India’s YTD Agricultural Exports Surge, Signaling Farm Sector Revival

India’s agricultural exports have recorded a robust double-digit surge in the fiscal year 2024-25, marking a significant rebound for the farm sector after years of fluctuating fortunes. Preliminary data from the Agricultural and Processed Food Products Export Development Authority (APEDA) indicates that exports of agricultural and processed food products rose by 13.16% to $22.67 billion between April and February of FY25, compared to the same period in FY24. This uptick reflects a recovery driven by strong global demand, favorable policy adjustments, and resilience in key commodity segments.

Rice, India’s flagship agricultural export, led the charge with a 21% increase, reaching over $11 billion. Non-basmati rice exports remained buoyant despite earlier restrictions, bolstered by easing curbs and competitive pricing. Basmati rice, spices, coffee, and tobacco also hit record highs, capitalizing on crop failures in Brazil and Vietnam, which elevated India’s coffee exports by 12.3% in 2023. Meat, dairy, and poultry products grew nearly 12% to $4.61 billion, while fresh fruits and vegetables saw a 5% rise to $3.39 billion, underscoring diversification in the export basket.

This surge reverses a dip in FY24, when exports fell 8.2% to $48.82 billion due to bans on rice, wheat, and sugar amid domestic supply concerns. The farm sector’s recovery is attributed to strategic interventions, including the Agriculture Export Policy (AEP) of 2018, which aims to double exports to $100 billion by 2030. Enhanced infrastructure, such as cold storage and export hubs, alongside digital platforms like e-NAM, has improved market access for farmers.

However, challenges loom. Rising imports of edible oils and pulses—up 18.7% in April-December 2024—narrowed the trade surplus to $8.2 billion, signaling vulnerabilities. Climate risks and global price volatility further test resilience. Still, with innovation and policy support, India’s farm sector is poised for sustained growth, reinforcing its global agricultural stature.