India is also known as the land of spices with the spices & condiments from the region, enjoying high credibility globally. Spices are the bark, buds, blossoms, leaves, roots, and seeds of plants that are used to enhance the flavor of cuisines or even as appetizers. They come with many beneficial properties and find application in food & beverages, pharmaceuticals, and cosmetics industries.
The market for spices of India is a growing one, driven by increasing demand for innovative flavors, growth in the food processing industry, and the need for convenient food options. The rising consumer awareness about the negative impact of synthetic additives and the preference for immunity-boosting food products such as turmeric is also enhancing the need to procure organic spices of India.
Steps to start spices export from India
According to experts, the Indian spice market grew at a CAGR of 15% during 2015-2020 and is expected to continue growing strongly in the foreseeable future. You can tap into this large demand and start an export initiative.
Take care of documentation and registration
- Register your export firm
- Obtain importer exporter code (IEC) issued by Directorate General of Foreign Trade
- Obtain Registration Cum Membership Certificate (RCMC) from Indian Spices Board
Documents needed to initiate a spice export business
- Incorporation Certificate for the business from the Registrar of Companies
- Import Export Code from the Director-General of Foreign Trade
- Registration cum Membership Certificate from the Spice Board
- Goods and Service Tax registration for tax purposes
- MSME registration
- Trademark registration to protect your brand in foreign markets
- Food Safety and Standard Authority of India registration or license
- Passport size photo
- Phytosanitary Certificate
- Authorized Dealer Code from a recognized bank
- Bank certificate and statement
- Company PAN card
- BIS certification under the ISI
Ascertain the type of initiative you want to start
Determine the exact type of business you would want to start and the spice you want to deal in. You could be a wholesaler, retailer, exporter, depending on your specific interest and the amount of capital you have.
Research for spices online or through a third party expert
This is necessary to get a better understanding of the market for the specific spices you want to export. This would help you create a sustainable supply chain while you are running your business.
Meet up with vendors
Talk to buyers within the country, if you are not a manufacturer, about procuring spices in bulk. Rent or locate a storage location and install the right machinery to get the facility running.
Find overseas buyers
You will then have to find buyers in Europe, the US, and other countries where you wish to export to and establish a good working relationship with them. You can also easily find buyers of Indian spices online without a phone call or email through Tradologie.com. You can then negotiate with buyers, finalize the price, and deliver your order successfully.
Once you have buyers and have talked and finalized deals with them, you can start shipping out your spice consignments. Along the way, you might have to find suitable investors and creditors to help finance your export operations.