MDH, Everest & Beyond: India Leads the World in Spice Mix Exports
This blog post has been authored by Ankam Maneesh, International Business Analyst at Arthashastra Intelligence
We all know that India is a pioneer in spice exports. But do you know that India is also a market leader for pre-made spice mixes? Top Indian brands like Everest, MTR, MDH, and Priya are household names not only in India but also in foreign countries, known for their unique flavors that take dishes from ordinary to extraordinary. However, a recent concern has been raised. Few of the Everest and MDH masala mixes were banned in Singapore and Hong Kong due to the presence of ethylene oxide, a pesticide, exceeding permissible limits. Let’s dig deeper into this article to understand the spice mixes trade and what went wrong with Everest and MDH Masalas.
Stats: The global spice mix trade is a vibrant industry, reaching $540 million in 2023. India stands out as a leading exporter, contributing to $111.8 million to the global market. Pakistan, Netherlands, Germany, and Spain take the next positions. Meanwhile, the United States leads the importers list with $84.4 million trade, followed by Germany, Saudi Arabia, France, and the United Kingdom. These statistics showcase the increasing global demand for the convenience and flavor that pre-made spice mixes provide.
Top Exporting Countries
| Countries | Trade Value (Million USD) |
|---|---|
|
India
|
$ 111.8 M |
|
Pakistan |
$ 75 M |
|
Netherlands |
$ 74 M |
|
Germany
|
$ 64 M
|
|
Spain
|
$ 29.4 M
|
Top Importing Countries
| Countries | Trade Value (Million USD) |
|---|---|
|
United Stated
|
$ 84.4 M |
|
Germany |
$ 43 M |
|
United Kingdom |
$ 31.8 M |
|
Saudi Arabia |
$ 26 M
|
|
France |
$ 25.4 M
|
The Ban Story - Everest and MDH:
A cause for concern emerged in the world of spice mixes recently. Popular brands Everest and MDH faced product bans in Singapore and Hong Kong due to the presence of ethylene oxide, a pesticide classified as a Group 1 carcinogen by the ‘International Agency for Research on Cancer.’ This ethylene oxide can increase the risk of cancer in humans.
Everest’s Fish Curry Masala and MDH’s Madras Curry Powder, Sambhar Masala Powder, and Curry Powder were all found to contain ethylene oxide exceeding permissible limits. These findings raise serious public health concerns, highlighting the importance of stringent quality control measures throughout the spice mix supply chain.
Seizing the Opportunity:
These recent product bans in Singapore and Hong Kong present a potential trade diversification opportunity for new Indian spice mix exporters. Here’s why:
• Market Gap: The bans on Everest and MDH products have created a gap in the market for these regions. New exporters can capitalize on this opportunity by ensuring their spice mixes meet all safety regulations and cater to the specific tastes and preferences of Singapore and Hong Kong consumers.
• Building Brand Loyalty: By establishing a strong presence in these markets early on, new exporters can build brand loyalty amongst consumers seeking reliable and high-quality alternatives.
• Strategic Partnerships: Collaborating with established distributors and retailers in Singapore and Hong Kong can provide you with a market capture in these potential markets.
Arthashastra - Your Gateway to New Markets:
If you are ready to seize this opportunity of entering into new markets, Arthashastra Intelligence can help you with the following services.
Company setup and EXIM documentation: We’ll handle all the tiring paperwork, ensuring you comply with all regulations of your desired country.
Product feasibility reports: Gain valuable insights into the actual market demand and your competitor analysis.
Buyer outreach and market research: We’ll connect you with potential buyers and distributors and provide in-depth market research to help you get the best deals.
Logistics and freight management: From finding reliable shipping partners to ensuring smooth customs clearance, we’ll take care of the entire logistics.