India severing trade ties with Pakistan has brought cheer for Jammu and Kashmir’s walnut industry.

On May 2, the Central government announced a blanket ban on the import of goods from Pakistan and shut the Attari-Wagah trade route. Among the affected commodities were dry fruits, including Afghan walnuts, which were being imported into India via Pakistan.

While the move dealt a blow to cross-border commerce, it has helped walnut traders in the Kashmir Valley, who have seen a sudden rise in demand and prices for locally grown produce.

“Earlier, the market used to be flooded with cheaper Afghan walnuts, which had driven down prices of local produce. But with imports from Afghanistan now halted, demand for local produce has begun picking up” said Haji Bahadur Khan, president of Kashmir Walnut Growers Association. He said that the prices had also gone up by 15 to 20 percent. 

“ For the last several years, we have been demanding a cap on the walnut exports”, Khan said. 

In 2023, India emerged as the largest importer of walnuts without shells, fresh or dried, from Afghanistan, importing a staggering 1,900,960 kilograms valued at approximately $9.59 million.

A beleaguered industry 

“The walnut industry in the Valley is under duress as cheaper produce from countries like California, China, Afghanistan and Chile continues to flood the markets”, Khan said. 

Declining demand for local produce has prompted many farmers to shift to other forms of agriculture, leading to a steady reduction in the area under walnut cultivation—from 47,004 hectares in 2017–18 to 46,118 hectares in 2018–19, 46,175 hectares in 2019–20, 46,134 hectares in 2020–21, and 46,197 hectares in 2021–22.

Official data also indicates a consistent decline in walnut exports from Kashmir in recent years, reflecting broader challenges facing the region’s walnut industry.

In 2017–18, Kashmir exported around 2.75 lakh metric tonnes of walnuts. The following year saw a slight increase to 2.78 lakh metric tonnes. However, exports dipped significantly to 2.26 lakh metric tonnes in 2019–20. While there was a modest recovery to 2.58 lakh metric tonnes in 2020–21, the figures remained below previous highs, with 2.67 lakh metric tonnes exported in 2021–22.

Jammu and Kashmir accounts for 90 percent of India’s total walnut production and the produce is entirely organic. 

“For decades, walnut farmers in the region have avoided using chemical fertilizers. The harvest is 100 percent organic,” Khan said.

He said that despite this unique advantage, farmers neither receive fair prices nor any support from the government to compete with the cheaper imports. 

“Shutting down of Attari-Wagah border has given farmers a temporary relief”, Khan added. 

Published on May 28, 2025