August 23, 2022
2 mins read

Droughts may push Europe to source more food from India

For the ongoing financial year, the government has set an export target of $23.56 billion for the agricultural and processed food products basket…reports Asian Lite News

Will the intense heatwave and droughts in Europe affect its food security at a time when it is already struggling with acute energy shortage? The continent that has been largely food secured, is currently staring at a brewing crisis as rivers in several parts of the continent are drying up due to the excessive heatwave, damaging crops and aquatic life. Sources said that while the deepening economic crisis in Europe is a matter of “grave concern” India’s exports of food items into the continent could increase.

Though the European market is mostly highly regulated with stringent standards set particularly on food items, it could resort to India even as New Delhi has come under the spotlight for imposing sudden export bans on grains and other agro-products due to rising domestic prices.

“This is an opportunity for India to position itself as the world’s food provider and the authorities must rise to the challenge. Food export policy must be carved out carefully avoiding knee jerk reactions from time to time,” an analyst with a research firm told India Narrative.

According to official data, exports of agricultural and processed food products in April-June period of the current financial year jumped by 14 per cent against the corresponding period in the previous year.

For the ongoing financial year, the government has set an export target of $23.56 billion for the agricultural and processed food products basket.

Meanwhile, India’s seafood exports for the same period this year have also risen by 15 per cent compared to the corresponding period, touching $1.99 billion. In 2021-22 too, the total exports of seafood rose by 30 per cent to touch $7.76 billion.

India’s agricultural products exports during 2020-21 rise by almost 20 per cent at 19.92 touching $50.21 billion.

The Russia-Ukraine war and the climatic changes have pushed up global food prices. The United Nations has already warned that an estimated 1.6 billion people in 94 countries are now exposed to either the food, energy or finance crises following the war.

Besides food items, exports of low value goods from India to Europe are likely to rise too. Until now, most of the low value items which also include fast moving consumer goods such as soaps and shampoos were being sourced into Europe from China.

“The economic crisis in Europe will somewhat affect India but at the same time, our exporters may see a surge in demand for products, which are of a different kind, especially at supply strains have hit the world with China’s zero Covid policy” Ajay Sahai, director general and CEO, Federation of Indian Export Organisations (FIEO) said.

(The content is being carried under an arrangement with indianarrative.com)

ALSO READ-Energy crisis deepens in Europe

Previous Story

Almost half of Europe at risk of drought

Next Story

Stage set in Lanka for Gotabaya Rajapaksa’s return

Latest from Europe

EU leaders to be chief guests at R-Day

Move will be a historic first for India marking deepening ties amid global geopolitical shifts In a first for Indian diplomacy, New Delhi is set to invite the leadership of the European

India, Russia vow deeper defence ties

The fifth meeting of the Working Group reviewed current defence cooperation plans and explored new avenues for collaboration and knowledge-sharing….reports Asian Lite News India and Russia held their fifth Meeting of the

Piyush Goyal in Brussels as India, EU push FTA talks

Goyal’s visit reflects India’s steadfast commitment to deepening engagement with the European Union…reports Asian Lite News Commerce and Industry Minister Piyush Goyal on Monday met EU Commissioner for Trade and Economic Security

Russia Fires at EU

Zakharova called the sanctions package “illegal” and “self-destructive”, while accusing Brussels of isolating itself on the international stage…reports Asian Lite News Russia’s Foreign Ministry Spokeswoman Maria Zakharova has slammed the European Union’s

King and Pope Make History

The service at Vatican offered the King and Queen some calm amid scrutiny over Prince Andrew during their Vatican visit…reports Asian Lite News King Charles and Pope Leo made history in the
Go toTop

Don't Miss

Doval in Jeddah for Saudi Arabia hosted Ukraine peace talks

Doval was welcomed at the Jeddah Airport by Indian Ambassador

Jumpstart Your Trading Journey 

Aspiring traders must first understand the core types of trading—day