Even as the quantum of spices exports fell by 24 per cent, the value realisation increased by 22 per cent during April-July of the current fiscal. With the the value of the dollar continuing to fall, the foreign exchange realisations spurted by 26 per cent.
Unit value realisation
It was the growth in the unit value realisation of spices that resulted in the growth in total value realisation.
However, specific instances of the spurt in unit value of spice oils and oleoresins, mint and mint products, nutmeg and mace, pepper and other seeds such as mustard and ajwain seed deserves special mention.
Spice oils and oleoresins as well as mint and mint products account for a significant portion of the total spices exports basket.
Pepper prices also soared in the international market and India's unit value realisation increased by 56 per cent to Rs 265 a kg, up from Rs 170 reported during the corresponding period of last year.
The sharp rise in unit value realisation of these spices was able to buttress the fall in unit value realisation in items such as small cardamom.
The country exported 1,57,725 tonnes of spices valued at Rs 2613 crore during the first four months of the current fiscal.
Foreign exchange earnings
The foreign exchange earnings improved to $585.46 million.
During corresponding period of last year, the country had exported 2,08,775 tonnes of spices valued at Rs 2135 crore. The foreign exchange earnings were at $464.92 million. The redeeming feature being that in spite the sharp fall in quantity, both the rupee and dollar realisation have been looking up.
During April-July 2011, the export of pepper, small cardamom, large cardamom, ginger, turmeric and other spices such as tamarind and asafoetida have shown an increase both in volume and value.
Pepper, cardamom
A total quantity of 7,550 tonnes of pepper valued Rs 200 crore have been exported as against 6,800 tonnes valued Rs.115 crore of April-July 2010.
The volume of small cardamom exports increased by 376 per cent, more than compensating for the fall in unit value realisation and the rupee realisation improved by 288 per cent. The unit value realisation of large cardamom has also improved during the period.
Compared to the spices export target of 5,00,000 tonnes valued Rs 6,500 crore ($1,450 million) fixed for the financial year 2011-12, the country has achieved 32 per cent of the quantity at 1,57,725 tonnes, 40 per cent of the rupee earnings at Rs 2,613 crore and 40 per cent of the foreign exchange target at $585.46 million in April-July.