India Reestablishing Pomegranate Exports to the United States and What It Means for Traders

Fresh Pomegranate

United States

Published Aug 25, 2023

Following the recent adoption of Indian mangoes in the US market, India hopes to increase its pomegranate exports to the US. The country sent a trial cargo of pomegranates to the US, and importers responded positively. Because of its high antioxidant content and super fruit properties, the Maharashtra pomegranate cultivar 'Bhagwa' has tremendous export potential. India exported approximately 5,171 mt of pomegranates globally in Q1-23, with Saudi Arabia being the largest importer. The US came in second as one of the most significant importers, with 530 mt, despite a 35.20% YoY decline. The Agricultural and Processed Food Products Export Development Authority (APEDA) has established Export Promotion Forums to encourage and promote exports. Pomegranate exports to the US will likely enhance, resulting in improved price realization and increased farmer income.

India is trying to improve its pomegranate exports to the United States (US), which could have significant implications for traders. The country has already sent a trial shipment of pomegranates to the US, and the response from importers has been encouraging. This development comes after the successful acceptance of Indian mangoes in the US market, raising hopes that pomegranates will also find success. In Q1-23, India exported over 5,171 metric tons (mt) of pomegranates globally, with Saudi Arabia as the number one market absorbing 2,035 mt, an 4.46% year-on-year (YoY) increase. The US took position as the second most notable importer of India’s pomegranates, with 530 mt, still with a 35.20% YoY decline. Despite the US lifting the ban in November 2022, more abundant shipments of fresh pomegranates were sent in March 2023, which was the main reason for lower quarterly results in 2023. Earlier this year, Tridge followed the development of the pomegranate trade in India.

Trade Flow of Pomegranate Exports from India in 2022

Source: Tridge

The 'Bhagwa' variety of Pomegranate from Maharashtra, India, has significant export potential due to its high antioxidant content and super fruit qualities. This variety is in high demand in foreign markets, and the Solapur district in Maharashtra contributes almost 50% of the pomegranate exports from the country. In the 2022/23 season, India exported 62,280 mt of pomegranates worth USD 58.36 million to countries including the United Arab Emirates (UAE), Bangladesh, Nepal, the Netherlands, Saudi Arabia, Sri Lanka, Thailand, Bahrain, and Oman. India ranks seventh in pomegranate production globally, with a total area under cultivation of around 275,500 hectares (ha). The central pomegranate-producing states in India are Maharashtra, Gujarat, Karnataka, Rajasthan, and Andhra Pradesh.

There is a high demand for Maharashtra pomegranates in the local market, according to Tridge On-the-Ground Updates. The retail price of pomegranate in W29 stood between USD 5.50-11.63 per 9 kilogram box (INR 450-950/9kg), depending on size and color. A grade quality box with immense size and attractive colors can fetch prices of up to USD 14.69/box (INR 1.2 thousand per box). The Delhi market receives 30 to 35 trucks of pomegranates daily, offering a promising and vibrant market. With expectations of a steady supply of pomegranates for the next six months, it presents an ideal opportunity for investors and buyers to explore this flourishing market.

Reestablishing pomegranate exports to the US is a positive development for traders. It opens up new opportunities for Indian exporters and allows them to tap into the high demand for pomegranates in the US market. With the support of APEDA and the quality of produce from Indian farmers, the export of pomegranates is expected to contribute to the growth of the agricultural sector and enhance trade relations between India and the US. Tridge predicts growth of pomegranate exports from India due to increased demand and sound quality of fruits.