Export of agricultural and processed food products from India fell by 3 per cent to USD 5.88 billion during the first quarter of the current financial year. This was mainly attributed to issues pertaining to the Red Sea crisis, rise in freight and shortage of containers, according to latest data released by state-run Agricultural and Processed Food Products Export Development Authority (APEDA).
During the April-June period, exports of rice, some cereals, cashews and oil meals declined. Rice exports fell marginally to USD 2.8 billion during the period, while cashew exports declined by 17 per cent to $68.63 million. But, fruits and vegetables; certain processed items; and meat, dairy and poultry goods registered positive growth.
According to APEDA, a government body under the commerce ministry, the export of regulated goods including non-basmati rice, wheat, and milled products dropped marginally by 0.49 per cent to USD 4.33 billion during the first two months of this fiscal. Basmati rice exports, however, rose by 13 per cent to USD 1.03 billion. But, the shipment of non-basmati rice fell by 13 per cent to USD 918.83 million.
The Red Sea, a critical conduit for 30% of the world's container traffic, is currently facing a shipping crisis of an unprecedented scale. The recent conflict in the Middle East has led to attacks on commercial vessels, causing significant downturn in maritime activity.
