Kochi: With chilli exports from India increasing because og a dip in Chinese crop, spices exports is looking for a turnaround in the otherwise passive market. Chilli exports improved substantially during October which helped reduce the gap with the performance in the previous fiscal. According to a source at the state-run Spices Board, India exported a record volume of 470,520 tonne valued at Rs 5300.25 crore.
In October, exports of most of the spices showed positive trends compared to the year-ago period. These include cardamom (small), chilli, ginger, turmeric, garlic, nutmeg & mace, curry powder and spice oils and oleoresins. However, exports of major volume players like pepper and mint products continue to remain low due to the economic slowdown.
Meanwhile, the volume of spices exports continues to lag behind the performance of last fiscal by 1.3% in volume and 1.6% in value terms. But the gap has been reduced considerably from almost 5% deficit in volume and value for the first half.
The Spices Board has also scaled down the exports target for the current fiscal to 4, 35,000 tonne valued at Rs 4,500.00 crore ($1000 million) due to less demand from the key markets of the US and Europe. Shortfall in Chinese chilli crop is likely to help India improve its export performance.
Indian chilli exports fell in the first half of the current fiscal due to the high domestic prices. China displaced India in the Pakistan market and in the first half of the current fiscal, exports to Pakistan was nil as against 22,000 tonne during the first half of 2008-09.
Chilli contributed 40% (volume wise) of India's 470,520 tonne spices exports during 2008-09. Exports of chilli during April-September 2009 were at 82,000 tonne valued at Rs 510.08 crore against 109,000 tonne valued at Rs 581.17 crore of last year. Exports have decreased by 25% in volume and 12% in value for the first half of the current fiscal. Chilli exports in October 2009 was at 18,500 tonne valued Rs 125.34 crore as against 10,750 tonne valued Rs 68.13 crore during the year-ago period, up 70% in volume and 84% in rupee value. During the month, India exported 200 tonne of cardamom (small) valued Rs 14.60 crore against 50 tonne valued Rs 2.08 crore during October 2008.
Exports of spice oils and oleoresins during the month increased to 600 tonne valued Rs 62.88 crore from 500 tonne valued at Rs.Kochi: 59.10 crore in October 2008. The increase is 20% in volume and 6% in value.
During October 2009, exports of spices from India were at 41,585 tonne valued Rs 505.74 crore compared with 32,650 tonne valued Rs 463.21 crore in October 2008. This represents a 27% increase in volume and 9% in value (14% in dollar terms). Compared to September 2009, increase during October is substantial at 10% in volume and 16% in value (20% in dollar terms), board sources said.
Source : FinancialExpress