Great business opportunities await neem, India's wonder tree, thanks to growing international patronage for organic agriculture and natural health care products across the globe. Neem-based fertilisers as well as other products are all set to emerge as a major foreign exchange spinner for the country with the growing awareness of the multifaceted properties of neem in agricultural, health and cosmetic applications, according to Pramila Thakkar, secretary general of “Neem 2002”, the fourth world conference on neem to be hosted by India next month in Mumbai.

According to Thakkar India, the largest producer of neem accounting for as much as half of the world's neem tree population, already has a leadership in neem products which are exported across the globe.

“The size of the Indian neem industry is currently only Rs 40 crore to Rs 50 crore of which exports accounted for about 50 per cent,” she said, stating further that with the neem market showing a healthy growth in the European and US markets of late, the size of the industry was expected to grow manifold even up to Rs 4,000 crore to Rs 5,000 crore in the next few years.

"Neem has too strong a case for itself to need any artificial props. The need is just to adopt it, propagate it and it will carve out a niche for itself," she said.

In India, presently there are about five serious players in the neem industry including Godrej Agrovet, EID Parry and PJ Margo Pvt Ltd. There are also a number of small players manufacturing and marketing neem-based healthcare and cosmetic products.

According to Dr S S Pillai, vice-president (bio-products), EID Parry, the lack of awareness about the tremendous business opportunities in the case of neem products is a major hurdle in the march ahead. "The greatest scope is for neem-based fertiliser enhancing agents which could increase the efficiency of chemical fertilisers like urea substantially," he said, adding that once the government allowed marketing of urea coated with these enhancing agents the present production of around 20 million tonnes of urea could be brought down significantly.

Non-toxic pesticides based on neem is another product which could emerge as a major forex spinner, said Dr B N Vyas, general programme secretary of 'Neem 2002', which is expected to bring together experts, industrialists and government officials from as many as 30 countries for interactive discussions on the current status and prospects of the neem industry.

"There is also great scope for export of products like neem oil and neem powder for a variety of healthcare and cosmetic applications," Vyas said. He further added that the conference was expected to chalk out a roadmap for the future of neem industry.

According to Dr Pillai, it was encouraging that some states like Tamil Nadu had decided to promote neem cultivation as part of its wasteland development plans.

India has the largest neem raw material base in the world and there was an urgent need to understand and explore the true economic potential of this great natural asset, according to Thakkar.

"We are certain that a proper interaction between science, business and policy makers as planned at 'Neem 2002' will lead to a second generation of technologically sophisticated neem products that the world markets are awaiting," she said.

There are about 20 million neem trees in India. Under favourable conditions fresh fruit yield per fully grown tree is about 50 kg per year. If 50 per cent of this yield is accessible and tapped, the total annual neem seed production may well reach the level of five lakh tonnes. But the present level of collection is just about 25 to 30 per cent of the total yield.

Since every part of the neem tree including leaves, bark, and seeds has a multiplicity of vital and valuable uses its total potential in fields as diverse as agriculture, forestry, agro forestry, pesticides, fertilisers, birth control, environmental upgradation, medicine, rural industries and wasteland development is immense, according to these experts.

"While the tea tree of Australia, Gingko Biloba of China, Ginseng of Korea and Aloe Vera of Mexico have gained international acceptance, the neem of India can emerge as the biggest player of them all with appropriate promotional and techno-commercial support from authorities in this country," Thakkar added.