Indian spice exporters focus on alternative markets

24-Nov-2025 06:12 PM

Mumbai. The imposition of a high and substantial 50 percent import duty in the United States, a major buyer of Indian spices, has forced exporters to explore new alternative markets.

Several countries/regions have been explored where there is significant potential for starting or expanding spice exports.

New markets identified by Indian exporters include Russia and several African countries. Efforts are also underway to increase spice exports to Southeast Asian countries.

While the high US tariffs have dealt a significant blow to Indian spice exporters, vigorous efforts are underway to recover.

According to trade analysts, if a trade agreement between India and the United States is successful, Indian import tariffs in the United States could be reduced by at least 25 percentage points, from the current level of 50 percent to 25 percent.

This would significantly reduce the export offer price of Indian spices there. Additionally, if market development efforts in Russia, Africa, and Southeast Asia are successful, India could benefit further and reduce its dependence on the US market.

The Chairman of the World Spices Organization (WSO) stated that India currently relies heavily on the US and Chinese markets for spice exports, but it is now felt necessary to explore new markets as India's spice production and exportable stocks are increasing, making it unwise to rely solely on a few markets.

While approximately 15-16 percent of India's spice exports are shipped to the US alone, it is becoming increasingly difficult to rely on its policies.

India remains the world's leading producer, consumer, and exporter of spices. It exports a significant amount of both whole spices and value-added spice products.