Nepal produced 255,208 tonnes of ginger in 2012 to retain the position of the world’s third largest producer of ginger after India and China. According to the statistics of the Food and Agriculture Organization (FAO) of the United Nations, output jumped 17.99 percent in 2012.
India and China were the top producers with output amounting to 703,000 tonnes and 462,500 tonnes respectively. The stats show that Nepal’s ginger output share of world production stood at 12.18 percent. Nepal’s share of ginger production in South Asia is 21.39 percent.
In South Asia, Bangladesh produced 74,380 tonnes followed by Sri Lanka (13,660 tonnes), Bhutan (4,533 tonnes) and Pakistan (8 tonnes). The global output increased to 2.09 million tonnes in 2012 from 2.03 million tonnes in 2011.
There has also been an increment in the ginger production area in Nepal. According to the FAO, Nepal’s land under ginger farming has increased to 20,256 hectares in 2012 from 19,081 hectares in 2011. Land under ginger production was 9,189 hectares in 2002.
“Increased production is due to swelling market demand for this spice,” said Pradeep Maharjan, executive director at Agro Enterprise Centre of the Federation of Nepalese Chambers of Commerce and Industry. “Ginger prices have risen more than two times this year.”
Ilam, Palpa, Makwanpur, Jhapa, Sunsari and Morang are some of the major ginger producing districts. Ginger is one of the farm products
identified by the Nepal
Trade Integration Strategy (NTIS) 2010 as having export potential.
Maharjan added that demand for ginger would continue to grow for the next five years as large numbers of people around the world had recognized its potential.
Ginger is mostly used by the Ayurveda pharmaceutical industry particularly in India and more than 98 percent of Nepali ginger goes to the southern neighbour. Besides, it is used for making jam, jelly, candy and sauce, among other products.
The statistics of the Trade and Export Promotion Centre shows that ginger exports jumped significantly by 162.49 percent to 62,843 tonnes in 2012-13. The stats show that the value also ballooned by 162.5 percent. Nepal earned Rs 1.33 billion from ginger exports in the last fiscal from Rs 507 million in the previous fiscal.
Nepali ginger has not been able to get better prices due to the soil content and dirty look. India has been selling Nepali ginger at more than double the price by enhancing its quality, added Maharjan.
To ensure quality, the NTIS and the Ministry of Commerce is working on installing a ginger processing plant in Dhulabhari, the eastern border point.
“We have acquired land for the purpose and the process of buying machines is going on,” said Maharjan, adding that the washing facilities would enable Nepal to export ginger to third countries.
The US, Saudi Arabia, the UK, Japan and Spain
are among the largest
consumers of ginger. “If the
processing plant is set up, it will add value to the farmers’ products.”
Meanwhile, the Agro Enterprise Centre is also distributing 10 tonnes of ginger seeds in four districts
which are disease-free
varieties. Although, the amount is nominal, it will make farmers aware how quality seeds can increase their productivity.
Local farmers in various parts of the country are thrilled that ginger prices have taken a great leap forward this year.
The farm gate price of ginger is Rs 80 per kg this year, and it has benefited producers, Maharjan said.
According to the Kalimati Fruits and Vegetables Market Development Board, the average wholesale price of ginger is Rs 116 per kg, while it
fetches Rs 160 per kg in the retail market. The cost of
Sangam Prasain is Business Editor at The Kathmandu Post, covering tourism, agriculture, mountaineering, aviation, infrastructure and other economic affairs. He joined The Kathmandu Post in October 2009.
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