Traders examine turmeric at an auction centre ahead of bidding for the spice
Ramadoss from Bodinayakanur grows cardamom on his farms in neighbouring Kerala and sells the processed spice in his hometown. “The small green cardamom is the most sought-after spice in Arab countries, Japan and the US,” he says.
A spice park at Theni, a hub for cardamom trade with easy access to other
spices
such as pepper and bay leaves from Idukki in Kerala district, will help farmers with better prices and boost exports with
value-added products
, he adds.
Value-addition is clearly the way forward. Cardamom is just one of the spices Tamil Nadu exports. In 2023-24, the state exported about 3,23,749 tonnes of spices including chilli, turmeric, cumin, black pepper, cardamom, fenugreek and cloves. In value terms, the state exported spices worth USD 237.2 million in FY24, a nearly 7% increase over USD 222 million in FY23. TN is also home to GItagged spices such as Erode Turmeric, Ramanathapuram Mundu Chilli, Kodaikanal Malai Poondu (hill garlic) and Kanyakumari Clove.
“A distinct brand identity for Tamil Nadu spices must be created, highlighting their unique qualities, traditional cultivation methods and health benefits, for the international market,” says Sanjeev Bisht, chairman of the All-India Spices
Exporters
Forum (AISEF). Spice processing clusters must be set up in Theni, Dindigul and Sivaganga and investment made in R&D for product innovation, he adds. “New spice blends, extracts and value-added products tailored to international market demands must be developed. Dedicated spice terminals in major ports such as Chennai and Tuticorin must be created.”
The Tamil Nadu chapter of CII wants the state govt to incentivise cultivation of spices such as turmeric in Erode and Salem regions, black pepper in the Shevaroy, Palani and Kolli hills, and chillis in Virudhunagar, Ramanathapuram and Sivagangai. Tamil Nadu has all the requirements to be a key exporter of valueadded spice products, says Jaisinh Vaerkar, managing partner, The Peninsular Export Company, and cochair, CII TN family business forum.
“The southern districts of Virudhunagar, Ramanathapuram and Tuticorin have a reasonably good chilli crop. The yields though are small and need to be enhanced by developing new seed varieties that thrive in the dry land cultivation method,” he says.
The govt must facilitate import of spices such as pepper, cinnamon, star anise, cloves and nutmeg from Sri Lanka, Vietnam and Indonesia through Tuticorin port, he adds. “Also, establishing export-oriented units near the Tuticorin port can boost re-export of high-value spice products,” says Vaerkar.
Tamil Nadu’s export of valueadded spice products is more than a century old. P, Vencatachellum Condiments, pioneer of Madras curry powder, was founded in 1860. The firm’s versatile spice blend is exported to the UK, New Zealand and Australia among others. “Exporters must market their products using their own brands internationally as it gives them better margins,” says P V S Vencatasubramaniam, managing partner, P. Vencatachellum Condiments.
M Sathyamurthy, secretary, Erode Turmeric Merchants and Godown Owners’ Association, says curcumin extraction units must be set up in the Erode region. “This will pave the way for value-added products in cosmetics too,” he says. Presently, about 15% of Erode turmeric is exported, mostly in powdered form, to countries where there is demand from the Indian dias pora.