Export market for Indian grapes set to shrink in 2021

Grape exporters from India predict a drop in the 2020-21 shipments to Europe  because of the ongoing pandemic, as demand is staying restrained. Increments in export prices are also leading the country’s exporters to shift their attention to the domestic market.

Data received from Agricultural and Processed Foods Export Development Authority (APEDA) demonstrated that the annual export growth rate of grapes to Europe has been decreasing from 32% for the fiscal year 2016-17 to a negative 12% in the fiscal year 2019-20.

Grower and exporter margins are set to be compressed as the production prices for the same have increased, whereas foreign customers are trying to slash costs by around 20 to 30% over the past years. Exporters commented, shipping corporations are citing high freight rates, whereas packaging corporations too are citing higher rates, indicating high paper costs.

Source: krishijagran.com

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