India’s Grape Outlook MY 2020/21

Published 2021년 4월 26일
India is one of the leading grape-producing countries globally, both for domestic consumption and exports. It is expected that grape production will decline by 3% in MY 2020/21 due to the rainfall, which can possibly cause a shortage in the domestic market and inflating the prices. The lower production coupled with the COVID-19 restriction will impact grape exports in MY 2020/21. The main destination countries are the EU, Bangladesh, UAE, U.K, Russia, and Saudi Arabia.

India is one of the top ten table grape producing countries globally with the cultivation of popular grape varieties like Thompson Seedless. Currently, the state of Maharashtra accounts for over 80% of the total production by area and volume. Grapes in India start coming to the market for domestic consumption and exports in mid-January, and the production peaks in February - March. The ability to store the grapes in cold storage along with good agricultural practices make the Indian grapes fit for exports across the world. India exports grapes to Netherland, Bangladesh, U.A.E, U.K, Russia, and Saudi Arabia.

According to USDA forecasts, the grape production of India is expected to reach 2.3 million metric tons in MY 2020/21, which is about 3% less than the volume recorded in the previous MY. The area under grape plantations is projected to be the same, and the primary reason for the projected fall in production is the heavy rainfall in September and October 2020. The industry has faced an extensive loss of about 20% of the total grape production due to heavy rainfall. Subsequently, the price of grapes in the domestic market has increased dramatically compared to the previous year. In April 2020, one kg of grapes was priced at USD 0.50, whereas in 2021, the price of one kg of grapes is about USD 0.69.


Source: Tridge. Price Charts.India exports a significant chunk of its grape production to countries in the European Union (EU), Bangladesh, U.A.E, U.K, Russia, and Saudi Arabia. However, the USDA post estimates that in MY 2020/21, grape exports will fall by at least 19% compared to MY 2019/20. The lower production and reduced quality have pushed down the export demand. Apart from the production constraints, the domestic logistic constraints due to the lockdown and increasing COVID-19 cases in Maharashtra are also the problems. The manufacturers face issues in the fruit packaging as the packhouses are operating at a lesser capacity to ensure social distancing. India’s lower grape production coupled with lockdown is likely to reduce its export grapes in the coming months. The country exports more than 50% of its grapes to EU countries, with the Netherlands being one of the major destinations. While India struggles to keep up its exports, South Africa is making its place in the EU countries through its increased production and free trade agreement. SourcesFresh Plaza. “Indian grape season ended earlier than expected.”Fresh Plaza. “Overall volumes of exported grapes will be similar to last season.”USDA. Fresh Deciduous Fruit Annual.
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