The future of turmeric exports: India’s path to securing global market dominance

By adapting to domestic production practices with the changing global demand and fostering a collaborative ecosystem, India can secure its future exports in the global market

For centuries, India has been known as the ‘Land of Spices,’ producing and exporting a wide variety of products, renowned for their distinctive flavour, aroma and health benefits. One such spice is turmeric, known as the ‘Golden Spice of India’, which has spread through trade beyond South Asia to different parts of the world. Today, turmeric is cultivated in many South Asian countries, China, Africa and the Caribbean and has multiple end-uses spanning industries such as food, condiment, dye, nutraceuticals, cosmetics and medicine.

With global demand rising and growing demand for high-quality curcumin for preventive healthcare, several countries, such as Myanmar, Fiji, and Indonesia, are among the top five producers. India continues to be the largest exporter with close to 67 per cent of global exports in the year 2023. While the export value has increased from USD 182.53 million in 2017 to USD 212.65 million in 2023, the share in exports is showing a slow decline, with new exporting countries like Fiji coming up.

Global demand is also shifting towards turmeric, which has high curcumin content and organic varieties. Developed markets like the EU and the USA are emerging as key centres for the consumption of high-quality turmeric that meets stringent sanitary and phytosanitary (SPS) and quality standards. The share of the USA in the imports of turmeric increased from 13.80 per cent in 2017 to 18.98 per cent in 2023, making it the first largest importer followed by India.

We continue to import significant amounts of turmeric (especially dry), mainly from Vietnam, Indonesia, and Myanmar. Much of our exports are in raw and powder format, where processing and further product developments are done in markets like the European Union (EU).

Within the EU, countries like the Netherlands and Germany have become key exporters along with other countries like the USA.      Some reasons for lower value addition in India include the inability to supply more than 10 per cent of the global requirement of turmeric with higher than 5 per cent curcumin, high use of pesticides and insecticides, lack of market knowledge and limited R&D and innovative products. 

The country must evolve from just a raw turmeric supplier by innovating, ensuring quality, and adopting sustainable and good agricultural practices to maintain India’s global dominance and move up the global value chain.

Several companies have made strides in this direction by producing curcumin extracts for pharmaceuticals and nutraceuticals. Products like Vicco Turmeric Cream combine turmeric with modern cosmetics, linking Ayurvedic traditions with contemporary personal care.

High-curcumin variants, such as Lakadong turmeric, are gaining international recognition for their medicinal benefits. The number of Geographical Indication (GI) turmeric has increased to six as of December 31, 2024. However, to achieve the Indian Government’s objective of making India the global hub for turmeric production and to meet the Ministry of Commerce and Industry’s projected target of turmeric exports of USD1 billion by 2030, further action is required. 

Establishing a National Turmeric Board, announced by the Prime Minister, is one such step towards consolidating and implementing comprehensive regulations governing the entire turmeric value chain, imperative to enhance the sector’s global competitiveness.

Additionally, although the standards of domestically produced turmeric align with international regulations, such as the CODEX, global turmeric users require higher curcumin content, with sustainable farming practices and for that targeted R&D is needed to improve the curcumin content of the produce.

Export processes and compliance requirements need to be streamlined and simplified. Signing mutual recognition agreements (MRAs) for standards and organic may help. For example, the MRA for organic products signed between India and Taiwan in 2024, is a step in the right direction. Similar MRAs need to be signed between India and its key turmeric export destinations Like the EU and the USA, which will reduce the cost and time of certifications and testing.

By aligning domestic production practices with the changing global demand and fostering a collaborative ecosystem, India can secure its future exports as a reliable and preferred supplier of high-quality turmeric in the global market.

(The writer is professor, at the Indian Council for Research on International Economic Relations. With inputs from Eshana Mukherjee. Views are personal)