Despite recessionary pressure and continuing ban on exports of non-basmati rice, the previous financial year witnessed a marginal growth in exports of agricultural and processed food products. This was possible thanks to an significant increase in exports of basmati rice and fresh fruits and vegetables.
According to latest data from the Agricultural & Processed Food Products Export Development Authority (Apeda), exports went up to Rs 34,686 in 2009-10, up from Rs 34, 450 crore during the previous financial year.
Officials said the continued ban on exports of non-basmati rice since 2008, which is estimated to have caused a loss of around Rs 7,000 crore, and a decline in consumer demand in the United States and Europe because of recession contributed to a less-than-normal rise in India?s agricultural exports in 2009-10.
In 2007-08, India exported non-basmati rice worth of Rs 7,396 crore compared with Rs 4,243 crore during the previous fiscal, a growth of more than 74%. However, the growth has declined since then as non-basmati rice exports were banned by the government.
?It is only because of a significant rise in basmati rice and fruits and vegetables exports in 2009-10, we could match the previous year?s export figures,” Asit Tripathy, chairman of Apeda, told FE.
Per unit realisation through exports of basmati rice also rose in 2009-10 to Rs 10,838 crore from Rs 9,477 crore in 2008-09. In terms of volume, basmati rice exports went up to more than 2 million tonne from 1.5 million tonne in 2008-09.
Besides rice, fresh fruit and vegetable exports also contributed to the increase in agricultural exports. Exports went up by more than 17% to Rs 5,173 crore from Rs 4,399 crore in 2008-09.
Meanwhile, exports of frozen meat have also been rising steadily in the last few years because of various safety measures initiated by Apeda. In 2006-07, meat worth Rs 3,279 crore was exported. The figure stood at Rs 6,285 crore in 2009-10.
Grapes exports went up to Rs 400-500 crore in 2009-10 after Apeda put in place stringent norms for pesticides traceability through a programme titled Grape Net. Despite lack of harmonisation in the minimum residue levels (MRL) across the European Union, agri exports have been going up at an annual rate of more than 20% during the last four years.
In 2008-09, exports from the APEDA basket were more than Rs 3,200 crore. Although, India exports agri products to almost 80 countries, its share in the global trade of agri processed products is only about 1.6%.
Just 15 countries including Saudi Arabia, the United Arab Emirates, the United Kingdom, Bangladesh and South Africa, account for more than 63% of the country?s exports of fruits, vegetables and other agri products.