Effect of soil water on the growth of Panax ginseng(2 years old) was investigated through pot experiment. the results were as follows. 1. Optimum soil moisture content for root yield appeared to be 65.5% of field capacity(22.1% fresh weight basis) and at 31.5%(10.7% fresh weight basis) relative growth rate was nil. 2. Under suboptimum condition of soil moisture, emergence of shoot and leaf unfolding was delayed. The rate of emergence of shoot and leaf area was also decreased while missing shoot rate was increased. 3. Root yield was positively correlated with leaf area per plant(r=0.91 **), stem diameter (r=0.73**), stem length(r=0.71 **) fresh top yield(r=0.93**) and negatively with missing shoot rate(r=-0.77**). 4. Fresh root weight showed negative correlation(r=-0.80**) with water content of root indicating that tissue is more compact when grown at sufficient water.