The natural insecticides, fungicides and bio-pesticides made out of neem have many advantages. Research studies indicate that they are not harmful to humans or animals. The pests will not develop resistance over generations while the beneficial insects like butterflies, ladybugs, etc are spared. The soil is enriched, and neem extracts leave no residue in the environment. Neem's "soft" pesticide character improves the lives of impoverished farmers throughout the tropical range of the neem tree.
According to the World Health Organization, misuse or overuse of chemical pesticides result in poisoning of about 500,000 people resulting about a million illnesses and about 20,000 deaths in the Third World alone. Substituting crude neem extracts for expensive chemical controls saves both money and lives. In developing countries, most of the earnings of farmers are spent on crop protection chemicals. These results in a vicious cycle of continued debt and thereby the poverty, ill health and environmental degradation.