India being the second-largest agricultural producer in the world with 98% of agricultural commodities seamlessly complying with the legally-permissible upper limits for pesticide residues makes its food products among the safest commodities.
Agricultural export during 2020 has improved by 43.4%, to ₹16,229.3 crore, when compared to the 2019 figures. The jump in the export can be split up (in percentage) as groundnut (35%), refined sugar (104%), wheat (206%), Basmati Rice (13%), and non-Basmati Rice (105%).
During the same period, rice export has risen by 13.7% from $3,359 million in April-August 2020 to $3,820 million in April-August 2021, and fresh fruits and vegetables exports registering a 6.1% growth in dollar terms.
Apart from this, the most significant contributors to change have been cereals, followed by poultry products. Figures estimate a considerable jump of 142.1% in the export of cereals, while meat, dairy and poultry products saw an increase of 31.1% from April-August 2021. In absolute terms, the export of cereals increased by $222 million in a year-on-year comparison, and the export of poultry and dairy products shot up by $369 million in the same period.
However, the surprise element was dry fruits with cashews cashing in a growth of 28.5% as its export rose from $144 million in April-August 2020 to $185 million in April-August 2021.
On the other side of the gamut, the Ministry of Food Processing Industries suggests that India’s total exports have an 11% contribution from agricultural and processed food products. In five years, the value of agricultural and processed food increased sharply from $17.8 bn to $20.65 bn. This goes on to show that the agrarian economy is taking a proactive stance towards developing various processed foods.
The vast scope for Indian brands, value-driven products and homegrown quality is very likely to increase this share. The increasing penetration of Indian food into global palates is further contributing to this, as the market for value-added Indian products is now starting to extend beyond the diaspora and entering many mainstream segments.
For more information, facts and figures, become a member. Click here.