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This is an archive article published on June 27, 1999

Steep rise in spices exports

CALCUTTA, JUNE 26: The steep rise in international prices of spices and spice oils has helped the country's export earning to record a 17...

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CALCUTTA, JUNE 26: The steep rise in international prices of spices and spice oils has helped the country8217;s export earning to record a 17-per cent growth in rupee terms during 1998-99. The value of export was put at Rs 1,650.03 crore at the end of the last fiscal as against Rs 1,408.30 crore in 1997-98.

This achievement has crossed the targeted amount of Rs 1,648 crore as set by the Union agricultural department in 1997-98, according to a report released in the May issue of Indian Spices, a monthly bulletin of the Spices Board. Export earnings in dollar term, also rose significantly at four per cent with shooting up to 393.90 million from 378.72 million, the bulletin revealed.

The volume of total exports, however, has registered a decline by eight per cent from 2,28,821 tonne in 1997-98 to 2,10,255 tonne in 1998-99 due to a fall in crop production for some items. Pepper continues to be the leader in export earning with a share of 38 followed by spice oil and oleoresins 18 and chilies 13. The exportof cardamom small turmeric, celery, fenugreek and spice oils have increased both in volume and value as compared to the past years. But the pepper powder as well as curry powder witnessed a growth in export value only.

The declining trends, in both volume and value, were registered in the export of cardamom large, ginger, coriander, cumin, fennel seeds and garlic. The report stated that pepper exports in 1998-99 was 35,100 tonnes worth Rs 634.67 crore as against 35,719 tonnes valued at Rs 487.41 crore in the previous year showed a two per cent decrease in quantity and 30 per cent rise in price realisation. This was only due to higher unit value realisation in the wake of increase in international market prices. The average FOB unit value rose to Rs 180-188 per kg from the past levels of Rs 136-146 a kg in 1997-98.

Similarly, chilli exports registered a remarkable rise to 55,750 tonnes valued at Rs 210.13 crore in 98-99 over 42,489 tonnes valued at Rs 138.47 crore in 97-98. Small cardamom increased to355 tonnes worth Rs 22.49 crore from 297 tonnes valued at Rs 1,063 crore. The unit price of the small cardamom shot up to Rs 633.73 per kg during 98-99 from Rs 358.15 a kg in 97-98. Turmeric export staged up to 27,750 tonnes from 27,204 tonnes with value going up to Rs 103.87 crore from Rs 80.15 crore as the unit value hardened to Rs 37.43 per kg as compared to past year8217;s level of Rs 29.46 a kg. Celery export has shot up to 3,600 tonnes valued at Rs 8.90 crore from 3,311 tonnes valued at Rs 7,74 crore following the up trend in realisation of unit valued at Rs 24.75 per kg comparing to Rs 23.83 a kg in 97-98. Export of fenugreek was 5,529 tonnes worth Rs 9.17 crore in 97-98, it rose considerably to 8,200 tonnes valued at Rs 15.21 crore in 98-99 with unit value going up to Rs 18.55 a kg from Rs 16.60 a kg. The export of spice oils and oleoresins increased at 2,625 tonnes valued at Rs 239.10 crore from the past year8217;s levels of 2,351 tonnes valued at Rs 223.21 crore with unit price of these items escalating toRs 116.57 a kg from Rs 949.45 per kg. Briefing about the production scenario, the Spices Board bulletin stated that out put of large cardamom, which mainly grown in Sikkim, had a set back followed by the hike in domestic prices. Pakistan8217;s import also recorded a fall due to restrictions imposed by the concerned government.

The lower production of fresh ginger in northern Indian states causing price escalation consequently export of fresh ginger suffered to Bangladesh and Pakistan where around 15,000 tonnes usually exported. South Indian states produce dry ginger which also witnessed production loss last year and the major share of dry ginger was consumed by the domestic markets hence export had short fall. In the case of cumin, Syria and Turkey sold this spice at lower rates at international markets.

 

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