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Hydroponic farming in India: Cost and setup

updated at: Mon Jul 28 2025
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Hydroponic Farming is a technique of growing plants in a water-based nutrient solution instead of soil. This technique does not require soil, and it mainly grows in water. With the right setup and techniques, hydroponic farming can be beneficial and easier for small farmers, hobbyists, and kitchen gardens. 

In this blog, learn about setting up a hydroponic farming setup, the cost, pros and cons. This is an emerging farming technique in India as it produces fresh and pest-free produce without affecting the soil and water quality. Check out the ‘Mandi price of Odisha.’

Why Hydroponics?

Hydroponics is one of the best ways to practice sustainable farming. With nutrient-rich water, hydroponics allows precise control over a plant’s environment and nutrition. It eliminates the need for soil and offers various advantages:

Water efficiency: Besides its name, hydroponic farming uses 90 per cent less water than traditional farming. It uses less water because there is minimal evaporation and recirculation. The water does not get dirty and can be used again. Also, check ‘Jardalu Mango: King of Bhagalpur.’

Higher yields: This technique uses water enriched with nutrients, resulting in higher yields per square foot and faster plant growth in a controlled environment.

Space efficient: Hydroponic farming maximises profit in confined areas, making it ideal for urban farming. Vertical farming is also possible with hydroponics, further reducing space requirements.

Pesticide-free produce: Hydroponic farming is carried out in a controlled environment and eliminates soil-borne pests and diseases, reducing or eliminating the need to use pesticides or fertilisers.  Check out ‘Mandi price of Uttarakhand.’

Year-round production: This farming does not depend upon seasons and weather. Thus, it can cultivate multiple crops throughout the year.

Types of Hydroponic farming and their cost 

  1. Deep Water culture (DWC): Plants are suspended in rafts, with their roots directly submerged in a reservoir of nutrient solution. Oxygenation is provided by air stones. 

Cost: generally, it is cheapest to set up and costs around  Rs. 50,000 to Rs. 2 lakhs. Also, check out ‘Difference between polyhouse and greenhouse.’

Best for: leafy green vegetables like spinach, basil, lettuce, and some herbs.

  1. Nutrient Film Technique (NFT): 

Pipes are used in this to flow nutrient water continuously over the plant roots. 

Cost: It is more expensive than DWC; the basic cost ranges from 1 lakh to 5 lakh for a moderate size. Check out ‘Mandi price of Manipur.’

Best for: Leafy greens, herbs and some small fruits like strawberries. 

  1. Drip system: 

In this system, nutrients are delivered to the base of each plant through a drip system. 

Cost: It costs around 2 lakhs to 10 lakhs for commercial scale. 

Best for: It is good for larger fruiting plants like tomatoes, cucumbers, and peppers. 

  1. Dutch Bucket System:

In this hydroponic system, plant plots are set up in line, and a pipe system is connected to all plants, and the nutrients flow around all the plants from one bucket and go back to that bucket again. Also, check ‘How to Grow and Sell Organic Vegetables in Local Mandis.’

Cost: Its setup can range from 2 lakhs to 8 lakhs. 

Best for: Tomatoes, cucumbers, peppers, eggplants, and vine crops.

  1. Aeroponics:

In Aeroponic farming, plants’ roots are left in the open air and nutrient water solution is provided in the form of mist at regular intervals. 

Cost: This is one of the most expensive hydroponic systems to set up due to its misting system and controls. It costs approximately 5 Lakh to 20 Lakhs.

Best for: High-value crops, root vegetables, and propagation. 

  1. Vertical Hydroponics:

In vertical hydroponics, plants are grown in vertical stacks, maximising space utilisation. Also, check ‘5 Top Medicinal Plants to Grow for Profit.’

Cost: Vertical hydroponics techniques and the degree of automation. It can range from 1 lakh to 15 lakhs. 

Best for: urban farming, leafy greens, herbs, and sometimes strawberries. 

Hydroponic farming in India

Hydroponic farming is India is gaining popularity as an sustainable alternative to traditional farming. It can be beneficial in India as water scarcity, less fertile lands, and demand of pesticide free produce in increasing. 

  • The types of hydroponics suitable in India are Deep water culture (DWC), Nutrient Film Technique (NFT), Drip system, Dutch Bucket System, vertical hydroponics, and aeroponics. Check out the ‘Mandi price of Madhya Price.’
  • For small-scale setup in terrace or balcony can cost 5,000 to 50,000.
  • For large scale set ups around 1 acre, can cost to 5 Lakh to 1 crore.

Challenges and considerations:

High initial investment: Hydroponic farming requires high investment which can be barrier for mank small scale and marginal farmers.

Technical knowledge: Hydroponics require a good understanding of plant physiology, nutrient chemistry (pH, EC), and system management. Lack of technical knowledge and experts can lead to loss of crops. Check out ‘Mandi price of Kerala.’

Water-quality: While water-efficient, the quality of water is critical. High TDS or polluted water might need expensive RO system.

Pest and disease management: airborne and water-borne diseases can still grow and spread rapidly in closed systems if not managed effectively. Also check ‘5 Crops with Low Investment and High Returns 2025.’

Maintenance: Hydroponics systems require regular monitoring, cleaning and maintenance of pumps, pipes, and sensors.

FAQs:

1. Is Hydroponic farming profitable than traditional farming?

Yes, Hydroponic farming is profitable than traditional farming, mainly for crops like leafy green vegetables, herbs, and exotic vegetables. People are now demanding pest-free fruits and vegetables and are willing to pay a desirable price. It uses less space and less time to grow a higher yield, but profits can vary depending on setup costs, market access, crop selection, management costs and time.

2. What are the advantages and disadvantages of Hydroponic Farming?

Advantages: 
Higher yields in less space. 
Faster plant growth due to optimal nutrient delivery.
Reduced pesticides and fertiliser use.
No soil-borne diseases or weeds.

Disadvantages:
High initial setup cost.
Limited crop variety compared to soil farming. 
Requires technical knowledge and constant monitoring.

3. Is a Hydroponic farming environment friendly?

Hydroponic farming is environmentally friendly, as it does not use any pesticides and fertilisers. It uses 90 per cent less water than conventional methods. Additionally, it reduces transportation-related emissions by facilitating local production close to cities. 

4. What is the cost of a Hydroponic farming setup in India?

The costs of a Hydroponic farming setup in India are approximately:

Small home setup (DIY/basic system): Rs. 15,000 – ₹50,000
Mid-scale rooftop/greenhouse farm: Rs. 5 lakh – 20 lakh
Commercial farm (fully automated): Rs. 25 lakh – Rs. 1 crore

Costs can be reduced through government subsidies and startup schemes. Long-term savings on water, pesticides, and faster harvest cycles help recover the investment over time.

5. How prevalent is hydroponic farming in India?

Hydroponic farming is not yet very prevalent in India, but it is gaining popularity among farmers due to government support, rising demand for clean produce, and increasing awareness.

Mahima

Mahima Soni

Hydroponic Farming is a technique of growing plants in a water-based nutrient solution instead of soil. This technique does not require soil, and it mainly grows in water. With the right setup and techniques, hydroponic farming can be beneficial and easier for small farmers, hobbyists, and kitchen gardens.  In this blog, learn about setting up […]

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