Blog / Agri Business Guides: Cost, Subsidy & Income (2026)

How to Start Plant Nursery Business: ₹8 Lakh Cost & Profit

The basic Nursery (1 acre) costs ₹8 lakh. A nursery to raise fruit and vegetable seedlings. 50% of cost norm (MIDH) — up to ₹4 lakh support; your share is about ₹80

October 1, 2026 · 5 min read

Nursery (1 acre) for ₹8 lakh, about ₹4 lakh subsidy

Nursery (1 acre) · Basic unit

₹8 lakhto start

1 acreCapacity

50%Subsidy

~2.4 yrsPayback

In 60 words

The basic Nursery (1 acre) costs ₹8 lakh. A nursery to raise fruit and vegetable seedlings. 50% of cost norm (MIDH) — up to ₹4 lakh support; your share is about ₹80 thousand. Year-3 net profit ~16% of sales is expected, but the bank margin is thin — fix buyers and prices first.

Source: MSME-DI Chennai – Project Report on Fruit Nursery · Utkrishi Team · 01-10-2026

01Where will the money come from?

Total cost ₹8 lakh

40%50%

₹80 thousandYour share10%

₹3.2 lakhBank loan40%

₹4 lakhSubsidy50%

From your pocket only ₹80 thousand — the subsidy is credited to your loan account.

02Income over 5 years

Yearly sales (blue bar) · Net profit (green)

Year 1

₹6.3 lakh

Loss ₹1.2 lakh

Year 2

₹9.7 lakh

Profit ₹40 thousand

Year 3

₹13.4 lakh

Profit ₹2.2 lakh

Year 4

₹13.8 lakh

Profit ₹2.3 lakh

Year 5

₹14.2 lakh

Profit ₹2.3 lakh

net profit ~16% of sales · payback ~2.4 years · Includes interest, depreciation and a 5% yearly rise in costs.

Note: by bank standards this model has a thin margin. Fix buyers, prices and costs first.

035 steps to start

Get trainedLearn the work, find buyers
Prepare the siteShed/room, power, water
Get a DPR madeProject report as the bank needs it
Apply for loan + subsidy50% of cost norm (MIDH)
Produce and sellIncome starts from year 1

Watch the video: Nursery (1 acre)

Watch on YouTube @utkrishi

04Who is it right for?

Owners of 1 acre of land with water

Farmers who know horticulture

People who can get government or FPO orders

053 mistakes that cause losses

Not planning for the sales seasonthe numbers are tight

Not checking mother plant and seed quality

Not getting accreditation or a licence

06Frequently asked questions

Who buys nursery plants?

Farmers, government planting drives and FPOs — mostly in the planting season.

What government support is there for the Nursery (1 acre)?

50% of cost norm, linked to a bank loan, back-ended.

How much can the Nursery (1 acre) earn?

Year-3 sales are about ₹13.4 lakh with net profit ~16% of sales; payback ~2.4 years.

GET THE GUIDE

Plant Nursery: complete guide PDF

Cost, machines, licences, subsidy and bank-loan steps — in one PDF, on WhatsApp.

This guide ₹11 Polyhouse Farming Pack — 3 guides ₹29

This pack has: Polyhouse Farming · Gerbera Flower Farming · Plant Nursery

After payment, the PDF comes to the same WhatsApp number.

Nursery (1 acre) — Want to start?

Tell us your district and budget — an expert will suggest the next step for free.

Chat on WhatsApp +91 85305 77758 Full details →

Learn first: ₹99 masterclass · Instagram · Facebook · YouTube

Source: MSME-DI Chennai – Project Report on Fruit Nursery · MIDH Guidelines 2025
Last checked: 01-10-2026. Figures are based on government model reports and are indicative; get fresh quotes and local prices before the DPR. The bank decides the loan/subsidy — we help you prepare. Depends on the scheme continuing.

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