Performance of small cardamom export from India

A. Indhushree, Anil Kuruvila

Abstract


Small cardamom, the queen of spices, plays an important role in India’s economy due to robust domestic demand and increasing price. However, the export of the spice witnessed huge decline and it became more of domestic market oriented. In recent years, the export of small cardamom from India was found to be increasing steadily. The present study was conducted to analyse the export performance of small cardamom from India in terms of export growth rate and instability, sources of growth and variability in export value and the geographic concentration of export. During the pre-WTO period, the growth rates in terms of export value, quantity and unit value were found to be negative, while the instability in export was high. Post-WTO period recorded positive and higher growth rate and comparatively lower instability in export. Among the different periods under study, lower growth rate and higher instability were observed during Period II which could be the result of increased domestic demand and stiff competition in international market especially from Guatemala. Change in mean export unit value was found to be the major source of growth in value of export during both pre- and post-WTO periods, while the change in variability of export unit value contributed more to the change in variance of export value. The geographic concentration of export increased in post- WTO period compared to pre-WTO period and the exports were more concentrated towards the Middle- East countries. Higher cost of production, domestic market orientation and Non-Tariff Barriers were the major issues that need to be addressed to strengthen the export markets and improve the performance of small cardamom export from India.


Keywords


Export, geographic concentration, growth, instability, small cardamom

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References


Bhalla, G.S. 2004. Globalisation in Indian Agriculture. Vol. 19. State of the Indian Farmer: A Millennium Study. Academic Foundation, New Delhi, 327p.

Choubey, M. 2017. Growth and determinants of export of spices from India in liberalised economic scenario. Int. J. Res. Manag. & Social Sci., 5(3): 91-99.

George, M. and Cherian, E. 2017. Emergent global marketing challenges for Kerala cardamom producers vis-à-vis role of the spice board of India. Int. J. Community Dev. & Manag. Stud. 1: 39-61

Spices Board. Major item/country-wise export of spices from India. Available:http://indianspices.com/sites/default/files/Major%20Item-%20Country%20 wise%20export%20of%20Spices%202016web1412018_new.pdf. [21 Jan. 2019].


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A KAU publication [CODEN: JTAGEI; ISSN 0971-636X; eISSN 0973-5399]