Highlights of Indian Turmeric market, its demand and overview of its boosting export opportunities globally
Introduction
Turmeric
is a derivative of Curcuma longa, a perennial herbaceous rhizomatous plant that
belongs to the ginger family Zingiberaceae, native to tropical South Asia. In
certain medicines the tuberous rhizomes or underground stems of turmeric are
being used as condiments, as a dye and as an ancient aromatic stimulant.
Turmeric (Curcuma longa L.), India's ancient and sacred spice called "Indian
saffron," is a major commercial spice crop grown in India. Since of its
high content of essential bioactive compound called "Curcumin". Indian turmeric is considered to be the best in world market.
The trend in Indian turmeric cultivation and
production has steadily increased over the past decades and there is also a
rapidly increasing spike in the area of cultivation. India accounts for around
80 per cent of world turmeric output and 60 per cent of world exports. Turmeric
ranks third in overall Indian spice
exports.
Production
highlights & key markets for Turmeric
India
is the world’s largest producer and arises as global leaders in Turmeric and
other major producers are Thailand, other Southeast Asian countries, Central
and Latin America and Taiwan. India dominates the global production scenario,
contributing 78%, led by China (8%), Myanamar (4%), and Nigeria and Bangladesh
together contributing 6% of global production.
The other countries that compete with India
for exports of Turmeric are Myanmar (US$ 170 million), Indonesia and the
Netherlands. The top countries importing turmeric from India in 2018-19 are
Iran (19328.90M.T), followed by USA. Among Association of Southeast Asian
Countries (ASEAN) Malaysia tops the list with importing of about 6937.45MT.
The
other leading importers around the world are Bangladesh, Japan, Sri Lanka,
United Kingdom, Malaysia, South Africa and Saudi Arabia. Together, all these
countries account for 75 % of world imports and Asian countries are the world's
biggest suppliers. The United States of America imports 97% of its turmeric
requirements from India and the rest from the Pacific and Thailand Islands .The
UAE accounts for 18% of overall global imports of turmeric, led by the United
States (11%), Japan (9%), Sri Lanka, the United Kingdom and Malaysia with 17%
together
ASEAN
COUNTRIES
Almost
all the ASEAN countries import the Indian turmeric for its high medical value.
Among all the 10 countries, Malaysia imports the highest quantity about 45% of
total imports to ASEAN Countries. A good quality of Indian Turmeric is imported
from eastern states India (Andhra Pradesh, Telangana and Odisha). Apart from importing from India, countries
like Cambodia and Indonesia also export their turmeric to India. Recent
increase in price have made Indonesia a turmeric supply option to India.
Interestingly, the withdrawal of
India from the Regional Comprehensive Economic Partnership (RCEP) had a
marginal effect on exports of turmeric. Firstly, other countries of the RCEP,
such as China, South Korea, Japan, New Zealand and Australia, do not produce
enough spices and mainly turmeric. Secondly, Indian turmeric is highly demanded
for its high Curcumin content which is very useful to pharmaceutical companies.
ASEAN countries contribute about
22.54% of India’s total turmeric export globally.
Reasons
for increasing demand
A
major factor driving the growth of the global Turmeric market is the increasing
demand of Curcumin, a substance which is being used extensively, in the
pharmaceutical field for the treatment of critical ailments such as cancer and
also in food and cosmetics industries. This increase in Curcumin demand is
largely due to the increasing customer awareness about its antioxidants and
anti-inflammatory properties. Besides this, the growing customer preference
towards organic goods is also likely to give the industry a boost in the coming
years.
India
is destination for high quality turmeric and with COVID19 crisis there is a
huge demand for this all around the globe and especially in European nations
for its medical properties but due to the lockdown of cross-borders, reduction of
90% air space for cargo, transfer of goods have affected the turmeric movement
in India and around the world. It is expected post lift of lockdown there will
be a high demand and will be a chance of increase in quantity of total
production and export as well.
References
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