Pot culture experiment was conducted in red loamy soil to evaluate the growth response and nutrient uptake of Azadirachta indica and Eucalyptus tereticornis grown in non-amended and sludge amended soil. Sludge application enhanced growth and biomass production of A. indica compared to E. tereticornis. Combined inoculants resulted in a significant increase in plant growth and nutrient uptake. Inoculant effectiveness was higher in tree species grown in sludge-amended soil The present experiment clearly indicates the feasibility of using inoculation as suitable for conventional fertilizers in the establishment of forest trees.