India’s agri exports grew by 20% in Apr-Dec 2013-14

India’s agri exports grew by 20% in Apr-Dec 2013-14

India’s agri exports grew by 20%

Our bureau
New Delhi, Feb 7:

Mainly driven by sharp rise in shipment of rice, meat products and fruits and vegetables India’s agricultural and processed food products exports rose by close to 20% to Rs 99,125 crore during firs three quarters of the current fiscal compared to same period last year.

Commerce ministry officials said that the agricultural exports is expected to rise by more than 15% in the current fiscal compared to 2012-13.

According to latest data by Agricultural and Processed Food Products Exports Development Authority (APEDA), a body under commerce ministry, the rise in exports during April-December 2013 has been achieved despite more than 40% fall in exports of Guargum, mostly used by US based oil exploration companies.

“Factors such as adhering to global quality standards, improvement in quality of packaging and transportation and devaluation of Rupee against dollar contributed mainly to increase in agricultural goods exports,” an official source said.

The sharpest jump in exports during the first nine months of the current fiscal is witnessed in the shipment of Basmati rice and meat products which have grown more than 58% compared to  the same period last fiscal.

The country has earned more than Rs 20,649 crore  this fiscal from Basmati rice shipment, which is an increase of more than 58% compared to last fiscal while in terms of US dollar earnings, the exports grew by more than 46%.

Similarly in the case of meat and allied products, the exports has risen to more than Rs 19,946 crore in the current fiscal, against Rs 17,902 crore earned during 2012-13.

The shipment of non-Basmati rice rose by more than 18 % to Rs 12,894 crore in the current fiscal. A commerce ministry official said that the rice exports have been rising steadily since the government lifted a 4-year-long ban on non-Basmati rice exports in September 2011.

It was recently reported that the India is all set to earn close to Rs 40,000 crore from the rice exports this fiscal from Rs 33,000 crore earned in the previous year.

“The Basmati rice exports to Iran has risen sharply in the last eight months of current fiscal. This has pushed up shipment of Basmati rice from the country,” Vijay Setia, an exporter and former president of All India Rice Exporters’ Association said. Iran’s share in total volume of Basmati rice exports from India is around 35%.

However after rising for last two fiscal, guargum exports has declined sharply to Rs 10,159 crore in the first three quarters of the current fiscal while the country earned more than Rs 21,000 crore during 2012-13.

Other commodities which saw increase in exports in the first three quarters include dairy products (Rs 2618 crore), pulses (Rs 1451 crore), fresh fruits (Rs 2602 crore) and fresh vegetables (Rs 3865 crore).

Meanwhile, APEDA has identified 20 odd clusters located across the country for sustaining  growth in the country’s food products exports in the future.
These clusters include Basmati rice (Haryana & Punjab), buffalo meat (western Uttar Pradesh), grape and grape wine (Nasik region, Maharastra), pomegranate (Satara and Pune regions of Maharashtra), dehydrated onions and garlic (Gujarat), poultry or egg (Namakkal) and mango pulp (Uttar Pradesh and Maharashtra).

“Indian agriculture seems to have a greater comparative trade advantage than manufactured goods. This has been possible as the sector has responded by undergoing a structural transformation,” a paper by the Commission for Agricultural Costs and Prices (CACP) chief Ashok Gulati recently stated.

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