India's Spice Exports Decline 33% Amid West Asia and Ukraine Conflicts
India’s spice exports dip 33% due to West Asia conflict, Ukraine war

Image: Deccan Herald
India's spice exports have dropped by 33% due to disruptions from the West Asia conflict and the Russia-Ukraine war, resulting in a foreign exchange deficit of ₹854.37 crore for the 2025-26 fiscal year. Major shipping routes were affected, limiting spice shipments to key markets.
- 01India's spice exports fell from 2.34 lakh tonnes in March 2025 to 1.57 lakh tonnes in March 2026.
- 02The foreign exchange deficit for the 2025-26 fiscal year is estimated at ₹854.37 crore.
- 03Karnataka is the sixth-largest spice producer, primarily exporting black pepper and turmeric.
- 04The geopolitical tensions have caused a 20-30% drop in the export of black pepper and chilli.
- 05The Indian government has launched the RELIEF initiative to support exporters impacted by these disruptions.
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India's spice exports have suffered a significant decline of 33% due to the ongoing West Asia conflict and the Russia-Ukraine war, according to data from the Spices Board. This disruption has prevented the shipment of nearly 77,117 tonnes of spices, leading to a foreign exchange deficit of ₹854.37 crore for the 2025-26 fiscal year. In March 2025, India exported 2.34 lakh tonnes of spices, but this fell to 1.57 lakh tonnes in March 2026 amid geopolitical tensions. Karnataka, a major spice-producing state, has seen a 20-30% reduction in black pepper and chilli exports. The Indian government has responded by initiating the RELIEF (Resilience & Logistics Intervention for Export Facilitation) program to assist exporters facing challenges due to increased freight costs and war-related risks. The spice trade, crucial for India's economy, typically involves exporting 17.50 lakh tonnes of spices to over 180 countries.
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The decline in spice exports has led to significant economic losses for farmers and exporters, particularly in Karnataka.
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