyond the cultivation of crops and includes the manufacturing of the various equipment used in this sector. Another key aspect of this sector is the distribution of agricultural equipment like machines, machine-related parts, and other services related to the proper execution of the services. Profitable farming in India or any country boosts the economy through employment and manufacturing equipment. Despite the industry proving profitable, it does get impacted by climatic changes, erratic weather and labour issues. A large majority of the farming businesses are conducted on a large scale. Still, a well-strategised plan and vision can help you start a small-scale profitable agricultural business efficiently.

Did you know?

India is the 7th largest exporter of agricultural goods in the world.

Top Agriculture Business Ideas in India

Vertical Farming

Vertical farming is polyhouse-based farming that assures a high yield of fruits and vegetables across India. This eco-friendly innovation can be executed on a small scale to cater to your family's needs or on a large scale where the requirements for setting it up would differ. Compared to traditional farming methods, vertical farming involves less usage of water and pesticides. It involves growing crops in a controlled environment in a vertical format. That is, crops are grown on top of each other rather than next. This type of farming enables you to make maximum use of the space to grow more groups, and every square foot used ensures higher yields. Because vertical farming is controlled, the crops have little exposure to pollution. Some of the most common products which are grown in this type of farming are green onions, cucumber, lettuce, cabbage, tomatoes and eggplant, to name a few.

The advantages of vertical farming are:

  • Crop production is possible throughout the year
  • High yield throughout the year
  • Easy to maintain and year-long assurance of healthy plants
  • Crop production is not impacted by erratic weather
  • Fossil fuel consumption is drastically reduced
  •  Less requirement of machinery for transportation
  •  Crop production is protected from unforeseen contingencies like floods or droughts
  • Involves very little usage of water and extremely less usage of soil

Vertical farming is the 10th most profitable agricultural business in urban farming. The produce it yields is fresh and sustainable.

Also Read: Successful Small Business Ideas for Indian Entrepreneurs

Farming of Medicinal Herbs

Increasing awareness of the advantages of using indigenous herbs has increased the demand for the cultivation of medicinal herbs. It is one of the most lucrative agriculture business ideas as the investments required are not too big. However, a person who sets up this type of farming must be well-versed in this subject matter and possess a lot of knowledge of medicinal herbs. Some herbs that yield maximum profits are oregano, basil, rosemary, cilantro, thyme and chives. You can also grow lavender used in creams, body lotions, shampoos and essential oils. The per acre earnings of farmers for the cultivation of medicinal herbs is about ₹3 lakhs. There is a huge demand for these herbs in personal care products sold by Patanjali, Dabur, Himalaya and Natural Remedies.

Sunflower Farming

One of the most profitable farming in India is that of Sunflower farming. These flowers are renowned for their nutritious seeds, and they also help produce Vitamin e rich oil for consumption and body soaps rich in Vitamin E, which offers many benefits to the skin. The Indian climate is very conducive to the farming of sunflowers known to bloom in hot climatic conditions. The best way to enjoy a maximum yield is to plant them after harvest, and they thrive in such soil. Another effective use of sunflower seeds is consumed by wildlife like waterfowls, songbirds and pheasants.

Farming of Mushrooms

This farming is another good income source as mushrooms are a favourite among many individuals. These are used in vegetarian and non-vegetarian cuisine and make for delicious vegetables by themselves. There is a massive demand for mushrooms across commercial outlets like restaurants, hotels, cold storage and individual families. These involve less investment, less space and if cultivated and managed well, you can enjoy a large number of profits quickly.

Grape Farming

Grapes are one of India's most popular fruits and make for one of the most profit-yielding fruits in comparison to others. These can be cultivated on a small and a large scale, depending on your business plan. If you have a small land area, you can buy the vine plant from a nursery and start cultivating this fruit. Once you understand the farming cycle and get good produce, you can expand your business on a larger scale. The basic requirements to set up this type of farming are:

  • Drip irrigation system
  • Labour
  • Grapevine plant
  • Minimum investment of ₹25,000

Grape farming is carried out throughout the year in India though it reaches a peak during the monsoons. Some farmers choose to grow grapes on trellis infrastructure, i.e. latticework, which supports plants with properties of creepers.

Also Read: Best Small Business Ideas for Rural Areas, Villages, Small Towns in India

Chilli Farming

The cultivation of chillies is equally lucrative in India, where almost everyone loves to enjoy their meals with spices and chillis. This product is also known for its medicinal value, and it helps treat ailments like bronchitis, stiff joints, arthritis, headaches, colds and coughs, among many others. Chilli farming requires very low investments, and you can start on a small plot of land and slowly expand your business. Many plant Nurseries sell seeds, vines and small plants. You can buy a small quantity and set up a small-scale business at first to understand the finer aspects of the business.


There are many profitable farming businesses to establish in India. The details of the article list out some of the most lucrative farm businesses with low investments. Farming does not require a licence, but you have to register your business as an agricultural holding in many cases. You will be required to apply for licences if you plan to rear animals that do not qualify as farm livestock.

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Q: What is organic farming?


Organic farming is an eco-friendly process that uses biological fertilisers procured from animal waste, and it makes for one of the best business opportunities in agriculture in India.

Q: What is the meaning of permaculture farming?


This type of farming provides farmers with increased productivity and a large volume of yield despite being conducted sustainably. It is considered profitable farming in India.

Q: What are farmers who have small-sized farms known as?


Farmers who conduct small-scale farming are popularly referred to as lifestyle, hobby or retirement farmers.

Q: Which is one of the most rewarding farming businesses in India?


Sunflower, mushroom, herbs and grape farming are some of India's most profitable farming businesses.

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