Spices and Condiments (1+1)

Crop diversification

 
• Our spice farmers are accustomed to selling the produce in the primary form. With respect to export, about 85-90% of exports also go out as primary produce. No doubt, there exists a good scope for value-added products in the European and American markets. Presently we are exporting the bulk of our value-added products to the Middle East where the price is quite low. A few organic products fetch a premium price, higher by 100% or more.
  Table: Export of spices from India (Quantity: tonnes, value: Rs. in lakhs)

  Item	1998- 1999		1999-2000		2000-2001
  	Quantity	Value	Quantity	Value	Quantity Value	Value
  Pepper	34864	63811.28	42806	88488.14	19250	32632.75
  Cardamom (S)	475	2521.21	646	3201.84	1100	5654.70
  Cardamom (L)	1424	1190.88	1211	1696.89	1645	2768.75
  Chillies	61253	21661.11	64776	25065.89	61000	19523.50
  Ginger	8778	4064.79	8773	3060.15	6580	2295.40
  Turmeric	36522	12454.98	35556	12168.69	34500	9106.00
  Coriander	20685	4588.99	13973	3496.77	11700	2742.50
  Cumin	10723	6010.92	6145	3428.17	13800	11743.50
  Celery	3981	969.08	3497	1059.55	5250	1700.50
  Fennel	5279	1538.11	2953	1441.53	4000	1778.00
  Fenugreek	10082	1914.91	10901	2095.41	9050	1787.50
  Other seeds (1)	2001	749.11	2349	1026.46	2425	896.25
  Garlic	4068	741.02	8542	1326.87	11000	1040.30
  Other Spices (2)	19077	7659.48	22012	8850.38	35000	19490.00
  Curry powder	5210	3596.78	5814	3460.60	6200	3997.00
  Mint oil	4207	12252.18	2820	10310.71	3875	12645.00
  Spice oleoresins and other oils	2750	30077.37	3368	32330.58	3625	36405.00
  Total	231389.	175802.20	236142	202508.63	230000	161206.651)

  (Source: Spice Board, Cochin)
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• In general, if the price rises 20 to 30% above the conventional rate, the number of consumers will drastically reduce. Hence, the price should be affordable to the users. The cost of certification for organic spices is prohibitive and beyond the scope of the average Indian farmer now.
• In January 1993, the European Union Council Regulation pertaining to production and commercialization of organic products came into existence. For a non-member country of the EU, there are two ways to export organic products to Europe. One is to get included in the 'Third Countries List', whereby the EU commission will do the evaluation or to get an import authorisation from the importing country to the effect that production and inspection were carried out as per the EU regulations.
• Denmark eagerly plans to convert 40% of its agriculture to organic by 2010. About 10% of land is already under organic cultivation in Australia and Sweden. The annual growth rate of organic market in the US is around 20%.
• Looking at the world figures, it is obvious that organic market is leaving the niche and entering the mainstream. The Spices Board of India has already launched a number of programmes to create awareness for organic spices production in the country. Training, indigenous certification programmes, sourcing organic spices to international buyers, etc., are some of the activities of the Board in this field.
• The Board has also launched a scheme to assist groups of farmers/ societies in getting organic certification from international agencies, by providing 50% of the cost of inspection and certification charges.
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