Ginseng is a very profitable business. Although it takes some time for the Ginseng plant to fully mature, when the harvest time comes, you can make a lot of money out of this business.
As of now, Ginseng seed is sold for around $150-200 per kilo. Someone with a half-acre of Ginseng can make a profit of around $100,000 at the end of the 5th year.
What Drives People to Produce Ginseng?
Due to the high-profit margin achieved by the ginseng plant production in recent years, people’s interest in the Ginseng plant is growing daily and it is becoming a very attractive investment opportunity.
The producers of Ginseng make big profits at the end of an average of 5 years and only with a small acre of land.
Because mature Ginseng roots are becoming increasingly expensive, many Ginseng producers are investing in this time-consuming but worthwhile job.
The potential profit is quite high from ginseng production because it takes so long to grow, and Ginseng can be processed and used in many forms. Currently, quality root prices vary between $300-$500 per pound.
How Can I Sell Ginseng roots?
There are many ways to sell Ginseng roots. One of them is to sell in bulk to existing buyers. This sale option allows you to save time finding individual buyers, and sell in bulk. Ginseng farmers prefer this method, even if they may get a slightly lower profit.
Wholesale is also easier if you wish to sell your Ginseng overseas. Ginseng roots collected are sold abroad through distribution companies. This incurs extra costs, but the time saved on finding individuals abroad and posting the Ginseng separately, the cost more than pays for itself in terms of time and resource expenditure.
Of course, this sales method also has some interstate customs obligations. Ginseng should be packed carefully, and be accompanied by the correct licensing and distribution paperwork, which varies from state to state and country to country – it is always best to do your research first.
Bulk selling and overseas transportation should be done by professionals who are used to dealing with border control, but if you wish to avoid all this, you can also sell to Ginseng brokers.
These brokers buy Ginseng from you in bulk and then sell them to another 3rd-party buyer as if they were a producer, and usually, they will cover all the handling and shipping fees and processes – but not always so check with the Broker first.
This method will decrease profit margins further as the Broker takes a cut, but it is still very profitable and feasible and is preferred by small to medium-sized Ginseng cultivation businesses.
How Much Does it Cost to Start a Ginseng Business?
You don’t need large sums of money to start your ginseng business. With the wild simulation method, with a capital of $1000, you can achieve good profits after 3-4 years with half an acre of land.
The most challenging part of Ginseng growing is that the Ginseng plant does not ripen easily and can take years to fully mature.
Since some inexperienced entrepreneurs do not take this into consideration, they do not get the results they expect and quit the business because they expected a fast turnover.
With the wild-simulation breeding method, you can inseminate 20 pounds of Ginseng per acre. After a 5-year growth expectation, you can make a profit of around $50,000.
How Much is My Ginseng Worth?
In recent years, the price of Ginseng roots has seen a noticeable increase. For this reason, Ginseng production has grown and so has the selling and transportation infrastructure that comes along with selling Ginseng.
Today, Ginseng roots are sold at a price of $300-$500 per pound. Since the demand for the Ginseng plant has been increasing every year, the profit rate obtained from this plant also increases.
How Much Can You Make Off an Acre of Ginseng?
You can make a profit of $50,000 per acre from Ginseng production. Ginseng production has become so profitable in recent years that some Ginseng producers protect their plots with security cameras or guard dogs.
Ginseng theft is becoming popular due to the high demand for the plant. Many manufacturers suffer from this issue and resort to different methods to protect their products.
When Can You Sell Ginseng?
The Ginseng plant will mature 4-5 years after planting and will be ready for harvest. During this time, you can buy Ginseng seedlings and rooters to speed up the process, but it isn’t recommended for a quality harvest.
Ginseng is a very difficult plant to grow but worth the effort. After ripening, you can continue your Ginseng production continuously by planting new Ginseng seeds for the next season and maintaining sustainable harvesting.
Is Farming Ginseng Profitable?
Ginseng farming is a very profitable business, especially in recent years. This business earns high profits with the increase in Ginseng prices and is preferred by many farmers today.
Ginseng farming, where you can make a profit of around $50,000 at the end of 5-6 years in a half-acre plot of land, is a very profitable business.
The hardest part of this job is the waiting time, the plants themselves need very little care or intervention to grow well. The maturation time of a Ginseng plant is about 4-5 years.
The point to be noted here is that ginseng production and cultivation is not something to give up on early and to wait patiently for your crop to grow. In the end, high profits will pay off for the long waiting time and effort.
Can You Grow and Harvest Ginseng Legally?
Growing and harvesting Ginseng plants can only be done under state law. It is illegal to breed this herb without any breeder’s license if you intend to sell it.
In some countries, Ginseng cultivation is carried out on lands allocated by the state. The biggest reason for these legal regulations is to protect the plant from unconscientious production and the endangerment of the Ginseng species in the wild.
For this reason, wild Ginseng are protected by the state, and harvesting permission is given on certain dates of the year within the scope of legal regulations.