India is well known for spices since ancient time. Indian spices are well known for their aroma, mouth-watering taste and texture. India is the world’s largest producer of spices, 75 of 109 varieties of spices listed by Indian Standard Organization are produced in India. With a market value of INR 40,000 Crore annually Indian is also the largest consumer of spices.
History says that other countries started trading relations with India because of Spices. Today also India exports many spices all over world. Exports are majorly done to countries like USA, UK, other European countries, Middle East, etc.
Major spices exported include pepper, cardamom, turmeric, chilli, etc. Spice are exported not only in whole form but also in powdered form. Spice blends like Garam Masala etc are also exported in good quantities.
As per ibef.org this year 1.08 billion kgs of spices were exported from India. The total export in terms of value was USD 3.11 billion. Since past few years spice exports from India is growing at a CAGR of 8% in volume.
India, being the largest producer of spices, it would come as a shock that India also imports spices like Ginger, Cassia, Poppy seeds etc. This is because India is also the world’s largest consumer of spices, approximately 85% of the spices produced are consumed in the Indian markets. Hence India also imports spices from countries like Sri Lanka.
Majorly raw spices are imported in India and then value is added to them by processing them. They are used as raw materials in the Spice Blends or other food processing units. These are then either exported or consumed within the market.