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Steady growth in value-added spices export

G.K. Nair

KOCHI, Aug. 9

EXPORTS of value-added spices have shown a steady growth, while that of pepper, which used to occupy the top slot in the Indian spices exports, continues to decline.

Exports of pepper during January- July 2001 stood at an estimated 13,500 tonnes as against 16,800 tonnes during the same period last year. During April-June a total quantity of 7,700 tonnes valued at Rs 82.40 crore was exported as against 6,198 tonnes wo rth Rs 135.07 crore. The unit value during this period per kg was Rs 107.01 (Rs 217.92 per kg). The drop in unit value had led to low value realisation during the current fiscal, Mr Kishor Shamji, President India Pepper and Spice Trade Association, told Business Line.

He said selling pressure in the international market from Indonesia and Brazil would push the prices further down. Indonesia had brought down the price to $1,450 a tonne from $1,600 on Thursday while Brazil was offering at $1,350 a tonne. For the year 20 00 shipments Indonesia and Brazil were offering at $1,200 and $1,100 respectively, he said.

There were some commitments for August which might improve the prices marginally but from September the prices were expected to fall in line with the international prices.

Thus, the position of pepper in the spices exports was going to be relegated to the second spot in the recent future.

The growth trend in the exports of value-added spices such as mint oil, oils and oleoresins of spices and curry powder indicated that these items would take over the top slot in the exports of spices, Spices Board sources said.

Exports of curry powder had gone up from 1,333 tonnes valued at Rs 1.07 crore in 1974-75 to 5,210 valued at Rs 35.97 crore in 1998-99. Similarly, Mint oil exports went up from 1,510 tonnes valued at Rs 26.06 crore in 1992-93 to 4,207 tonnes worth Rs 122. 52 crore in 1998-99, while oils and oleoresins of spices rose to 2,750 tonnes valued at Rs 300.77 crore in 1998-99 from a meagre 42 tonnes valued at Rs 0.48 crore in 1974-75, they said. Last fiscal exports of oleoresins and spices oils alone stood at Rs 345 crore.

Given this positive trend, the current fiscal's target for curry powder had been set at 6,500 tonnes valued at Rs 42.00 crore while that of mint oil 4,000 tonnes worth Rs 152 crore and spice oleoresins and oils at 3,800 tonnes valued at Rs 418 crore.

The total target set for value added spices was Rs 612 crore for the current fiscal while that of pepper was 35,000 tonnes valued at Rs 315 crore. In the year 1999-00, India exported 42,806 tonnes of pepper valued at Rs 884.88 crore while last fiscal it fell to 19,250 tonnes valued at Rs 326.32 crore.