Copyright infringement not intended

Picture Courtesy:   THE HINDU BUSINESSLINE 

Context:

India launches SPICED scheme to boost sustainable spice exports and support farmers with financial aid.

SPICED Scheme

The Spices Board under the Ministry of Commerce and Industry, launches the Sustainability in Spice Sector through Progressive, Innovative and Collaborative Interventions for Export Development (SPICED) scheme for the financial year 2025–26.

India produced 12 million metric tonnes of spices in FY24, up from 11.14 million tonnes in FY23. Spice exports earned $3.73 billion in FY23, and organic food exports jumped by 35% to $665.96 million in FY 24–25. Despite the growth, Indian spices face tough competition from countries like China, which have strict quality standards. The SPICED scheme tackles these challenges by:

• Boosting Production: It increases the output of small and large cardamom through modern farming techniques.
• Improving Quality: It ensures spices meet global food safety and phytosanitary (plant health) standards.
• Promoting Value-Added Spices: It encourages the export of processed, organic, and GI-tagged spices, which fetch higher prices.
• Empowering Farmers and Small Businesses: It provides financial and technical support to farmers, FPOs, and small exporters, especially first-timers.

This scheme aligns with India’s broader economic goals of sustainable agriculture, rural empowerment, and global trade leadership.

Key Features of the SPICED Scheme

Enhancing Cardamom Productivity

The scheme prioritizes cardamom, a high-value spice grown in states like Kerala, Karnataka, and the Northeast. It helps farmers:

• Replant Old Plantations: Replace aging cardamom plants with high-yielding varieties.
• Produce Quality Planting Material: Ensure healthy, disease-free seeds for better crops.
• Develop Water Resources: Build water storage systems to support farming in dry areas.
• Adopt Micro-Irrigation: Use efficient watering systems like drip irrigation to save water and boost yields.
• Offer Weather-Based Insurance: Protect farmers from losses due to unpredictable weather.

Improving Post-Harvest Quality

• Providing Modern Equipment: Farmers and FPOs receive financial aid to buy machines like spice polishers, turmeric boilers, mint distillation units, and threshing machines. These tools clean, process, and package spices to meet international standards.
• Upgrading Infrastructure: The scheme funds modern dryers, slicers, dehullers, and grading machines to improve spice quality.
• Promoting Mission Clean and Safe Spices: This program encourages sustainable practices and certifications to ensure spices are free from harmful chemicals and meet global food safety rules.

Promoting Organic and GI-Tagged Spices

• Supports Organic Certification: Helps farmers adopt eco-friendly practices and get certified as organic, increasing their income.
• Promotes GI-Tagged Spices: Highlights spices like Alleppey Green Cardamom or Coorg Black Pepper, which carry regional prestige and fetch premium prices.
• Sets Up On-Farm Composting Units: Encourages farmers to make organic compost, reducing reliance on chemical fertilizers.

Boosting Exports and Market Access

SPICED helps Indian spices reach international markets by:

• Funding Trade Fairs and Buyer-Seller Meets: It covers costs for exporters to attend global events like Anuga (Germany), SIAL (France), and Gulfood (UAE), where they showcase Indian spices and build networks.
• Supporting First-Time Exporters and Small Businesses: New exporters and small enterprises get priority to help them break into global markets.
• Branding Indian Spices: The scheme promotes Indian spices as a premium brand through marketing campaigns and exhibitions.

Promoting Innovation and Entrepreneurship

• Spice Incubation Centres: These centres support startups and MSMEs (micro, small, and medium enterprises) in developing new spice products, like ready-to-use spice mixes.
• Capacity Building: It offers training, technical know-how, and market intelligence to farmers, FPOs, and Self-Help Groups (SHGs).
• Technological Upgrades: Funds are provided to set up or upgrade in-house laboratories for quality testing and to develop value-added products like spice oils or powders.

Who Benefits from the SPICED Scheme?

• Farmers and FPOs: Small and large cardamom farmers, farmer groups, and FPOs in states like Kerala, Karnataka, Tamil Nadu, and the Northeast receive financial aid and training.
• SC/ST Communities and Northeast Exporters: Special focus is given to marginalized communities and exporters from the Northeast to promote inclusive growth.
• Small and Medium Enterprises (SMEs): First-time exporters and small businesses get priority support to enter global markets.
• Spice Clusters under ODOP and DEH: Farmer clusters under the One District One Product (ODOP) and District Export Hub (DEH) initiatives are prioritized for post-harvest improvements.

Must Read Articles: 

About Spices Board Partners With FSSAI 

Source: 

THE HINDU BUSINESSLINE