You need some important code registration if you want to start a spice export business in India and these are AD code registration, import-export code registration, FIEO(Federation of Indian Export Organisation, and GST registration.
These are some important registrations you need before starting a spice export from India. These registrations will ease you to start a spice export business in India.
Spice business in India
- 1 Spice business in India
- 2 List of profitable spices to export
- 3 Types of spice business in India
- 4 Start a spice export business in India
- 5 Spice Board of India
Spice export business is one of the best and profitable businesses in India. India is one of the largest spice producers and exporters in the world.
Indian spices are always in demand all over the world because of their quality and flavor. India is already exporting 75 varieties of spices out of 109 different spices in the world.
In almost every household in India or foreign countries, there is always a need for spices in every dish. Hence, it is proven that if you are starting a spice export or spice trading firm in India there is always an opportunity for a spices export.
Is it profitable to run a spice export business in India?
As we all know, spice falls under basic commodities in India. Spice is also a most sought-after component in most Indian kitchens. In countries such as India, China, and the U.S, the population is huge and so domestic consumption of spices is pretty high.
Branded and blended spices demand higher profit margins in comparison to unbranded and unblended spices.
Spices are one of the major components of India’s external business with foreign countries. Indian spices are now available widely. In addition to this, India is one of the largest exporters of spices. Hence, there are so many opportunities to start a spices export business in India.
List of profitable spices to export
There are 52 spices listed by the Spice Board that you can export but choosing the specific spices to trade-in is essential to garner a higher profit margin. Some of the most profitable spices to export are mentioned below.
Mint – The spice can also cure stomach-related issues and in the financial year 2016-17, India was one of the largest exporters of mints. India exported about 22.3 lakh tonnes of mints to China, Germany, the Netherlands, the US, and France.
These countries were the top importers of mint from India.
The data proves that there is a huge demand for Indian mint in foreign countries.
Cumin – Cumin is used to treat digestive problems like diarrhea, colic, bowel spasms, and gas. India has exported 1.19 million tonnes of cumin worth about Rs. 1,96,320 lakhs during the financial year 2016-17. The United States, the United Arab Emirates, Vietnam, the United Kingdom, and Bangladesh were the largest importer of Indian cumin.
Turmeric – Turmeric is a popular spice and it is extracted from the Curcuma longa plant and it can help to cure swelling. India has exported 1.16 million tonnes of turmeric during 2016-17 worth of Rs. 1, 24,189 lakhs
. Iran, the United States, Malaysia, Bangladesh, and the United Arab Emirates are the largest importers. Among these, Iran was one of the top importers of Indian turmeric worth Rs.13,575.50 lakhs.
Benefits of spice export business in India
- Indian spices are always in demand in the international market because of their flavor and high quality
- The spice business is a sustainable business and economically viable option for making high profits per annum
- Spice exporters also receive various subsidies to send samples of spices to foreign countries at a lower cost
- Spice exporters also get subsidies for making promotional videos and other campaigns
Types of spice business in India
The ways you can start a spice export business in India
- Manufacturer of spices
- Merchant of spices
- Wholesaler of spices
- 3rd-party manufacturer of spices
- A supplier/exporter of spices
These are some best spice businesses in India you can start with and the profit margin is great per year.
Start a spice export business in India
These are some licenses you need to obtain before you can start with the spice exports business in India
- Incorporation certificate
- Import-export code
- Registration cum membership certificate
- Goods and service tax for tax purposes
- MSME( Ministry of Micro, Small & Medium Enterprises) registration
- Trademark registration
- Food Safety and Standards Authority of India registration or license
- Passport size photo
- Phytosanitary certificate
- Authorized dealer code from a recognized bank
- Bank certificate and statement
- Company PAN card.
Spice Board of India
The Spice Board of India was started on 26th Feb 1987 under the Spice Board Act 1986 (No. 10 of 1986) for promotion, market, development, quality evaluation, product quality check of Indian Spices in the global markets.
Spice Board functions under the Ministry of Commerce, the Government of India.
Potential of the spices manufacturing sector
Some popular Indian brands have captured the spice industry but that’s why if your product is not up to the mark then chances of survival of your product are low. This is not to demotivate you; there are still so many opportunities available. This is just to remind you that before starting a spice export business, you need to know where to procure high-quality spices to export to all over the world.
Buy spices online in India
There are so many platforms where you can buy spices online in India but the quality matters. There is a platform where you can get high-quality spices without the hassle and that is Tradologie.com. This is the world’s first next-generation B2B platform for food products and agri-commodities.
Export spices to all over the world
Once you have started with the Indian spices export business, you need a trustable platform on which you can rely and the platform is Tradologie.com. The company has 45K+ verified ready-to-sell global sellers and also you can export spices to over 500K+ ready-to-buy buyers from all over the world without doing any calls or emails.