AP exports $600-mn spices in 2021: Report
Spice exporters need to boost the prominence of ‘Brand India’ to better cater to global markets
image for illustrative purpose
Vijayawada: Andhra Pradesh, India's second-largest exporter of spices, exported $600 million worth of spices in FY21. The State, which usually exports over 40 per cent of chillies, is also the largest exporter and producer of chilli in India. It has produced over 8.36 lakh tonne in FY21.
Spice exports from this region have been growing at a CAGR of 7 per cent over the past five years till FY21. Given that Covid-19 has already opened new opportunities, Andhra's spice exporters need to boost the prominence of 'Brand India' globally to better cater to international markets, according to a report released by Drip Capital, Inc, a global trade finance company.
It recently released its latest commodity analysis on India's spice exports. From analyzing proprietary and publicly available data to understanding several emerging market trends within the industry, the report discussed different spices exported by India.
India is the largest exporter of spices globally. Interestingly, Gujarat, Andhra Pradesh, and Kerala alone account for almost 50 per cent of the country's total spices exports. But, AP is also the second-largest exporter of spices from India and exported $600 million worth of spices in FY21. Notably, spice exports from this region have been growing at a CAGR of 7 per cent over last five years till FY21.
Given that Covid-19 has fuelled a new wave of appreciation for Ayurveda and ethnic Indian food, the demand for convenience and the desire of people to experiment with different flavours, Andhra's spice exporters can leverage opportunities from these emerging trends and continue to stay on top of the game. Pushkar Mukewar, CEO/Founder of Drip Capital, said, "Staying updated on the latest market developments, especially on how consumer tastes and preferences pivoted since the pandemic, is vital to ensuring Andhra's chilli continues to build its own market space."
He said rather than only promoting the direct product, spice traders can also concentrate on the level of spice or heat derived from these chillies. This will help repackage our products and strengthen 'Brand India' globally to better cater to international markets."
Apart from Andhra's famous Guntur chillies, the State also produces ginger, turmeric, coriander seeds and tamarind.
