Gherkin exports at file $256 million in FY24 on strong European demand

India’s exports of gherkins (pickled cucumbers) for monetary yr 2023-24 rose 17 per cent to the touch a file $256.58 million on sturdy demand from European consumers akin to Germany and Spain. In 2022-23, India’s gherkin exports stood at $218.74 million.

In quantity phrases, the gherkin exports have been up 7.4 per cent at 2.44 lakh tonnes (lt) throughout 2023-24 towards earlier yr’s 2.27 lt.

Exports to conventional massive consumers of Indian gherkins, akin to the USA and Russia, decreased in the course of the yr as Indian exporters struggled to compete with different sources resulting from increased freight prices. Nevertheless, sturdy demand from European consumers helped offset this affect.

Exports to the US, the most important purchaser, declined 12 per cent to 54,015 tonnes. India competes with Mexico within the US marketplace for gherkins. “We weren’t aggressive within the US market resulting from increased freight charges,” stated Pradeep Pooviah, Vice-President of the Indian Gherkin Exporters Affiliation.

Nevertheless, shipments to Germany, which emerged because the second largest purchaser of Indian gherkins throughout 2023-24, virtually doubled in the course of the yr. “The crop was impacted in Japanese Europe leading to increased demand for Indian gherkins,” stated Pooviah, CEO of Blossom Showers Agro, a Bengaluru-based exporter. Exports to Germany have been up at 20,925 tonnes ( 11,222 tonnes). Equally, the shipments to Spain have been increased at 19,585 tonnes (15,513 tonnes) and France have been at 19,433 tonnes (19,395 tonnes).

India competes with origins akin to Japanese Europe, Turkey and Sri Lanka within the European markets. Pooviah stated the realisations have been good this yr on account of upper demand from nations like Germany, which largely buys in shopper packs and jars, in contrast to different markets the place the gherkins are shipped in bulk in massive drums.

Import responsibility

Apart from the upper freight prices, the Indian gherkins additionally face an obligation starting from 10-14 per cent within the importing nations. “Our exports may have been a lot increased, however for the responsibility and better freight price,” he stated including {that a} free commerce settlement with EU and the US could possibly be of assist to the exporters.

Gherkins, a sort of small cucumbers are grown in components of Karnataka, Tamil Nadu and Andhra Pradesh, are shipped in brine answer to abroad markets the place they’re consumed as pickle. Over half of the 50 gherkin processing and exporting items are situated in Karnataka, the most important producer.

Manufacturing of gherkin occurs below the contract farming mannequin, whereby the processors/exporters provide the inputs to farmers and buy-back the produce. An estimated 60,000 acres is below gherkin in these States and shut to 1 lakh farmers are engaged within the cultivation. Over 99 per cent of the gherkin produced within the nation is exported.