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ndia is the largest producer, consumer and exporter of turmeric. Globally, Indian turmeric is considered to be the best because of its high curcumin content. Turmeric ranks third in the total exports of spices from India. The major importing countries of Indian turmeric are the United Arab Emirates, Bangladesh, United States of America, Sri Lanka, Japan, United Kingdom, Iran, and South Africa. Even though India plays a major role in turmeric export, its export quantity and value varied over the years. In order to retain India's leadership, there is a need to study the export performance due to the increasing domestic demand and a threat from the competing countries. Hence, the present study is undertaken with a view to analyze the export performance of turmeric from India. The export performance is measured in terms of growth rate, instability index and Markov chain analysis. The data on export quantity and export value from 1996-2006 was taken for the purpose of this study. Both exported quantity and value recorded a positive and significant growth of 6.2 and 9.61% per annum respectively. There was high instability in export value when compared to the export quantity, which might be due to the export unit value fluctuation. The results of Markov chain analysis confirmed that UAE and Bangladesh remained as the stable markets for Indian turmeric compared to other markets. The study suggests that appropriate positioning and pricing strategies should be used to strengthen India's position in the unstable global market.
World production of turmeric was around 8 to 9 lac tons during 2005-06. India is the largest producer of turmeric contributing 78% of the world production. The other major producers are China (8%), Myanmar (4%), Nigeria (3%), Bangladesh (3%) and another 4% is contributed by Pakistan, Sri Lanka, Taiwan, Burma and Indonesia etc., The Asian countries consume nearly 90% of their production. Major exporters of turmeric are India, China, Taiwan and Thailand. Major importers are the Middle East, North African countries, Iran, Japan and Sri Lanka. Almost all vegetable and meat dishes use turmeric either as a separate spice or in the spice mixture. Turmeric is also used as a dye in the textile industry, in cosmetics, preparation of medicinal oils, ointments and poultice. It is stomachic, carminative, tonic, blood purifier and an antiseptic. The aqueous extracts have biopesticidal properties.
India is the `spice bowl' of the world. According to the Bureau of Indian Standards, 63 spices including turmeric are grown in India. India is the largest producer, consumer and exporter of turmeric. Indian turmeric is considered to be the best in world market because of its high curcumin content. Turmeric is a seasonal crop, which is available in the market mainly in two seasons—mid-February to May and mid-August to October. Turmeric crop duration is generally 7-9 months depending on the variety. In India, Andhra Pradesh leads in terms of area under cultivation and production with a share of 41% and 61% respectively. Other states contributing in terms of area under cultivation and production are Tamil Nadu, Orissa, West Bengal, Karnataka and Gujarat.
Turmeric ranks third in the total spices exports from India. Even though India plays a major role in turmeric export, its export quantity and value varies over the years. In order to retain India's leadership, there is a significant need to analyze the export performance of turmeric due to the raising domestic demand as well as threats from the competing countries. Hence, the present study aims to find out the changing dynamics of turmeric exports in order to find out strategies to stabilize the market potential and maintain the share in the international markets. |
