With the growing demand for plants and gardening products, the plant nursery business in India is flourishing.
Home gardening picked up in India, especially during the COVID-19 lockdown period, and was seen as a potential contribution to the Green India initiative. People living in urban cities look to continue the trend, finding spaces in their balconies, lawns, terraces, and indoor spaces where they can place a few plants. Thus, it is the best time for planning a nursery business and leveraging the growing demand in the urban region of the country.
This blog is a step-by-step guide to starting a plant nursery business in India.
Starting a new business requires a lot of research and understanding of all aspects, including the nature of the business, underlying technicalities, market trends, and regulatory challenges.
A nursery is a place where plants are grown for sale. Plants are grown to a desirable size so they can be replanted or placed in specific areas on the terrace, balcony, sit-outs, or other indoor areas of the house.
Plants grown could be for home gardening, zoos, parks, forestry, or for plantation initiatives within cities.
Based on the size, you could set up your plant nursery in any of the following categories:
If you want to start small or have a small space, consider planning a retail plant nursery. Consider propagating and growing plants in the same small space you own or sourcing from the nearest wholesalers with the best pricing. You will sell those plants to the general public.
Wholesale could be an option, particularly if you have a larger space to start with and are ready to invest the required capital. It would mean propagating and growing plants in-house and setting up a distribution system to cater to orders from retailers.
Another growing trend is online shopping. People prefer buying things online for obvious comfort and ease, so it is almost essential to put up your nursery business on the internet. Alternatively, you could also start an online nursery exclusively and source and deliver plants when you have orders.
You could also choose to grow and sell a specific type of plant. For instance, specialty plant nurseries specialize in growing one type of flower, say sunflowers, particular vegetables, or specific trees or shrubs.
There is a growing enthusiasm for gardening in India, evident from the growing market for nursery businesses online. In 2024, the online plant nursery market share stood at USD 386.54 million and is estimated to grow at 4.27% CAGR through 2030 and beyond. A lot of it is credited to expanding urbanization, green initiatives, and awareness of a clean and green environment.
Regardless of the business idea, good planning is crucial in setting up a new business and generating revenue.
Although the overall trend of the nursery business is positive, with more people inclined towards plantation than ever before, it is always advised that you do due diligence and document your findings of the nursery business market. This will help you plot market size, your share of the market, and revenue targets. People in some parts of the city might be more affectionate towards gardening or having plants around them than others.
Your target customers will belong to one of the following categories. Therefore, you must choose your target audience and plan accordingly.
If you set up a retail nursery business, you will mainly sell plants to home hardeners. Therefore, knowing more about the gardening preferences of people in the city is essential for increasing sales.
Landscapers are professional gardeners who take up big gardening projects. They plan urban parks, home gardens, and school parks and explore other gardening opportunities around the city. Therefore, if you plan to target them as your customers, you must streamline your strategies accordingly and establish contact with landscapers and other stakeholders to get bulk orders. You should understand their needs to plan on the kind of plants you want to grow.
Institutions like corporate offices and college and school campuses have their preferences for plants and might look to take up gardening on their campuses alone. Besides, government and other administrative offices need gardening. Understanding their needs and approaching the right people from these institutions can be fruitful.
Writing a business plan involves documenting the insights to conclude actionable points. It is about writing down your market research, operation planning, estimated expenditures, revenue targets, timeline, milestones, and related aspects.
Starting a nursery business can feel like a lot initially. Besides, considering the investment size, it is capital-intensive and risky. However, if you have done your due diligence and are considering starting your own plant nursery business that works, it can be rewarding and fulfilling if done right.
Frequently asked questions
Can’t find the answer here?
Check out our Help Center
What is the first step to starting a plant nursery business in India?
What is the first step to starting a plant nursery business in India?
What licenses and registrations are required to start a plant nursery business in India?
What licenses and registrations are required to start a plant nursery business in India?
How much investment is needed to start a small plant nursery in India?
How much investment is needed to start a small plant nursery in India?
How much land is required for a plant nursery business in India?
How much land is required for a plant nursery business in India?
Can I start a plant nursery business from home in India?
Can I start a plant nursery business from home in India?
Which types of plants are most profitable for a nursery business in India?
Which types of plants are most profitable for a nursery business in India?
Where can I source seeds, saplings, and mother plants for my nursery in India?
Where can I source seeds, saplings, and mother plants for my nursery in India?
What are the basic infrastructure requirements for a plant nursery?
What are the basic infrastructure requirements for a plant nursery?
How do I manage pests and diseases in my plant nursery?
How do I manage pests and diseases in my plant nursery?
What are effective marketing strategies for a new plant nursery in India?
What are effective marketing strategies for a new plant nursery in India?
Is the plant nursery business profitable in India?
Is the plant nursery business profitable in India?
Are there any government schemes or subsidies available in India for starting a plant nursery?
Are there any government schemes or subsidies available in India for starting a plant nursery?
What skills are needed to run a successful plant nursery business?
What skills are needed to run a successful plant nursery business?
How should I price the plants in my nursery?
How should I price the plants in my nursery?
What are the major challenges faced when running a plant nursery in India?
What are the major challenges faced when running a plant nursery in India?