The Hindu Business Line : Value-added spices export surges

Negative impact
Availability of whole spices such as chilli, coriander, cumin, celery etc. at low prices from other origins has negatively affected their exports from India, export sources said.

Kochi , March 26

The upsurge in the exports of value added spices during the current fiscal has raised its share, for the first time, to 50 per cent of the total forex earnings from the shipment of spices.

The exports have increased by Rs 7.97 crore to Rs 2,033 crore from Rs 2,025 crore in the same period last fiscal. However, in terms of volume, the shipments have dropped by 17,153 tonne to 2,90,593 tonne from 3,07,746 tonne in April-February 2004-05, the Spices Board sources told Business Line.

Export earnings

The shipments of valued added spices such as, curry powder, paste and condiments, mint products and spice oils and oleoresins during April-February 2005-06 stood at 22,525 tonne valued at Rs 1,016.83 crore as against 20,981 tonne worth Rs 869.82 crore, registering an increase of Rs 147.01 crore.

Thus, the contribution of value added spices has gone up to 50 per cent of the total export earnings, they said.

Added to this, turmeric and garlic exports had also shown a tangible increase.

Consistent growth in the shipments of value-added spices would raise the spices exports in terms value. The country has been concentrating so far on exporting whole spices. Availability of whole spices such as chilly, coriander, cumin, celery etc. at low prices from other origins has negatively affected their exports from India, export sources said.

Chillis down

Shipments of chilli have dropped by about 25,000 tonnes this year. The reasons attributed are non-availability of exportable surplus while increased supply from other origins.

In the world chilli market, China is reported to have a better production in both its April-May and October-January crop. This phenomenon has led to the decline in Indian export of chilli.

Similarly, production of other spices, which had shown a good export performance last fiscal, is said to be good in other origins this year, according to sources at the All India Spices Exporters Forum.

However, in turmeric India continues to maintain a monopoly and, hence, its shipments in terms of quantity had gone up this year to 42,500 tonne valued at Rs 139.27 crore from 38,847 tonne worth Rs 142.95 crore in the same period last fiscal, they said.

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