The agriculture and allied sectors in Nagaland offer good inputs for development of a host of industries which could include: Floriculture, Horticulture, Rubber plantation and allied industries, Sericulture, Tea cultivation and processing, Bamboo shoot preservation, Mushroom cultivation and processing, Piggery, Poultry, etc.

Horticulture is considered to be the most suitable farming enterprise in the state. With favorable agro-climatic and geophysical conditions, it produces a variety of organic sub-tropical & temperate fruits & vegetables.

The total area available under horticultural crops is 6299 hectares and further area of around 4000 hectares is being brought under horticulture farming.

Presently most of the produce is marketed in the local markets leading to huge volume of surplus and wastage.

The Government of India accords top priority to preservation and processing of fruits and vegetables and has introduced several schemes of assistance for Fruits & Vegetable processing.

Meat production is highly decentralized and there are no organized slaughterhouses. Meat (Beef, pork, poultry, mutton) consumption levels are high in Nagaland. However, local supplies are inadequate and there is inflow of animals from other states.

The State has high potential for diary and allied products as well as for processing of hides and skins for leather industry. Presently, scientific processing of Poultry and other meat products is lacking in the State.

There is huge scope for setting up modern abattoir and other meat processing units in the State for production and marketing of other value added diary products.

The agro-climatic condition is very favorable for the development of Sericulture in the State. There are 34 Sericulture farms, which provide technical and other supports like training of farmers, distribution of improved varieties of saplings/seedlings/supply of disease free layings (DFLs) etc. The Government has identified Eri Culture as the thrust area for development of sericulture in the State by bringing 2000 acres of land under Eri culture in the next three years. Through this the production of cocoons is targeted to yield 80 MT.

Floriculture can be taken up as a viable industry in the State. The wide variety of orchids available in the State can be exported to earn valuable foreign exchange. Many species of orchids are available in Nagaland, which has tremendous commercial potential. There is scope to grow exotic and new varieties of orchids through tissue. With the declaration of Guwahati as international Airport, cut flowers can also be exported from the State.

Nagaland is rich in forest produces such as timber, cane and bamboo, flora and fauna. Almost all the vacant fallow lands are being rapidly covered with various high value timber varieties as the people have fully realized the commercial and ecological importance of forests. Investment potential exists for setting up of farms for production and promotion of Non-wood timber products with efficient marketing network.

The North east region of India has the maximum concentration of bamboo in India owing to its climatic conditions. There is no dearth of bamboo. At present bamboo is put only to traditional use, handicrafts and paper making. Now the Government of India has announced the bamboo mission for promoting bamboo based industries in the North East Region. Machine made bamboo sticks, blades, ply, etc are some products, which has substantial potential.

There are 400 exporters in India who together export Agarbatti (or incense sticks) worth Rs.800 crores. Of late multinational companies have introduced machine made agarbatti for the India market. As a result all other leading Indian manufacturers are using machine made round bamboo sticks for making agarbatti. It is estimated that the present requirement of round bamboo sticks is 2000 tonnes per month.