New customs duty likely to affect export of Indian spices to the US
04-Apr-2025 01:13 PM
US Tariff Hike Threatens Indian Spice Exports ЁЯМ╢я╕ПЁЯЪв
ЁЯУв Major Concern: The 26% import duty imposed by the US on Indian products is set to impact the export of Indian spices and value-added spice products.
Why It Matters?
ЁЯФ╣ The US is a key market for Indian spices.
ЁЯФ╣ In FY 2023-24, India exported 1,11,484 tonnes of spices to the US, earning тВ╣5127 crore.
ЁЯФ╣ The new high import duty may push US buyers to other suppliers, reducing India's competitive edge.
ЁЯФ╣ Indian exporters may struggle to absorb the cost, potentially leading to losses.
ЁЯФ╣ Small & medium enterprises (SMEs) may suffer the most.
IndustryтАЩs Appeal
ЁЯФ╕ The All India Spices Export Portal Forum has urged the Indian government to initiate discussions with the US.
ЁЯФ╕ A solution is needed to safeguard India's spice exports and protect trade relations.
Possible Solutions
тЬЕ Trade negotiations to seek tariff relief
тЬЕ Exploring alternate markets to diversify exports
тЬЕ Government incentives to support exporters