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Agriculture And Food Industry


Agriculture And Food Industry In India


Agriculture plays a vital role in India’s economy. Over 58 per cent of the rural households depend on agriculture as their principal means of livelihood. India is the largest producer, consumer and exporter of spices and spice products. India's fruit production has grown faster than vegetables, making it the second largest fruit producer in the world. India's horticulture output, is estimated to be 287.3 million tonnes (MT) in 2016-17 after the first advance estimate.


In 2016-17, the total exports from this sector witnessed a positive growth of 0.55% to reach US$ 24657.09 million, thus, occupying a share of 8.92% in India’s overall exports. Indian agricultural/horticultural and processed foods are exported to more than 100 countries/regions; chief among them are the Middle East, Southeast Asia, SAARC countries, the EU and the US.

Key traits witnessed in 2016-17:

  • Exports from Spices, which is the third largest export item from this sector,  witnessed a growth of 13.74%, occupying a share of 1.05% in overall exports of the Industry to reach US$ 2890.58 million

  • Exports from Fresh fruits witnessed a much faster growth of 16.76% as compared to that of Fresh vegetables which witnessed a growth of 6.54%.

  • Major Export items in terms of value such as Buffalo Meat, Basmati Rice and Sugar, occupying a share of 34% in overall exports from this sector, witnessed a negative growth of 3.55%, 7.35% and 13.3% respectively.

  • Ayush and Herbal Products, one of the most distinguished segments of this sector, witnessed a growth of 10.9% to reach US$ 403.69 million.

  • Exports from segment of all the processed items including Processed Fruits and Juices, Miscellaneous Processed items and Processed Vegetables witnessed a positive growth except for Processed Meat which recorded a negative growth of 28.58%

  • Tobacco Manufactured witnessed a positive growth of 2.67% against a negative growth of 4.19% in exports of Tobacco Unmanufactured.

Agriculture and Processed Food Products Export Development Authority

The Agriculture and Processed Food Products Export Development Authority (APEDA) plays a significant role in tapping India’s agricultural strengths and works towards expanding the export potential of Indian agricultural and food products through its presence in almost all the agro potential states in India. 


Source: India Brand Equity Foundation

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