The government plans to set an export target of $500 billion for the next fiscal year. The target will be part of the five-year foreign trade policy which will be announced later this month.

 

'The export target of $500 billion for FY23 (2022-23) is being considered….seems like achievable given the performance in the current fiscal,' a senior commerce ministry official said.

 

Exports in the first 10 months of the fiscal (April-January) rose 45.8 per cent to $374.05 billion from $256.55 billion a year — providing sufficient grounds for optimism to meet the target of $400 billion set for this fiscal, while raising the bar higher for the next fiscal to $500 billion.

 

Analysts said the Russia-Ukraine conflict would not have a major impact on export as trade with the two countries is not significant.

 

The conflict does provide an opportunity for exporters to tap new markets.

 

India’s main imports from Russia include fuels, mineral oils, pearls, precious or semi-precious stones and nuclear reactors.

 

Exports include pharmaceutical products, electrical machinery and equipment, organic chemicals and vehicles.

 

Trade with Russia stood at $9.4 billion so far this fiscal year, against $8.1 billion in 2020-21. Russia accounted for less than 1 per cent of India’s total exports in the April-December period.

 

The conflict could boost exports from India of some items such as wheat. The US Department of Agriculture (USDA) in the Grain: World Markets and Trade report said wheat exports this fiscal would hit 10 million tonnes (mt) against estimates of 7mt.

 

Russia and Ukraine make up 30 per cent of global wheat exports. 'In the new marketing year 2022-23 beginning in April, fresh supplies will be available in addition to the exceptionally large stocks in the country,' it said.

 

India supplies wheat to Bangladesh and West Asia. Exporters will now find markets across Africa and other parts of the Gulf region despite the transit time being higher compared with Russia and Ukraine.

 

'But India is well-positioned to step in as a low-cost supplier,' the USDA said.

 

Ukraine war gains

Why export target raised 25%: With two months to go to the end of the fiscal exports at $374bn just short of the target of $400bn. Policy makers believe this provides the ground for setting an ambitious target for next fiscal.

 

Will the Russia-Ukraine war hurt India: No, for two reasons. Neither Russia nor Ukraine is a major trade partner. Second, the disruption in the wheat market will benefit exporters. Projections for the fiscal have been raised to 10mt from 7mt.

I was foxed to read a recent news item in Financial Express that reported ‘India to participate in London Wine Fair 2022’, with the Chairman of APEDA Dr. Madhaiyaan Angamuthu saying APEDA will participate in various global trade platforms like London Wine Fair and Hong Kong Wine Fair to ‘stabilise our products’, implying that APEDA would hire the stand in its name and wineries would participate under its aegis at highly subsidized rates, with participants bearing their cost of travel and stay etc.

 

Reasons for our apprehension are not far to see. For one, London Wine Fair has lost its importance as an international Show since it turned looking inwards in 2014 when the globally important Fair changed the venue at ExCeL in London’s Docklands in 2001 back to the city of London at Kensington Olympia where it had started a couple of years after being founded in 1981. Whereas it used to be truly an important international trade fair, even christened as London International Wine Trade Fair, it changed its name to London Wine Fair (LWF) in 2014.

 

The changing complexion was well analysed and documented in 2015 by Robert Joseph, one of the best known journalists, critics, an author and now also a producer who said ‘The London Wine Fair has been a national event, an international event, and now a national event again’. Only 12% of the visitors are from overseas now, compared to around 20% in the fair’s heyday.

 

Experience of the Indian producers has not been very encouraging in the previous outings. There was an exclusive India Wine Show at Millennium Conference Center in London Kensington in 2015 by APEDA which was a one-off wine event. The success of this Road Show could not be ascertained but there was a mixed response to the one in 2013. There was yet another time India participated but the sporadic participation did not produce the desired results.

 

APEDA –excellent platform for wine producers

 

Be as it may, APEDA is a force to reckon with and their performance in promoting foods and the willingness to add wines to their export efforts is laudable. They have often offered their support to the Indian industry by free transportation and display of their samples, but the support from the industry has been lukewarm, at best. But if producers and AIWPA feel that there is a market for their wines, they should be encouraged to ride the APEDA wagon and plan on participating more often at the popular Shows, be it LWF or the universally more recognised ProWein at Dusseldorf. But as delWine often advises foreign producers who want to enter the Indian markets, the participation must be continuous for a few years. One hopes APEDA and AIWPA have discussed and agreed on the modus Operandi.

 

The chairman of APEDA reportedly said after his visit to Nashik that it would participate on various global trade platforms like the London Wine Fair and Hong Kong Wine Fair. ‘The Indian wine industry is growing fast and the country produces some of the finest labels in the world. We have to create a niche market with proper backward and forward linkages. Participating in various trade and business Fairs will enhance our brand value and competitiveness of Indian wines,” he said. With the quality of Indian wines improving over the last many years and many smaller producers hankering to discover new markets, there could be good potential for their products.

 

Jagdish Holkar, President of AIWPA opines that India is a very small wine player but the objective is to put it on the global wine map and ‘let the world know that we make good wines as well.’ He feels there is a huge potential for Indian wines in the UK and European Union (EU) due to the presence of a large Indian diaspora, Indian restaurants and interest in Indian food.

 

Wineries such as Sula Vineyards, Grover Zampa Vineyards Fratelli and a few smaller ones are already selling their wines in these markets but the volumes are not known, Holkar said. He also hopes the Show hosts an evening of Indian wines with dinner to be hosted by the Indian High Commission in London where the wines will be showcased.

 

Following wineries have reportedly agreed to participate in the Show:

 

1. Fratelli Wines

2. Grover Zampa Vineyards

3. Good Drop Wine Cellars

4. Hill Zill Winery

5. Moonshine Meads

6. Resvera Wines

7. Virgin hills Wines (KLC)

8. Cerana Meads

9. Soma Vineyards

 

Sula has decided to focus on the Indian market for the next few years and politely declined to participate. It is good to see the fruit wine and Mead producers recognised by the (grape) wine producers as one can see four such producers in the List.

 

However, there can be a slip between the glass and the lip. Dr. Angamuthu might have approved the project in principle but the proposal has not been approved by the APEDA Board yet. Getting space at a good location is always a big factor and by the time they decide, there may not be space available or they might get space where the buyer presence is minimal.

 

In the past, APEDA has invited wine producers to join hands with them in food shows like Anuga in Cologne, Germany. But they have been disappointed by the attitude of the producers. Let us hope this time around, with them agreeing to sponsor a wine-only show, and subsidise it heavily for the participants, it might bring the producers closer to APEDA and they might even join hands in future Food and Wine Shows.

Director Agriculture Production & Farmers Welfare, Jammu, K. K. Sharma inaugurated a 100 Kg capacity Honey Processing Unit established under Apiculture Development Scheme at Krishi Bhawan, here today.

 

Those present on the occasion include Joint Director Agriculture (Inputs), A. S. Reen, Joint Director (Apiculture & Mushroom Development), Iqbal Singh, Plant Protection Officer, Davinder Singh, Agriculture Chemist, Aman Jyoti Sharma, DSSO, Suresh Khajuria, Assistant Entomologist, Ram Gopal Sharma besides other officers and staff of Apiculture section.

 

The Director informed that the honey processing unit consists of Automatic Honey Processing Plant, Moisture Reduction Unit, Storage Chamber, Bottling Unit. 'It performs multi-functions including preheating, processing, moisture reduction, filtration and bottling of the honey' he said.

 

He said that the unit will go a long way in helping the bee-keepers of Jammu division as the department will facilitate the processing of crude honey produced by the farmers free of cost. The bee-keepers will be provided a logo under 'Jammu Kheti' brand as well as FSSAI testing for successful marketing of honey for remunerative returns, the Director added.

 

It was informed that 'Madhu Kranti' Portal has been developed by The National Bee-Keeping & Honey Mission (NBHM) and 340 Bee Keepers of Jammu Division have been registered till date on the said portal. This will facilitate full tracking and hassle free movement/ migration of bee colonies for chasing bee flora outside the UT.

 

Pertinently, the department is promoting Ramban White Honey of Autumn season under 'One District One Product' which is known for its best quality, colour and taste. Moreover honey is also produced in the whole of Chenab region, Kathua, Samba, Rajouri and other districts of Jammu Division. Bee keeping forms the potential part of integrated farming and can play an important role in doubling the farmer’s income being a non competitive off farm activity besides income and employment generating venture due to wide agro climatic diversity enabling round the year bee flora availability.

The lowest price offered in the international tender from Tunisia's state grains agency on Friday to purchase about 125,000 tonnes of durum wheat was believed to be $491.68 a tonne c&f for optional-origin supplies, according to initial assessments from European traders.

 

Offers are still being considered and no purchase has yet been reported.

 

It is Tunisia’s second international tender for soft wheat issued this week as importers struggle with the impact of surging wheat prices.

India and Canada held the fifth Ministerial Dialogue on Trade & Investment (MDTI) here today.  Minister of Commerce and Industry, Consumer Affairs and Food, and Public Distribution and Textiles, Shri Piyush Goyal and Ms. Mary Ng, Minister of Small Business, Export Promotion and International Trade, Government of Canada co-chaired the MDTI.

 

The Ministers agreed to formally re-launch the negotiations for India-Canada Comprehensive Economic Partnership Agreement (CEPA) and also consider an Interim Agreement or Early Progress Trade Agreement (EPTA) that could bring early commercial gains to both the countries.  The Ministers highlighted the existing trade complementarities between India and Canada and emphasised that the trade agreement would help in expanding bilateral trade in goods and services through unlocking the potential across sectors. The Interim Agreement would include high level commitments in goods, services, rules of origin, sanitary and phytosanitary measures, technical barriers to trade, and dispute settlement, and may also cover any other areas mutually agreed upon.

 

A range of other bilateral trade and investment issues were discussed during the meeting. Both countries agreed to undertake intensified work with respect to the recognition of Canada’s systems approach to pest risk management in pulses and market access for Indian agriculture goods such as sweet corn, baby corn and banana etc.Canada also agreed to examine expeditiously the request for Conformity Verification Body (CVB) status to APEDA (Agricultural and Processed Food Products Export Development Authority) for facilitating Indian organic export products. 

 

The Ministers acknowledged the significance of establishing resilient supply chains in critical sectors and exchanged views on collaboration in this area.  They emphasised enhancing cooperation in sectors such as pharmaceuticals and critical and rare earth minerals as well as in areas like tourism, urban infrastructure, renewable energy and mining. They also noted the role of strong people-to-people ties between the two countries, including movement of professionals and skilled workers, students, and business travellers, in strengthening the bilateral economic partnership.

 

The Ministers agreed to work closely to provide sustained momentum to building linkages and strengthen cooperation across sectors to harness full potential of the trade and investment relationship between India and Canada.

The country's merchandise exports are likely to be at USD 111.3 billion in the fourth quarter of the current fiscal, according to a forecast by India Exim Bank. Non-oil exports are expected to be at USD 95.2 billion in Q4 FY22, with total merchandise outbound shipment exceeding USD 414 billion for FY 2022, it said on Friday.

 

'We forecast India's total merchandise exports to continue to cross the USD 100 billion mark for the third consecutive quarter in a row, amounting to USD 111.3 billion, growing at 23 per cent, and non-oil exports to amount to USD 95.2 billion, growing at 15.8 per cent, during the fourth quarter (January-March) of 2021-22,' the bank said.

 

This compares to USD 90.4 billion and USD 82.2 billion of total exports and non-oil exports, respectively, for the corresponding quarter of the previous year.

 

The rise in India's exports could be attributed largely to the continued global growth momentum and the resultant increase in global import demand, along with favourable global commodity prices, it said.

 

The development finance institution, however, said that the growth forecast may be subject to commodity price volatility, and uncertainties in the global economy mainly driven by the current geopolitical tension.

In a move aimed at realising Prime Minister Narendra Modi’s vision of ‘Vocal for Local’ with a focus on ‘Aatmanirbhar Bharat’, the Agricultural and Processed Food Products Export Development Authority (APEDA) organised a one-day International Buyer Seller Meet (IBSM) on March 10, 2022, at Guwahati, Assam.

 

The objective of the IBSM was to promote the exports of the potential agricultural and processed food products from Assam and other North-Eastern states and provide market linkage to the producers.

 

The IBSM at Taj Vivanta in Guwahati was Inaugurated by Minister of Agriculture, Horticulture, Animal Husbandry and Veterinary, Atul Bora. In his address, he mentioned the vast potential of North-East Products in the International market. He congratulated APEDA and Agriculture Department of Government of Assam for well organised Buyers Sellers Meet

 

At the IBSM, exhibitors from across the State displayed a wide range of their agricultural products. Importers present were from Sri Lanka, Dubai, Bangladesh, Oman, Netherlands, Singapore, Greece. The products on display included fresh fruits, vegetables, processed food products, black rice and red rice, pulses, maize, biscuits, cookies and bakery products, honey, dairy products, and processed meat. Besides Organic tea, coffee, and spices.

 

During the event, Agriculture Produce Commissioner Ashish Kumar Bhutani spoke about the conducive policy measures being undertaken to promote products of Assam in the international market. He also shared that the Agriculture Department of Assam is ready to support trade and tie-ups of FPOs with all exporters and importers present in the Buyer Sellers Meet.

 

Chairman of APEDA M Angamuthu emphasised the potential of high-quality Agriculture and horticultural products. He shared that during recent times, APEDA  has continuously tapped the export prospects of Horticulture products in the international market with buyers. With this IBSM, it is expected that markets like Oman, Netherlands, Sri Lanka, Greece, UAE, Bangladesh will source the vast untapped potential of NER products.

 

Zulfikar, Director LULU group of Hypermarket declared that due to the positive approach of Assam Government and APEDA, it is decided to start trials of sourcing Ginger from Assam LULU group declared that they will be starting trials of  150Mts ginger sourced from Assam within next fortnight. Upon the successful trials, long term agreements will be finalised taking support from APEDA and the state of Assam.

 

During the interactive Buyer Sellers Meet, Importers present from other countries expressed their willingness to procure Jackfruit, Tea, Rice, Maize, and their processed food products.

 

Chairman of APEDA Angamuthu assured support of all central and state Government to all buyers for developing Agribusiness from  Assam.

The country's merchandise exports have reached over USD 380 billion so far this fiscal till March 7 and are expected to reach USD 410 billion in 2021-22, Commerce and Industry Minister Piyush Goyal said on Friday. He also said that India and Canada have formally re-launched negotiations for a free trade agreement, which is officially dubbed as the Comprehensive Economic Partnership Agreement (CEPA).

 

'As of March 7, 2022, our exports are over USD 380 billion and well poised to cross USD 400 billion and probably closing the year at USD 410 bn on merchandise. We will have a record services exports upward of USD 240 billion,' Goyal said at a dinner hosted in honour of his Canadian counterpart Mary Ng.

 

Talking about the India-Canada relationship, he said this economic partnership will strengthen efforts to take economic ties to the next level.

 

'This will help generate jobs, help each other in times of need and work with each other in several international forums...We have over 7,00,000 persons of Indian origin in Canada today, slated to go up to 1.4 million in the next few years....,' Goyal said.

 

He also urged the Canadian minister to be a 'little more liberal' while negotiating the trade agreement.

 

The minister also sought investments from Canada in areas like infrastructure and manufacturing.

 

The Canadian minister said that huge opportunities are there in India for businesses.

 

'We already have strong people to people ties,' she said, adding Canadian businesses have invested about USD 65 billion in India, which reflects the potential here.

 

'I am looking forward for doing more work on this front,' the minister said.

 

Mary Ng added that Canada is also pursuing a Foreign Investment Promotion and Protection Agreement (FIPA) with India.

 

'We have seen an incredible flow of investments from Canada even without that,' she said, adding FIPA would further help strengthen and create confidence among Canadian investors.

 

Talking about the current global situation, she said: 'I do think that we should acknowledge the circumstances in which we meet, which are quite difficult'.

 

'The Russian invasion of Ukraine is a threat to world peace and Canada unequivocally condemns this...Invasion is a challenge to the rule-based international order and Canada has a very vibrant Ukrainian Canadian community....so the current events that are taking place are profoundly felt in homes and communities across Canada. Alongside allies, Canada stands against authoritarianism and with a democratic Ukraine now and in the future,' she said.

 

External Affairs Minister S Jaishankar said the challenges that the world order is facing require really not just a political response but an economic response as well.

 

He said that 'globally, we have today more than a million students. The maximum number of students we have anywhere in the world today is in Canada'.

 

'If you look at the big issues of the day, I really see a very strong convergence between us...Opportunities are there,' he added.

 

He noted that business would help in further strengthening the relationships between the two countries.

The crunchy Kovilpatti kadalai mittai, Groundnut candy made in the villages of Thoothukudi, has got the Geographical Indication (GI) tag, but the ingredient that makes it special, DMV-7 variety of groundnut cultivated in Tiruppur's Cheyvur village, is yet to get any recognition.

 

The Cheyvur variety is considered the groundnut in Western Tamil Nadu. It is cultivated in just 35 sqkm in Avinashi, Tiruppur. Farms are spread between areas of Nambiyur, Puliampatti, Kunnathur and Cheyvur in Avinashi. The size of the groundnut is small, similar to chickpea.

 

Speaking to TNIE, N Kandasamy (66), a farmer said, 'I was harvesting maize and horse gram for several years. But, on advice from the agriculture department, I experimented with the groundnut on four acres and got good profits. With expenses of the fertilisers and labour coming around Rs 15,000 per acre, the returns were good. So, I have been sowing the crop for 10 years now. Many traders from Dindigul, Pollachi and Manaparai come here to buy it. Around 200 farmers in my village, Periyakannur, are primarily dependent on this groundnut variety. But there isn't any recognition for it in Tamil Nadu.'

 

Speaking to TNIE, Regulatory Market (Cheyvur) superintendent S Yuvaraj said, 'Over 2,500 farmers are directly involved in the farming of groundnut in these areas. It is a kharif crop with a growing period of three months. The first phase between April and June offers a good yield and the second phase between August and October offers even more if there is good rain. Around 4,000 acres of the farmlands cultivate 'Cheyvur' groundnut and harvest around 5,000 tonnes. One of the biggest advantages of the crop is that it is indigenous variety and tastes good.'

 

'Many large candy companies used to buy these groundnuts for their rich oil content. Besides, many candy makers buy several hundreds of tonnes during the season. But, the saddest part is that candy has got GI tag, but not the raw material,' he added.

 

Joint Director (agriculture department, Tiruppur) S Manoharan said, 'Based on agriculture records, this variety has been sowed for more than 100 years in the region. The red sandy loam soil in the region is best for its growth and adequate rainfall adds more value to the crop. This variety deserves a GI tag. We have taken the issue to superiors.'

Indian exporters are sitting on large orders as the Russia-Ukraine conflict has sharply increased logistics costs, Union minister Nitin Gadkari said on Saturday. He said exporters are concerned over availability of containers and port-related issues.

 

'Because of these complications, the industry is not being able to take advantage of such large exporter orders,' the Union Minister for Road Transport & Highways said at a virtual session organised by the Confederation of Indian Industry-Eastern Region.

 

According to Hellenic Shipping News, worldwide shipping costs have increased 30 per cent year-on-year.

 

Gadkari said the country has to reduce its dependence on crude oil, which is the need of the hour for the industry, and opt for alternative fuel like green hydrogen.

 

The minister said the Centre is in the process of setting up 35 multi-modal logistics parks (MMLP), which would help the Indian exports sector become more competitive in the international market.

 

Gadkari said the MMLPs will be developed on PPP basis with a capital outlay of Rs 46,000 crore.