BUDGET 2000
SPECIALS
INTERVIEWS
COMMENTARY
GOVT&ECONOMY
Y2K: BIZ FEATURES
INDIA & THE WTO
CREDIT POLICY
BIZ IN THE USA
CARS & MOBIKES
MANAGEMENT
CASE STUDY
BIZ-QUIZ
USEFUL INFO
ARCHIVES
NEWSLINKS
SEARCH REDIFF

India reigns supreme in the spices world

K S Nair in Kochi

The bounty of spices had lured explorers to India's shores for centuries triggering wars and causing the rise and fall of mighty empires and even in the new millennium the country continues to reign supreme as the largest producer, consumer and exporter of as many as 75 varieties.

Since time immemorial, spices had played a vital role in world trade due to their varied properties and applications. These condiments enhanced the flavour, fragrance and colour, besides serving as a preservative. Some of these were renowned for medicinal properties also.

Spices find mention as early as 6,000 BC in the vedas. The pages of the Ramayana, the Bible and Quran are sprinkled with references to the various varieties.

Jesus Christ was said to have been anointed with the oils, Moses used them at the shrines and Prophet Mohammed was captivated by their fragrance.

The Greeks, Phoenicians, Romans, Chinese and Arabs, among others, had developed trade relations with India from ancient times lured by her exotic treasures of spices, ivory, silk and sandalwood.

The 16th century saw the European foray. The Portuguese, the Dutch and the French were among the early contenders. The British, who moved in late, however, proved to be the most successful gradually capturing power and ruling the country for more than three centuries.

The primary function of spices in Indian food is to improve the flavour of the dish. Many of these such as clove, coriander, cumin and cinnamon, because of their volatile oil content, impart a distinct flavour to the food. These appeal to the senses and make the food tastier.

According to Spices Board chairman V Jayashankar, the country's position as the biggest producer and exporter of spices would remain unchallenged for the next decade though a number of countries located in the tropical areas are scrambling to join the bandwagon.

At present, the country produces more than 2.7 million tonnes of spices annually of which eight to ten per cent totalling more than 200,000 tonnes are being exported to over 150 countries.

During 1998-99, it had exported 231,398 tonnes of spices worth Rs 175.8 billion, with pepper alone contributing nearly 40 per cent of the total earnings. The achievements in exports had exceeded the Spices Board's target of 175,800 tonnes for the year 2000 set more than a decade ago.

Jayashankar said the country was in a commanding position as far as exports of fenugreek, turmeric and celery were concerned. Vietnam is challenging her supremacy in pepper trade, of late.

Chillies also continue to be a hot favourite for exports and the world market is heavily dependent on India for spice oils and oleoresins. The country enjoys a market share of 60 to 65 per cent for these commodities.

Similarly, she is also a major supplier of mint oil, especially Japanese mint and pepper mint to the world market. The country is also emerging as a potential supplier of garcinia, tamarind and herbal spices.

India's spices exports were of the order of about 48,000 tonnes valued at Rs 3,880 million in 1970-71 touched an all-time record of Rs 2.98 billion during 1987-88.

But in terms of quantity, it fell to 70,279 tonnes that particular year. By 1997-98 the exports leaped to 228,821 tonnes in volume but in value realisation it dwindled to Rs 1.408 billion, following gradual depreciation of the rupee against the dollar during the period, according to the spices export review for 1997-98.

Jayashankar said India would also play a major role in the fast expanding organic spice market. ''We have a natural advantage in terms of large tracts of lands, particularly in the tribal belts of Orissa, north eastern states, Nilgiri hills in the western ghats and the Andaman and Nicobar islands where traditional agricultural practices are still in vogue," he said.

In most of these places, no chemical fertilisers or pesticides are used. All that is needed is to train the farmers in documentation and help them get certification as growers of organic spices.

The board has already launched schemes to assist them in this direction. It has published national standards for organic production of major spices and received approval from the National Standards Committee of the International Federation of Organic Agriculture Movement or IFOAM, he added.

During 1997-98, India exported 32.01 tonnes of different kinds of organic spices as against 25.33 tonnes in the previous year. The exports were expected to go up in the coming years as more and more farmers are switching over to this method.

The Spices Board is also assisting overseas buyers in sourcing organic spices from India.

UNI

Business