Trade pattern (Arecanut)

Export Pattern

India was the largest producer and consumer of arecanut in the world with 51% of the global area. Arecanut was grown in 5.886 lakhs hectares in 2005 of which 3.0 lakh hectares (51%) was in India, as per F.A.O statistics. Other important producers are Bangladesh (13.13%), China (8.51%), Myanmar (6.11%) and Thailand (2.71%). Arecanut has limited export potential. However a small proportion of the products is exported in processed form or in terms of other products like panmasala, scented supari and gutka.

Production pattern

The global production of arecanut was 0.64 million tonnes in 2005 of which India accounted for 50%. Other important producers were Bangladesh (13%), China (9%), Myanmar (6%), Thailand (3%) and others 19%. The pattern of country-wise arecanut production is depicted in the following pie chart.

Source:http://faostat.fao.org

India has been exporting small quantity of arecanut till 2000-01. The quantity exported rose steadily from 406 tonnes in 1995-96 to 734 tonnes in 1999-00. Between 2000-01 and 2001-02, the volume of export more than doubled from 712 to 1483 tonnes. Exports further doubled between 2003-04 and 2004-05 from 1809 to 3695 tonnes. In 2005-06, exports were to the tune of 3458 tonnes.

Although exports doubled in 2001-02, the export earnings rose only marginally from Rs. 6.69 crores in 2000-01 to Rs. 7.28 crores in 2001-02 due to steep fall in the unit price from Rs. 93.98 per kg to Rs. 49.15 per kg during the period compared to unit value of exports of Rs. 94 per kg realised during 1999-00 and 2000-01, the unit value realisation were much lower in all subsequent years and the highest value was obtained in 2005-06 at Rs. 67.42 per kg.

India's export of arecanut during 1995-96 to 2005-06

The pattern of export value realised per kilogram of arecanut export is depicted in the following bar chart.

Last updated: 27-7-2007