Blog Search

Navigate the Sandalwood Export Market from India: Tips for Success

Navigate the Sandalwood Export Market from India: Tips for Success

Key Highlights

  • The major sandalwood exporting countries are India, Vietnam and China.
  • The top sandalwood HS Codes are 44039922, 12119050 and 33012937.
  • Based on sandalwood export data, Sandalwood export from India totaled 3,652 shipments between March 2023 and February 2024 (TTM).
  • In India, it is legal to grow sandalwood on private property, but farmers are not allowed to harvest or sell the wood on their own.
  • The top sandalwood exporters in India are Ameson Group India, Naresh International, E G Intl, Namah, Kesho Ram Manohar Lal, And Shree Sai Agro Bio Plantech Pvt Ltd.

In Hindu Ayurveda, sandalwood—known in Sanskrit as "chandana"—is highly valued. The sandalwood tree, also called Srigandha, is said to be home to Lakshmi (Sri), the goddess of well-being, and the wood is used for worshiping the gods. Once a major producer of sandalwood, India now produces less of it, with Karnataka being a crucial growing region. The state tree of Karnataka, sandalwood, is also referred to as the "sandalwood city."

For centuries, sandalwood has been one of India's most valuable exports, valued for its aromatic properties and numerous uses in cosmetics, medications, and perfumes. However, there are a number of difficulties associated with exporting sandalwood from India, such as market competition, regulatory barriers and lack of updated sandalwood export data. If you are looking to tap into the lucrative sandalwood export from India, here’s a comprehensive guide to help you succeed.

Why is Sandalwood So Precious?

Sandalwood is highly valued and precious due to its unique, historical and cultural significance, slow growth, and persistent scent, which result in a high demand and a limited supply.

In Indian Sufi traditions, the disciples show their devotion by applying sandalwood paste to the grave of a revered Sufi. Devotees in the Indian Subcontinent, in particular, continue the tradition.

The sandalwood tree has a single life. When they are harvested, they are typically uprooted, killing the tree. The primary cause of sandalwood's near-extinction, especially Indian sandalwood, is that wild populations have been harvested more quickly than they have been naturally restored.

Is Sandalwood Farming Legal in India?

In India, it is legal to grow sandalwood on private property, but farmers are not allowed to harvest or sell the wood on their own; instead, the forest department buys it after it is harvested.

Due to the high demand and significant returns on investment, sandalwood farming has become increasingly popular in India, especially in Karnataka. It usually takes a sandalwood tree 15 to 20 years to reach maturity, which is a long time to grow.

It is essential to comprehend these legal requirements in order to maintain compliance with both state and federal laws when conducting sandalwood farming operations.

Legal Requirements:

  • Registration of Plantation:
  • Permits of Harvesting
  • Compliance with state regulations
  • Environmental Regulation

Sandalwood Export Market

Sandalwood (Santalum album) is a highly sought-after commodity, particularly in countries like China, UAE, Australia, and the United States. India, being home to premium-quality sandalwood, enjoys a strong position in the global market. However, due to overharvesting and strict government regulations, sandalwood exports require careful compliance.

Key Export Destinations

  • China- Major importer of sandalwood for medicinal and cosmetic use.
  • United Arab Emirates- High demand for perfume and incense production.
  • Australia-  Competes with Indian sandalwood but also imports for specific uses.
  • United States & Europe- Growing demand in the luxury fragrance and essential oil industries.

Now, explore the insights on sandalwood export from India:

Top Countries Importing Sandalwood from India

India's sandalwood reaches key markets across Asia, the Middle East, Europe, and North America. The UAE and China are the dominant demand in FY 2025–26.

Rank
Country Shipment Share Primary Use
1 United States ~26% (375 shipments) Luxury fragrance, essential oils, cosmetics
2 Hong Kong ~18% (260 shipments) Re-export hub, traditional medicine
3 United Kingdom ~13% (188 shipments) Aromatherapy, personal care products
4 United Arab Emirates ~12% (175 shipments) Incense (oud), perfumery, luxury goods
5 Vietnam ~9% (131 shipments) Wood carving, incense, re-export
6 China ~8% (116 shipments) Medicinal use, cosmetics, furniture
7 Germany ~6% (87 shipments) Pharmaceutical ingredients, fragrance
8 Australia ~4% (58 shipments) Cosmetics, specialized products
9 Japan ~3% (44 shipments) Traditional incense, religious use
10 Italy ~3% (44 shipments) Luxury perfumery ingredients

Note: Sandalwood exports from India go to 85+ countries in FY 2025–26. The United Arab Emirates and Vietnam are the fastest-growing destinations.

button

Sandalwood Export From India: 2024-25

Here is an updated table for sandalwood export from India:

Sandalwood export from India

Sandalwood Export Data

Total Shipments (TTM)

3,652

Number of sandalwood exporters in india

329

Number of Buyers

707

Growth Rate (Year-over-Year)

75%

Shipments in February 2024

198

Sequential Growth (Jan 24 - Feb 24)

0%

Year-over-Year Growth (Feb 23 - Feb 24)

0%

Major Importing Countries (India)

United States, Hong Kong, United Kingdom

Top 3 Global Exporters (Shipments)

India (25,982), Vietnam (5,703), China (1,505)

Top sandalwood hs code

44039922

12119050

33012937

As per sandalwood export data, Sandalwood exports from India totaled 3,652 shipments between March 2023 and February 2024 (TTM). 

In comparison to the previous 12 months, these exports, which were made by 329 Indian exporters to 707 buyers, represented a 75% growth rate. During this time, 198 shipments of sandalwood were exported from India in February 2024 alone. 

This represents a 0% sequential growth from January 2024 and a 0% year-over-year growth from February 2023. The United States, Hong Kong, and the United Kingdom receive the majority of India's sandalwood exports. However, China, Vietnam, and India are the top three exporters of sandalwood.

China ranks third with 1,505 shipments, Vietnam with 5,703 shipments, and India with 25,982 shipments as the world's top exporter of sandalwood. Please refer to the Government export policy for sandalwood.

Now analyze some quick insights on red sandalwood export from India

Red Sandalwood Export From India: All You Need to Know

Red sandalwood export from India are limited and subject to permits, but they are not completely forbidden, particularly when the wood comes from farmed land. 

The Directorate of Revenue Intelligence (DRI), in keeping with its mission to protect the country's natural heritage, has recovered 14.63 MT of Red Sanders, valued at an estimated Rs 11.70 crore on the international market, from a shipment that was stuffed at ICD Sabarmati and intended for export to Sharjah, United Arab Emirates.

During its nationwide operations in fiscal years 2021–22 and 2020–21, DRI seized 95 and 96 MT of Red Sanders, respectively, valued at over Rs. 150 crore on the global market. Along with covering a cargo of sand, cement chips, gravel, and other household items, DRI confiscated 12.20 MT of Red Sanders wood in March 2022 from a container in CFS, Krishnapatnam, that was being smuggled to Malaysia. Source: pib.gov.in

However, According to Red sandalwood wood export data, India exported 626 shipments of Red Sandal from Feb 2023 to Jan 2024 (TTM). These exports, which were made to 58 buyers by 13 Indian exporters, represented a 279% increase over the previous 12 months. To know the updated statistics on red sandalwood export from India or sandalwood exporters in India, visit our platform.

Why is Lal Chandan so Expensive?

Red sandalwood, or "Lal chandan," is costly because it is scarce, in high demand for a variety of applications (such as woodworking, cosmetics, and traditional medicine), and threatened by illegal harvesting and smuggling.

But you can not grow these trees separately, and you need permission from the state government to cut them down and sell the wood. In order to harvest sandalwood, the entire tree is cut down instead of just the portion closest to the ground because it is more valuable than other types of wood.

Now, explore the list of top sandalwood exporting countries or sandalwood exporters in India:

Top Sandalwood Exporting Countries

According to sandalwood exporter data, China, Vietnam, and India are the top exporters of sandalwood. 

Here's a more detailed breakdown for sandalwood exporting countries:

  • India: India is a major supplier of sandalwood, with a long history in the trade. 
  • Vietnam: Vietnam is another significant exporter of sandalwood. 
  • China: China also plays a role in the global sandalwood trade.

Although the top three are well-known, sandalwood is also grown in other nations, such as Australia and some in Southeast Asia and the Pacific, though some have had difficulties with unsustainable harvesting. 

Also, if you require the most recent data on sandalwood export from India, global sandalwood export data, sandalwood exporters in India, or sandalwood exporting countries, connect with the Seair Exim data-driven platform. 

Regulations and Compliance for Sandalwood Export

To safeguard its natural resources, the Indian government has imposed stringent restrictions on the export of sandalwood. Here are some important points to note:

Legal Framework

  • Government Licensing: Sandalwood can only be exported by authorized government agencies and licensed traders.
  • CITES Compliance: Sandalwood needs special licenses since it is protected by the Convention on International Trade in Endangered Species (CITES).
  • Approval: With Forest Department approval, traders are required to lawfully purchase sandalwood from approved private growers or government auctions.
  • Export Duty & Restrictions: The amount and kind of sandalwood that can be exported are subject to government regulations.

Documents Required for Sandalwood Export

  1. Import-Export Code (IEC) from DGFT.
  2. CITES permit for international trade.
  3. Phytosanitary Certificate from the Plant Quarantine Department.
  4. Certificate of Origin from authorized agencies.
  5. Bill of Lading and Packing List.

How to Find Sandalwood Buyers Globally?

To find possible sandalwood buyers and sandalwood exporters in India, do in-depth market research. Partner with a reputed market research platform. Seair Exim Solutions is a well-known platform that offers the most recent information on red sandalwood export from India, including a list of red sandalwood exporters and buyers sandalwood hs code and much more. 

Along with this, our platform provides insights for 100+ nations, including the USA, Vietnam, the Philippines, Turkey, Brazil, etc.

Note: Make sure the sandalwood you buy comes from authorized sources, like government auctions or privately owned plantations that have the required licenses.

button

Final Thoughts

So, It takes careful planning, adherence to the law, and market expertise to successfully navigate the Indian sandalwood export market. The global market for sandalwood is anticipated to expand dramatically due to the growing demand for natural products. India's standing as a top exporter of premium sandalwood can be further enhanced by ethical sourcing and sustainable farming methods. Through appropriate measures and a focus on sustainability, exporters can capitalize on this extremely lucrative sector while protecting this valuable natural resource for coming generations.

Are You Ready to Start Your Sandalwood Export Business?

With the right strategy and adherence to regulations, you can establish a successful sandalwood export business from India. Research, plan, gather up-to-date sandalwood export data and execute carefully to make your mark in the global market. However, if you still have any confusion regarding red sandalwood export from India or sandalwood exporters in India, connect with our dedicated team of experts and schedule a free live demo.

FAQ's

1. Is it legal to export sandalwood from India?

In India it is legal to grow sandalwood privately, but farmers are not allowed to harvest or sell the wood on their own; instead, the forest department buys it after it is harvested.

2. Who is the biggest exporter of sandalwood?

According to sandalwood exporters data, India is the largest exporter, followed by China and Vietnam.

3. Which country imports sandalwood from India?

Based on sandalwood import data, the main destinations for India's sandalwood exports are the US, Hong Kong, and UK.

4. Who are the buyers of sandalwood?

According to sandalwood buyers statistics, the top buyers of sandalwood are China, India and Vietnam.

5. Do we need a license to grow sandalwood?

Yes, you need a license to grow sandalwood and traders need several documents and insights, such as sandalwood export data, sandalwood HS Codes and much more.

6. Which country is the largest importer of sandalwood?

With a strong demand for sandalwood's therapeutic and cosmetic applications, China is currently the world's biggest importer.


Sandalwood HS Code

Sandalwood HS Code: 33012937

Sandalwood HS Code: 12119050

Sandalwood HS Code: 44039922

Sandalwood export from India

Top sandalwood export from India to United Kingdom

Top sandalwood export from India to United States

  • Seair Exim
  • 24-Mar-2025

Leave a Comment

Seair is proud to have a loyal customer base from big brands.

We have successfully served many reputable clients for Import-Export Data Information Services. Here are some of our clients:

Get a free Import-Export data demonstrative report on desired products.

We don’t offer any assistance over buying or selling any products.

Thank You

Big thanks to showing your interest in SEAIR Exim Solutions. We’ve currently received your request for data information. We will return on the same query in a short span of time.

Copyright © 2009 - 2026 www.seair.co.in. All Rights Reserved.