India is spicing things up in the spice arena as garlic exports skyrocket as a global shortage intensified by China's dwindling supply, the world's leading garlic producer. With China experiencing a 75 percent slump in garlic output, India has stepped into the limelight as the second-largest producer, making waves in the international market.

Setting Records and Breaking Barriers In Exports

The fiscal year 2023 witnessed India's garlic exports soaring to an all-time high of 57,346 tonnes. Surpassing this feat, the current fiscal year is poised to outshine the previous records. Recent data from the Spices Board reveals exports touching 56,823 tonnes for April–September 2023–24, marking a staggering 110 percent increase in quantity and a 129 percent surge in value compared to the same period last year.

In FY23, when overall spice exports faced an 8 percent decline, garlic emerged as the star performer, breaching the 50,000-tonne milestone for the first time. While heavyweights like chilli and cumin faced setbacks, garlic stood tall with a remarkable 159 percent surge in quantity and a 32 percent rise in value year-on-year.

Price Peaks and Market Moments

Garlic prices have scaled new heights, hovering around $2,88 or € 2,64 per KG in wholesale markets, translating to retail prices ranging between $3,12 or €2,86 per kg domestically. This surge is attributed to depleting old stock and increasing export demands. International prices of Indian garlic stand at $1,80 or €1,65 per kg, surpassing China's $1,35 or €1,24 per kg.

The garlic harvest, anticipated to reach 3.6 to 3.75 million tonnes, indicates a 30 percent increase in sowing for the upcoming season. However, the pendulum of prices is expected to swing until the harvest in February-March. Experts predict a potential price dip to $0,9 per kg post-harvest, presenting a competitive edge against Chinese garlic.

Global Appetite for Indian Garlic

The global shortage has prompted unconventional buyers, such as Brazil, from non-traditional markets to turn to India for garlic. While Asian countries remain primary consumers, Latin American countries are shifting focus. Almost 70 percent of garlic exports are fresh, with increasing demand for flakes and granules, especially from Western nations.

Traditionally, the US, Europe, and West Asia favoured Chinese garlic; however, changing momentum reveals an increasing preference for Indian garlic flakes. The spike in demand is attributed to China's depleted buffer stock, resulting in Indian garlic flakes reaching $1,26 or €1,15 per kg.

India's garlic success is a testament to our agricultural expertise in the spice saga. As global trends shift, the spice markets spice up, bringing a flavorful economic boost. Exploring these trends wisely promises a fruitful harvest for India's garlic industry, marking another year of aromatic success.