India's agricultural and allied exports have surpassed the $50 billion mark. The next target is an ambitious $100 billion. The spike in shipments can also support broader ambitions like a $1 trillion agri-economy and enhanced farmer incomes. However, a consistent and predictable policy environment remains the cornerstone for the road to export success.

Currently, four major product categories each contribute $4 billion or more to exports. By elevating other products into this category, India can move closer to the $100 billion mark. However, achieving this target demands clarity and consistency in export policies, simplification of rules and procedures, and improved infrastructure from farm to port. Strengthening Good Agricultural Practices (GAP) and ensuring quality enhancement is crucial.

Despite global trade volatility—especially amid U.S. tariff policies under President Trump—India’s agri-exports have performed well. In 2024–25, agricultural and allied exports rose by 6.47% to $51.91 billion. Rice exports led with a record $12.5 billion, including $6 billion from basmati rice alone.

Marine products followed with $7.4 billion in exports. Spices rose by 4.84% to $4.45 billion. Buffalo meat exports saw an 8.57% increase, surpassing $4 billion. Processed foods and fresh fruits grew by about 2%, reaching $1.68 billion and $1.17 billion respectively. Processed fruits and juices rose 6% to over $1 billion. Tobacco exports jumped 40% to nearly $1.5 billion, while organic products and dairy exports grew by 35% and 54% respectively.

Under the Ministry of Commerce and Industry, APEDA (Agricultural and Processed Food Products Export Development Authority) supports this effort. In 2024–25, exports under APEDA’s ambit rose 11% to $27.9 billion, signaling a promising path to the $100 billion goal by 2030, despite challenges.

According to APEDA Chairman Abhishek Dev, efforts are underway to improve infrastructure, expand export facilities, and connect farmers to global markets. Varanasi, for instance, emerged as a success story—exporting thousands of tons of fruits and vegetables within four years, including black rice from Chandauli and Langra mangoes. Varanasi was developed as an agri-export hub with enhanced airport facilities. Amritsar airport is also being upgraded for export operations.

Because perishable items often fail to reach distant domestic or global markets, the 2024–25 Union Budget announced expansion of air cargo warehousing. Streamlined cargo screening and customs protocols can further ease exports.

Rice Export: A Success story

Agri-export growth can significantly raise farmers' incomes, provided products meet international quality and safety standards. Basmati rice is a standout success, with rice exports growing 23.48% in 2024–25 to 202 lakh tonnes worth $12.47 billion (over `1 lakh crore). Rice alone contributes 25% to total agri-exports, with basmati accounting for over `50,000 crore. This illustrates the potential for other commodities to boost export revenue.

Quality and Food Safety Standards

Export success hinges on adhering to global quality and food safety norms, from seed selection to post-harvest processing and packaging. Standards vary by region—USDA for the U.S., EU standards for Europe—and include sanitary and phytosanitary regulations, pesticide residue levels, and traceability.

Recent rejections of Indian mango shipments to the U.S.—due to documentation errors at an irradiation facility—highlight how lapses can lead to costly export losses. India produces 43% of the world’s mangoes but exports less than 1% due to such hurdles. In 2024, India exported 32,000 tons of mangoes and 60,000 tons of mango pulp, and efforts are underway to promote exports from mango-producing states like Uttar Pradesh.

To ensure compliance, APEDA is collaborating with IARI-Pusa, FSSAI, exporters, and state governments. Awareness among exporters is essential—some states have already banned harmful pesticides used in basmati production.

Value-Added Products and Multi-Ministry Coordination

Enhancing export value requires a focus on value addition. Subrata Gupta, Secretary of the Ministry of Food Processing Industries (MoFPI), emphasizes the need for robust infrastructure, hygiene, and sanitary standards aligned with international norms. Coordination among central/state governments and industry players is vital.

FIEO Director General Dr. Ajay Sahai notes that 50% of agri-exports are raw products, while processed foods account for about 30%. Boosting value-added and processed food exports is key to reaching the $100 billion target.

Multiple ministries play roles in agricultural exports—agriculture production falls under the Agriculture Ministry; exports under the Commerce Ministry; procurement and storage under the Ministry of Consumer Affairs; food processing under MoFPI; and dairy and meat under the Ministry of Animal Husbandry. Customs falls under the Finance Ministry.

Promoting GI-Tagged Products

Geographical Indication (GI) tags help position Indian products globally. India now has a separate HS code for GI-tagged rice varieties like Kalanamak, Gobindobhog, Navara, Pokkali, and others. This facilitates traceability and enables exports even when generic rice varieties are restricted.

APEDA has started exports of GI-tagged Dalle Khursani chilies from Sikkim and jaggery from Muzaffarnagar, UP. These efforts—often via Farmer Producer Organizations (FPOs)—help ensure direct benefits to farmers. Western UP’s jaggery and basmati rice are already being exported to Lebanon and Oman with APEDA’s support.

Building Infrastructure and Export Facilities

Boosting exports requires facilities like pack houses, cold chains, auction centers, irradiation units, and cargo terminals. APEDA supports these through various schemes. Investing in core agri-infrastructure—power, irrigation, transport—can increase productivity and market reach. Reducing post-harvest losses is equally crucial.

According to Dr. N.C. Saha, former director of the Indian Institute of Packaging, advanced packaging technologies can extend the shelf life of perishables like litchi from 15 to 60 days, enhancing export feasibility. Government incentives for adopting such technologies are recommended.

Balancing Farmer Interests and Export Policy

The government has to strike a balance between curbing inflation, ensuring national food security, and promoting exports. In this process, farmers often miss out on the benefits of export markets. In 2023, restrictions on the export of onions and non-basmati rice adversely affected the country’s agricultural exports and farmers. A similar situation is being witnessed in the case of wheat.

For the past two years, the Ministry of Agriculture has been claiming record wheat production in the country. The ministry estimates that wheat production in 2024–25 will reach a record 115.4 million tonnes. Government wheat procurement this year is around 11% higher than last year. Yet, the export ban on wheat remains in place.

It is worth noting that the Government of India imposed a wheat export ban in May 2022 due to a decline in production. This step was taken to ensure domestic food security and control inflation. A similar move was made with onions in 2023, when the government banned their export—a decision that became a major issue in Maharashtra ahead of the 2024 Lok Sabha elections.

These circumstances also raise questions about the accuracy of agricultural production data. Despite a bumper harvest of 113.2 million tonnes of wheat last year, government procurement was only 26.6 million tonnes, and wheat prices in the domestic market did not fall even after the export ban.

In reality, increasing agricultural production is essential to boost agricultural exports. Moreover, the policy of imposing export restrictions for various reasons, thereby denying farmers better prices, also needs reconsideration. Agricultural exports play a crucial role in ensuring better returns for farmers. Therefore, a balance must be maintained between food security and agricultural trade. This harmony can be achieved by enhancing production capacity, reducing post-harvest losses, improving supply chain efficiency, and adopting sustainable farming practices.

Need to Enhance Productivity and Efficiency

In terms of agricultural production, India still lags far behind not just developed countries but also China. As a result, the lack of productivity continues to challenge the competitiveness of Indian products. However, India has made significant progress in fruit exports, especially grapes, bananas, and pomegranates. This momentum must extend to other crops as well—an essential step toward achieving the ambitious $100 billion agricultural export target.

The government initiated steps toward this target with the new export policy introduced in 2018, but the goal remains distant. However, the $50 billion mark has now become a sustainable benchmark. The next step is to double it, which is essential not only for better incomes for farmers but also to make farming a more attractive and viable enterprise. Export growth will play a vital role in this endeavor.

Boosting exports requires facilities like pack houses, cold chains, auction centers, irradiation units, and cargo terminals. APEDA supports these through various schemes. Investing in core agri-infrastructure—power, irrigation, transport—can increase productivity and market reach.

Export success hinges on adhering to global quality and food safety norms, from seed selection to post-harvest processing and packaging. Standards vary by region—USDA for the U.S., EU standards for Europe—and include sanitary and phytosanitary regulations, pesticide residue levels, and traceability.