To investigate the potential of biochar as a propagation mix component, three experiments were conducted. A phytotoxicity test was conducted with water extract of sugarcane bagasse biochar (SBB), SBB mixes (10%, 30%, 50%, and 70% SBB with 30% perlite (P) and the rest being peat moss (PM); by vol.), mixed hardwood biochar (HB) mixes (10%, 30%, 50%, 70% and 100% HB with PM; by vol.), PM, P, 70%PM:30%P, and a commercial propagation mix (exp. 1). None of the mixes caused phytotoxicity. The same biochar mixes (except 100% HB) were used for the seedling growth test (exp. 2). Both tomato and basil seedlings grown in all of the biochar mixes (except 50% HB) had significantly lower fresh weight, dry weight and growth index (GI) compared to a commercial propagation mix. Six seedlings from each biochar mix were transplanted into a commercial growing mix and grown for four weeks (exp. 3). Tomato seedlings from all biochar mixes (except 30% SBB) had similar SPAD (Soil-Plant Analyses Development) and GI to the control. Basil seedlings from all HB mixes, 70% and 100% SBB mixes had similar GI to the control. In conclusion, 70% HB could be amended with PM for tomato and basil seedling production without negative effects on plant biomass.