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ISSN: 2454-2415

Volume 2, Issue 11, November, 2016

International Journal of
Innovative Knowledge
Concepts
Indias Agricultural Products Export Prospects In Selected Middle East Countries
S. Thowseaf1, M.Arul kumar2
1
Research Scholar , 2Teaching Assistant
Alagappa Institute of management,
Alagappa University, Karaikudi 630003.
ABSTRACT: Indian agricultural export has increased too many folds during WTO regime and economic reforms since
1991. Important reason behind the cause is the increasing population and thereby the demand imposed by the growing
population. Agriculture is an entity that serves as a raw material to every industry irrespective of their functions in the
form of food and fodder. India ranks second worldwide in farm output. India is the seventh largest agricultural exporter
worldwide and the sixth largest net exporter. Most of its agriculture exports serve developing and developed nations. The
scope of agriculture and its export is providing an opportunity to India to attain profit out of surplus produced and gain
better money value in international market, which in-turn help in attaining economic development of the country and
better relationship with trading nation. The purpose of this paper is to analyze India Agricultural Products Export
prospects with respect to selected Middle East country i.e. Bahrain, Iran, Iraq, Oman and Kuwait. This paper is based on
Indias agricultural exports carried out for the past 5 years from 2011-2015.

Keywords: Exports, Agricultural Products, Middle East Countries.

INTRODUCTION developing and least developed nations. India


ranked in the world's five largest producers of over
Agriculture is a traditional occupation and its
80% of agricultural produce items, including cash
foreign trade can be traced even during Vedic
crops such as coffee and cotton (Nilanjana, 2012).
period. Indian agricultural export is making a
Despite of India holding second place in
significant contribution globally since liberalization
agricultural products export, the import value
of foreign trade policies (Mousavi, 2013) (Sheikh,
exceeds, which in turn can be compensated only by
2011). Indias customary practice on agriculture
the agriculture export as it is the imminent potential
have induced great demand for agricultural
of India for years (Shameek Mukherjee, 2012). The
products in foreign markets and helping economy
present study is based on the secondary sources.
raise by decreasing the foreign currencies demand
The secondary sources were collected from books,
in India (Tawheed Nabi, 2013). Hereby the
published reports, journal, articles and the internet.
government of India had lend many schemes to
The secondary data is been collected from
benefit exporter to accompany push production, so
Agricultural Export Processed Development
that the demand in the domestic country is satisfied
Authority (APEDA) website. The study covers the
and rest of the surplus is exported for foreign
period of five years from 2010-2015. The study
exchange (Houcine Boughanmi, 2003). Though
deals with the India Export prospects with respect
integration of world market through globalization
to selected Middle East Countries. The different
and liberalization produced success to export
products Exported from India are categorized by
Industries, Unfortunately also have induced great
APEDA as follows; Basmati Rice, Non-Basmati
competition and complexity in market (kumar,
rice, Buffalo Meat, Wheat, Poultry Products, Dairy
2015).
Products, Fresh Fruits, Floriculture, Groundnut and
Today, India ranks second worldwide in
etc. The countries considered for the study are;
farm output. India is the seventh largest agricultural
Bahrain, Iran, Iraq, Oman and Kuwait.
exporter worldwide and the sixth largest net
exporter. Most of its agriculture exports serve
1. INDIA EXPORT PERFORMANCE & PROSPECTS WITH RESPECT TO BAHRAIN
Table 1 Country: Bahrain Quantity in Mts; Value-Rupees in crore
Year Quantity Value GR%
2011 48974 178.37 --
2012 56654 250.05 40.19
2013 90063 377.34 50.91
2014 72050 504.69 33.75
2015 74937 508.19 0.69
2016 (Projected) 88732 638.01 25.55

2017 (Projected) 91196 727.69 14.06


2018 (Projected) 89080 801.39 10.13
Source: (APEDA, 2016)

Available online at www.ijikc.co.in 26


Indias Agricultural Products Export Prospects In Selected Middle East Countries

Discussion
Table-1 shows that quantities of agricultural export products to country Bahrain between years 2011-
2015. It is observed that the values were high (90063) in the year 2012-2013 and it is during 2011 the export of
agricultural product to Bahrain is low (48974) compared to every subsequent including projected years.
According the trend analysis made on there seems a better possibility of exporting more quantity of goods
(91196) during the year 2017 which is projected to be higher the quantity of agricultural commodities exported
during 2013.
The values of agricultural products exported have been increasing and exhibiting an increasing trend in
forth coming years. The performance based on the secondary data indicates lowest values (178.37) during the
year 2011and highest (508.19) during 2015 and expected to increase upto 801.39 during the year 2018.
The growth rates were usually up and down between the years 2011-2015. In the year 2015 growth rate
values were low (0.69 percent) and it highest (50.91) during the period of 2012-2013. As per the analysis, the
growth rate will increase (25.55) during 2015-2016 and thereafter, the growth rates are declining along the
projected years (14.06 & 10.13).
Interpretation
Indias agricultural export performance with respect to Bahrain till 2015 is indicating positive performance
in terms of quantity and value in crore Rs. And it is expected to increase. The increasing value on both quantity
and value denotes the quality and quantity of demand imposed by Bahrain country towards Indian agricultural
products, thereby according to forecast values India can adopt push production and export strategy with respect
to Bahrain.
2. INDIA EXPORT PERFORMANCE & PROSPECTS WITH RESPECT TO IRAN

Table 2 Country: Iran Quantity in Mts; Value-Rupees in crore


Year Quantity Value GR%
2011 503974 2406.21 --
2012 666726 3425.12 42.35
2013 1283472 7688.21 124.47
2014 1745417 12720.9 65.46
2015 1277808 7925.76 -37.70
2016 (Projected) 5477397 12933.71 63.19
2017 (Projected) 4974867 14715.16 13.77
2018 (Projected) 6286224 15476.76 5.18
Source: (APEDA, 2016)

Discussion
Table-2 shows that quantities of agricultural export products to country Iran between the years 2011-
2015. It is observed the values were high (1745417) in the year 2014 and it is during 2011 the export of
agricultural product to Iran is low (503974) compared to every subsequent including projected years. According
the trend analysis made on there seems a better possibility of exporting more quantity of goods (6286224)
during the year 2018 which is projected to be higher the quantity of agricultural commodities exported during
2014.
The values of agricultural products exported have been increasing and exhibiting an increasing trend in
forth coming years. The performance based on the secondary data indicates lowest values (2406.21) during the
year 2011 and highest (12720.9) during 2014 and expected to increase upto 15476.76 crore Rs. during the year
2018.
The growth rates were usually up and down between the years 2011-2015. In the year 2015 growth rate
values were low (-37.70 percent) and it highest (124.47) during the period of 2012-2013. As per the analysis, the
growth rate will increase (63.19) during 2015-2016 and thereafter, the growth rates are declining along the
projected years (13.77 & 5.18).
Interpretation
Indias agricultural export performance with respect to Iran till 2015 is indicating positive performance in
terms of quantity and value in crore Rs. And it is expected to increase. The increasing value on both quantity

International Journal of Innovative Knowledge Concepts, 2(11) November, 2016 27


Indias Agricultural Products Export Prospects In Selected Middle East Countries

and value denotes the quality and quantity of demand imposed by Iran country towards Indian agricultural
products, thereby according to forecast values India can adopt push production and export strategy with respect
to Iran.

3. INDIA EXPORT PERFORMANCE OF IRAQ

Table 3 Country: Iraq Quantity in Mts; Value-Rupees in crore


Year Quantity Value GR%
2011 59587 402.86 --
2012 228887 1115.49 176.89
2013 244235 1486 33.21
2014 269572 2229 50.00
2015 309746 2231.35 0.11
2016 (Projected) 1109777 2924.09 31.05
2017 (Projected) 980631 3305.95 13.06
2018 (Projected) 1276691 3735.77 13.00
Source: (APEDA, 2016)

Table-3 shows that quantities of agricultural export products to country Iraq between the years 2011-2015. It is
observed the values were high (309746) in the year 2015 and it is during 2011 the export of agricultural product
to Iran is low (59587) compared to every subsequent including projected years. According the trend analysis
made on there seems a better possibility of exporting more quantity of goods (1276691) during the year 2018
which is projected to be higher the quantity of agricultural commodities exported during 2014.
The values of agricultural products exported have been increasing and exhibiting an increasing trend in
forth coming years. The performance based on the secondary data indicates lowest values (402.86) during the
year 2011 and highest (2231.35) during 2015 and expected to increase upto 3735.77 crore Rs. during the year
2018.
The growth rates were usually up and down between the years 2011-2015. In the year 2015 growth rate
values were low (0.11 percent) and it highest (176.89) during the period of 2011-2012. As per the analysis, the
growth rate will increase (31.05) during 2015-2016 and thereafter, the growth rates are declining along the
projected years (13.06 & 13.00).
Interpretation
Indias agricultural export performance with respect to Iraq till 2015 is indicating positive performance in
terms of quantity and value in crore Rs. And it is expected to increase. The increasing value on both quantity
and value denotes the quality and quantity of demand imposed by Iraq country towards Indian agricultural
products, thereby according to forecast values India can adopt push production and export strategy with respect
to Iraq.
4. INDIA EXPORT PERFORMANCE OF KUWAIT

Table 4 Country: Kuwait Quantity in Mts; Value-Rupees in crore


Year Quantity Value GR%
2011 245574 1606.43 --
2012 292136 1935.08 20.46
2013 310631 1802.5 -6.85
2014 298749 2427 34.65
2015 271986 2725.01 12.28
2016 (Projected) 1419076 2917.93 7.08
2017 (Projected) 1183086 3227.97 10.63
2018 (Projected) 1556277 3622.64 12.23
Source: (APEDA, 2016)

International Journal of Innovative Knowledge Concepts, 2(11) November, 2016 28


Indias Agricultural Products Export Prospects In Selected Middle East Countries

Table-4 shows that quantities of agricultural export products to country Kuwait between the years
2011-2015. It is observed the values were high (310631) in the year 2013 and it is during 2011 the export of
agricultural product to Kuwait is low (245574) compared to every subsequent including projected years.
According the trend analysis made on there seems a better possibility of exporting more quantity of goods
(1556277) during the year 2018 which is projected to be higher the quantity of agricultural commodities
exported during 2014.
The values of agricultural products exported have been increasing and exhibiting an increasing trend in
forth coming years. The performance based on the secondary data indicates lowest values (1606.43) during the
year 2011 and highest (2725.01) during 2015 and expected to increase upto 3622.64 crore Rs. during the year
2018.
The growth rates were usually up and down between the years 2011-2015. In the year 2015 growth rate
values were low (-6.85 percent) and it highest (34.65) during the period of 2013-2014. As per the analysis, the
growth rate will increase (7.08, 10.63 and 12.23) during 2016-2017 and 2018.
Interpretation
Indias agricultural export performance with respect to Kuwait till 2015 is indicating positive performance
in terms of quantity, value and growth value in crore Rs. And it is expected to increase. The increasing value on
both quantity and value denotes the quality and quantity of demand imposed by Kuwait country towards Indian
agricultural products, thereby according to forecast values India can adopt push production and export strategy
with respect to Kuwait.
5. INDIA EXPORT PERFORMANCE OF OMAN

Table 5 Country: Oman Quantity in Mts; Value-Rupees in crore


Year Quantity Value GR%
2011 94365 396.26 --
2012 246518 851.32 114.84
2013 487887 1376 61.63
2014 468077 1809.5 31.50
2015 428206 1775.72 -1.87
2016 (Projected) 1725053 2356.89 32.73
2017 (Projected) 1540365 2657.14 12.74
2018 (Projected) 1938497 2927.95 10.19
Source: (APEDA, 2016)

Table-4 shows that quantities of The growth rates were usually up and
agricultural export products to country Oman down between the years 2011-2015. In the year
between the years 2011-2015. It is observed the 2015 growth rate values were low (-1.87 percent)
values were high (487887) in the year 2013 and it and it highest (114.84) during the period of 2011-
is during 2011 the export of agricultural product to 2012. As per the analysis, the growth rate will be
Oman is low (94365) compared to every (32.73, 12.74 and 10.19) during 2016-2017 and
subsequent including projected years. According 2018.
the trend analysis made on there seems a better
Interpretation
possibility of exporting more quantity of goods
(1938497) during the year 2018 which is projected Indias agricultural export performance with
to be higher the quantity of agricultural respect to Oman till 2015 is indicating positive
commodities exported during 2014. performance in terms of quantity and value in crore
Rs. And it is expected to increase. The increasing
The values of agricultural products
value on both quantity and value denotes the
exported have been increasing and exhibiting an
quality and quantity of demand imposed by Oman
increasing trend in forth coming years. The
country towards Indian agricultural products,
performance based on the secondary data indicates
thereby according to forecast values India can
lowest values (396.26) during the year 2011 and
adopt push production and export strategy with
highest (1809.5) during 2014 and expected to
respect to Oman.
increase upto 2927.95 crore Rs. during the year
2018. CONCLUSION

International Journal of Innovative Knowledge Concepts, 2(11) November, 2016 29


Indias Agricultural Products Export Prospects In Selected Middle East Countries

India has achieved better place in export scope with middle east countries and it is expected
of Agricultural products and is expected to hold that quantity and value of goods exported in mere
better place in forth coming years in the world. future will increase due to demand, hereby if India
Agricultural products export performance, adopt push production strategy with respect to
prospects and pattern with respect selected middle agricultural commodities demanded by Middle east
east countries is depicting similar trends in countries considered for the study, there exist
forthcoming years and have exhibited similar possibility of India getting favorable foreign
delineate in past. India trends to posses very high exchange and foreign exchange reserves.

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