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Telangana’s spice exports up at $200 million

Updates Finance by Updates Finance
July 11, 2022
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Telangana, the largest producer of turmeric and the second-largest producer of chillies in India, exported spices worth around $200 million in the 2020-21 financial year, witnessing a CAGR (compound annual growth rate) of 37 per cent over the last five years.

Though the State produces 30 per cent of the country’s turmeric production, it hardly contributes to its exports. It were chillies that drove exports from the State, according to Drip Capital, Inc., a global trade finance company.

As the terrains of Telangana and Andhra Pradesh are highly suitable for chilli production, the two States accounted for over 60 per cent of the country’s chilli exports in in 2020-21. “Given that Covid-19 has fuelled a new wave of appreciation for ayurveda and ethnic Indian food, the demand for convenience, and the desire of people to experiment with different flavours, Telangana spice exporters can leverage opportunities from these emerging trends to make their mark in the export market,” Pushkar Mukewar, Chief Executive Officer and Founder of Drip Capital, said.

“Considering the medicinal value of turmeric and the global preferences of beverages like turmeric latte as immunity boosters, Telangana’s turmeric exporters need to stay updated on market developments and innovate their products,” he said.

This, he said, would help strengthen ‘Brand India’ globally and allow spice traders to better cater to international markets.

Trade sources said turmeric production fell by nearly one lakh tonnes last year to 11 lakh tonnes, owing to lower production in States like Telangana, Tamil Nadu and Karnataka.

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July 11, 2022

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