Revival of Walnut Trade: U.S.-India Diplomatic Success

Surge in Exports Following Tariff Removal on the Eve of G20 Summit

California walnut exports to India have experienced a remarkable increase following the elimination of India's retaliatory customs tariffs. This uptick in shipments from the U.S. was particularly pronounced from September to November, with the volume more than doubling compared to the same period in the previous year. This surge in exports coincided with U.S. President Joe Biden's visit to New Delhi for the G20 Summit. The increase followed a significant development in trade relations between the U.S. and India, where both nations resolved trade disputes during Prime Minister Narendra Modi's state visit to the U.S. earlier in the year. This diplomatic engagement led to the lifting of retaliatory tariffs on several U.S. goods, including walnuts.

California Walnuts Take Flight: A Surge in Indian Markets

Remarkable Growth in Exports and Dominance in Global Walnut Trade

Pamela Graviet, the Senior Director at the California Walnut Commission (CWC), highlighted a substantial increase in walnut shipments to India. She reported that around this time last year, the U.S. exported approximately 3.3 million pounds (1,496 metric tons) of walnuts to India. This figure has now soared to 7.8 million pounds (3,538 metric tons). The full scope of this year's shipments will be clearer by mid-next year. California's walnut harvest occurs from September to November, and the state is a major player in the global walnut market, accounting for 99% of U.S. production and nearly half of the world trade. While Germany remains the largest market for these walnuts, India has emerged as a significant destination since it started importing them in 2013.

Regaining Market Foothold: California's Strategic Push

Innovative Marketing and Cultural Integration Boost Walnut Consumption in India

In the face of declining market share in India over recent years, the California walnut industry has adopted several strategic measures to reclaim its position. Other countries, notably Chile, capitalized on India’s imposition of additional duties on U.S. products, becoming the largest exporter of walnuts to India. In response, the California industry has been actively promoting the nutritional and medicinal benefits of walnuts in India. This includes collaborations with food connoisseurs, dieticians, researchers, and social media influencers. Robert Verloop, Executive Director of the California Walnut Board and CWC, mentioned the organization's commitment to investing in consumer and trade education since starting exports to India in 2013. Their efforts have involved blending international culinary ideas with traditional Indian recipes, which has gradually increased walnut consumption in India. This growth is expected to accelerate, supported by the rising purchasing power of Indian consumers and the growing awareness of the health benefits of walnuts, especially during festive seasons like Diwali and Christmas.

Conclusion: The strategic lifting of tariffs and targeted marketing efforts have led to a remarkable resurgence in California walnut exports to India, exemplifying successful international trade dynamics.