Going by the attention turmeric is enjoying in recent times, the future looks promising for this wonder spice. The challenge, however, is to expand awareness about its usage and medicinal values. In an exclusive interaction with The Dollar Business, Bhaskar Shah, Managing Director, JABS International, gives a 360-degree view of India’s turmeric trade

Sachin Manawaria | @TheDollarBiz

TDB: Apart from Andhra Pradesh [the largest producer of turmeric], which are the other key trading and processing centers to procure good quality turmeric in India? 

SS: The key varieties come from Erode in Tamil Nadu and Kadapa, Dugirala and Nizamabad in Andhra Pradesh. However, all such volumes of turmeric go to Sangli in Maharashtra as it is one of the biggest centers for processing and polishing turmeric in India. Although good quality turmeric is grown in Sangli, it is more famous for processing and that has been in vogue for generations. In fact, Sangli accounts for almost 40-50% of India’s total turmeric processing.

TDB: India is already the biggest exporter of turmeric in the world. But are India’s exporters really realising the crop’s full potential? Isn’t there a scope for further improvement?

SS: Turmeric export from India is pretty less as compared to other spices like coriander and chilly because of low global awareness. But it will surely catch up in years to come as more and more people across the world are becoming health-conscious. I expect it to, slowly but steadily, become an essential commodity even in other parts of the world.  

TDB: Which are the key markets for Indian turmeric?

SS: We mainly export to USA and Germany. The tanning industry in Iran is also maturing and hence, use of turmeric in that industry is on an upswing. So, exports to Iran are also on a rise. In fact, Iran is one market that all turmeric exporters should watch out for in the near term. Other places where turmeric is traditionally exported from India are Saudi Arabia, Malaysia, Japan, Indonesia and the whole of Europe.   

TDB: What about competition? Is there any, considering that India is the biggest producer of turmeric globally?

SS: Worldwide, there are very few countries that cultivate turmeric. Even among them, very few can match the quality of Indian turmeric. Hence, we don’t even consider them as competition. The challenge for us is to expand the awareness about turmeric.

TDB: The price of turmeric has been continuously rising over the last few months? At what level do you see it stabilising in near future?

SS: Prices are now stable and I expect them to remain stable going forward. The entry of speculators in the turmeric business should be a very positive thing for Indian farmers. In fact, the forward market commission (FMC) has played a very crucial role as far as all spices are concerned. Earlier, the market was solely driven by demand and supply. But now, the market is driven by three factors – demand, supply and the speculators. Due to this speculative element, Indian farmers have gained a lot during the last five years. In the case of most spices, prices have at least doubled and in some cases, they have risen threefold.