Due to the tough competition from other countries like China and Nigeria, during April-¬December 2016 the Indian ginger exports saw a fall. For a value of Rs.429 crore, the price for ginger was fixed at 33000 tonnes, as per official export. As per data from the Spice Board, the worth Rs.180.45 crore for 16000 tonnes has been fixed for the ginger export shipments of India In the first nine months of fiscal 2016-17. In terms of volume and in terms of value, this is a decline of 8% and 15% in the first nine months of FY2015-16 as the exports were at 17350 tonnes with a value of Rs.211.71 crore.
The Nigerian and Chinese are selling dry ginger at lower rates in the international market, said by the Industry experts and hence, impacted Indian ginger exports. Besides this, leading to increasing reliance on imports, the domestic production of dry ginger has reduced. The high cost of production reaches to Rs.200 per kg and it is the main reason for this fall in local production and makes the production unfeasible. Kerela is the main source of cultivating dry ginger and leading to higher costs of production as the labour costs are high in the state.
As per traders, dry ginger is being imported from Nigeria and China as it is not sufficiently available in the country. In fiscal 2016, at a value of Rs. 101.66 crore which is 26,610 tonnes of ginger was imported by India and with a comparison to the fiscal year 2015, it was higher in terms of volume. In FY 2015, by India ginger of volume 23050 tonnes with a value of Rs. 106.66 crore was imported.
As the lemon-like flavour and less fibre content make Cochin ginger variety to be preferred worldwide and also it is high in quality. Because of the higher price of production, Cochin Ginger exports are falling down due to un-viability but even with the premium prices, it can fetch.
In 2015-16 from 1, 53,450 hectares India produced around 7, 99,860 tonnes which are the highest producer of Ginger. In the world’s total ginger crop, India and China together make 50%.