Profitable business: how to make money on dandelions in Ukraine?

With a minimum investment in cultivating dandelions per hectare (€5100) and a gross expenditure (€3450), in two years, one can get a gross profit of €8340 and a 121% annual rate of return, writes Agro-Center.

Such data was provided by Yevhen Shumeiko, head of the “Dobrotrav” company. The expert is convinced that due to technological simplicity and easy scaling, a dandelion business can have real perspectives in Ukraine. He believes that cultivation of medicinal plants, in particular, dandelions, on small areas has high potential.

Ukraine is currently actively expanding the export of herbs, which in 2017 increased by 8% (compared to 2016). In particular, exports to Asia and Poland are increasing. Last year Ukraine exported 3.7 thousand tons of herbs worth more than $7 million. Domestic consumption is 1-1.5 thousand tons.

World demand and areas under dandelions are growing (7 thousand hectares at the moment). Every year, 3500 tons of leaves and 10 thousand tons of roots are produced. In the monetary equivalent, the world market for raw dandelion is estimated at $50 million, and a market for its processed products – $400 million.

The price of dried raw dandelion in the EU is €1,5-1,9 per kg of dried leaves, €3-4 per kg of dried roots, €1,5 per kg for dried flowers.

Dandelion is used in pharmaceuticals, cosmetics, and foods such as salads, tea, coffee, snacks, chewing tobacco, dandelion wine, animal fodder.

The expert shared that in order to achieve a profitability of 121%, one needs a minimum investment of €5100 (for an area of one hectare) and €47850 (for 5 hectares).