Leh: Seabuckthorn is one of the most important plant species of the Trans-Himalayan region, with remarkable scope to become a plant of great economic importance. It has tremendous potential and it is called the wonder plant and the golden bush.
A storehouse of innumerable health-promoting substances, this plant has assumed immense significance for the past decade and so. Despite being more than 70 per cent of the seabuckthorn is in Ladakh covering around 11,500 ha of land, it is used to a limited extent by the locals.
Dr Tsering Stobdan, a scientist, Defence Institute of High Altitude Research (DIHAR) says, "Currently, 1,000 metric tons of seabuckthorn have been exported from Ladakh, with the majority being raw materials rather than value-added products. It's crucial that we focus on value addition within Ladakh itself, as 99% of the exports are raw materials, and only 1% are finished products."
This wild fruit was not harvested till recently in Ladakh because of the lack of knowledge of its market, lack of entrepreneurial ventures in its processing, lack of investment and lack of Government interest in developing it into a big industry. During the last two decades, it has attracted the attention of many researchers from India and other parts of the world.
Giving the reasons why seabuckthorn was not developed commercially in Ladakh earlier, Dr Tsering Stobdan says, "The work on seabuckthorn started in 1991 but till recently, we were into processing only, to collect the berry, process it and send outside. There was no initiative from Ladakh to make finished products. Secondly, earlier there were hardly any entrepreneurs because government jobs were available easily. Earlier, seabuckthorn was considered a forest plant and there were no incentives. Also, a lot of government restrictions were on it that is why seabuckthorn was not developed properly in Ladakh. For the last five-six years, a lot of entrepreneurs in Ladakh are working on it because a lot of avenues are closed for them and youth are coming into the business."
To explore the potential of seabuckthorn in Ladakh, DIHAR in collaboration with Horticulture Department has prepared a policy document in 2017 for Government of India. He believes that policy helps entrepreneurs and farmers to get the advantage of incentives. Though the policy was made only for Ladakh, now it is implemented in five states in India.
"Earlier in 2017, we prepared a policy document, ‘Value chain analysis of Seacbuckthorn' (Hippophae rhamnoides L.) in Leh Ladakh for Government of India. It was a collaboration of both DIHAR and Horticulture Department. If we want to see seabuckthorn developing in Ladakh, then we have to declare Ladakh as a seabuckthorn hub. Almost 70 per cent of the seabuckthorn of India is found in Ladakh. Secondly, if we want to develop it further we have to declare it as a horticulture crop. Within four months Government of India have declared it as a horticulture activity. Earlier, whatever is related to Seabuckthorn, it comes under Forest Department."
Now that it is a horticulture activity and a policy is there in place, the government is providing a lot of incentives to the entrepreneurs and the farmers.
"Now if we want to open a processing unit, there are incentives for that, the minimum estimated incentive is 25 lacs. At present, the government is providing 13 lacs subsidy to all entrepreneurs which is the basic. If one wants to open a big processing unit, government is providing subsidy upto Rs 4 crores. Besides, there are incentives for plantation and research as well. The document is made for Ladakh but the government is implementing the same policy in five states including Himachal Pradesh, Arunachal Pradesh, Uttrakhand, Sikkim and J&K. In all these five states it is looked as a horticulture activity now”, added Dr Stobdan.
"Initially, a lot of people who were involved in this business were into pulping and they sent the raw materials outside Ladakh. But gradually our entrepreneurs are making finished products in Ladakh which is good for the economy and profit making. Income generation will increase many fold if value added products are also manufactured in the region,” said Dr Stobdan.
Dr Stobdan added, "At present, a lot of entrepreneurs from Ladakh are making world class product. Now, we have started making value addition of the products in Ladakh itself which will increase income generation many fold. Initially, we were dependent on others, if their demand goes up, our demand also goes up, if their goes down our demand also goes down which affects us directly. Now, that we are making the value-added products this demand and supply problem is not there anymore."
Centre of Excellence establish at Nimmo in Leh
Government of India has sanctioned a Centre of Excellence, under MIDH in Ladakh at Nimmo where in the future whatever best practices related to seabuckthorn can be demonstrated there.
Tsewang Phuntosg, Chief Horticulture Officer, Leh says, "In 2018, seabuckthorn was included in the MIDH (Mission for Integrated Development of Horticulture) scheme, a centrally sponsored initiative. As a model, we developed the Centre of Excellence at Nimmo, utilising an 8-kanal plot of land."
"Though sanctioned in 2019-20, work began in 2021-22, focusing on activities such as demonstration and nursery development. We also established a processing unit under MIDH, worth Rs. 789.33 lakhs, and a quality control laboratory is currently underway. Primary processing of seabuckthorn berries is carried out in Ladakh, and components like pulp, seed, and hull are sold to firms outside the region for further value addition," added Phuntosg.
"Additionally, we are producing value-added products as well and have installed a dryer specifically for seabuckthorn. To support exports, we have branded our products under 'Ladakh Harvest’ in collaboration with UT administration, LAHDC Leh and Horticulture department. Many of the products from the Nimmo plant, such as seabuckthorn juice, are available in various shops.
"The Centre serves as a knowledge hub, hosting exposure tours for farmers, students, and colleges. While I am hopeful about its progress, the development has not occurred at the pace it should. One of the reasons is that seabuckthorn was initially regarded as a weed and unwanted plant, despite its nitrogen-fixing properties and numerous other benefits," elaborated Phuntosg.
Dr Stobdan said, "Our goal is to provide high-yielding seabuckthorn plants, selected in Ladakh, to the Centre of Excellence. There, these plants are further developed and distributed on a larger scale to benefit the community. Three species of seabuckthorn are found in Ladakh, with global emphasis on the Rhamnoides species. Our focus needs to be on nursery development to support its growth and propagation."
Seacbuckthorn can transform the economy of Ladakh
Seabuckthorn cultivation can be the future generation eco-friendly crop if supported by proper scientific research and technological intervention. This plant can also change the socio-economic scenario of local farmers and generate employment opportunities for the local youths.
According to Dr Stobdan, "We did a study in 2017 and found out that Seabuckthorn has the potential to surpass the economy of tourism in Ladakh if we cultivate and plant seabuckthorn systematically on 25,000 hectares of land. At present, 11,500 hectares area is under seabuckthorn cultivation and now that we have been witnessing huge influx of tourists in the recent years, we can't say if it can surpass the economy generated through tourism.It requires community-based large plantation to cultivate seabuckthorn."
Deldan Namgyal, an entrepreneur says, "One litre of seabuckthorn berry oil costs around Rs 20,000 to Rs 22,000 and the seabuckthorn seed oil costs around Rs.28,000. The future of seabuckthorn business in Ladakh is bright for the entrepreneurs and each year we are growing more than 70-80 percent."
Deldan said, "I started Ladakh Essentials in 2021, seeing the vast potential of seabuckthorn in Ladakh. There's a huge opportunity here, but traditionally, most entrepreneurs focused on pulping and juice, with no by-products from seabuckthorn. While there are over 30 entrepreneurs working with seabuckthorn, the majority are involved in pulping and selling in bulk."
"Only three to four entrepreneurs are currently producing finished, value-added products. Most of our customers are based outside Ladakh, with high demand from Delhi, Mumbai, and South India. In terms of marketing, we follow two strategies: one focuses on finished, value-added products that we package and sell, while the other involves selling in bulk," added Deldan.
Talking about the source, mostly the harvester goes in the forest to collect the berry and segregate and then later we take it to the unit and segregate it ,he added.
Speaking about the challenges, he said, "The beginning was tough, primarily due to the high investment required. The oil extraction machine we use—a supercritical CO2 extractor—is quite expensive. Plus, Ladakh's unique climate, including its temperature and pressure, is very different from the plains. I asked people already in the business why they weren’t extracting oil. Many said the machine wouldn’t work in Ladakh, but no one was entirely sure. So, I decided to go to Mumbai, where I tested the extraction process — and it worked well. However, the concern remained: what if the machine didn't function in Ladakh? For an entire year, I conducted trials, experimenting with ways to improve the yield.”
Further, Deldan said, "These days, the opportunities are promising, especially with the government offering numerous incentives. I currently employ 20-30 people, but I believe more entrepreneurs should step forward. Right now, the competition is less. Ladakh is the only region in India where seabuckthorn grows abundantly."
"Presently, India imports most of its seabuckthorn products from China, which is our main competitor. So, why not leverage our own resources, which are superior in quality? The seabuckthorn found in Ladakh, Tibetana, has higher oil content and greater nutritional value compared to others. Seabuckthorn oil is in high demand across various industries, including nutraceuticals and cosmetics, where it's purchased in bulk." added Deldan.
He feels that "since seabuckthorn comes under 'One District- One Product', government should create awareness about it. "Though, it is a GI tag product which only the Ladakhis are aware of it but not the outsiders. We have not seen any development regarding this," Deldan concluded.
