India's king of fruits suffers shock and awe of Iraq war

Source NEW DELHI (AFP) Apr 03, 2003 The Iraq war has shrivelled India's mango exports to the Gulf but has created a bonanza for the domestic market where top brands of the "king of fruits" are now easy picking.

India accounts for almost 65 percent of the world's mango production but it exports less than one percent of its yield compared to four percent by smaller rivals such as Mexico, the Philippines and Venezuela.

"Now we are doomed as two-thirds of our mangoes are exported to the Gulf, where our Alphonso reigned as the king of fruits for decades," said Nasiruddin Jesani, secretary of India's Fresh Vegetable and Fruit Association (FVFA).

The Alphonso is the most expensive variety of mango in India with a dozen priced at more than 900 rupees (18.75 dollars), compared to other popular strains which sell for just over two dollars for 12.

FVFA president Babu Ramchandani, who is also one of India's largest fruit exporters, said the US-led war in Iraq came just at the beginning of the mango season.

"And so between 40 to 50 percent of our mango trade is now affected both in terms of value as well as in volume and we cannot say whether we will regain our market after this war ends there," he said.

India exported 22,793 kilograms (50,144 pounds) of mangoes worth 438 million rupees (9.12 million dollars) in the fiscal year ended March 1993 and the figure nearly doubled to 809 million rupees (16.85 million dollars) in the year ending 2002.

Officials from the India's Agricultural and Processed Food Products Export Development Authority (APEDA) said they had expected a 20 percent jump in overseas sales this year because of particularly good crops.

"But now we have to re-write these targets because people are returning from Kuwait, Saudi Arabia and other Gulf states where mango was a popular dessert among the region's four million Indian community," an APEDA official said.

India's mango exports are mostly confined to the Gulf, although some of the produce reaches Britain and Russia.

Both FVFA chief Ramachandani and Jesani said the trade could not turn to European markets as foreign airlines are demanding steeper freight rates from products from India compared to Bangladesh, Pakistan, Kenya or South Africa.

"The freight charges we are now paying are the world's highest. We pay 135 rupees (2.8 dollars) for one kilogram (2.2 pounds) from Bombay to Canada while Pakistani exporters have to pay almost half, so who will buy from us?" Jesani asked.

"We are at the mercy of the airlines and they are exploiting the situation." He said South Africa's national carrier slashed its freight charges to India which meant the India market was flooded with foreign produce.

But the rates have tumbled by half to between 350 and 400 rupees per dozen, bringing the Alphonso for the first time within the reach of India's domestic consumers, according to United News of India news agency.

D.V. Parkar of the privately-run Parkar Fruit Products company said growers were now forced to sell locally what had been marked for export.

Indian consumers welcomed the windfall.

"Now we don't have to watch with envy those rich Arabs sinking their teeth into our Alphonsos... It is time we too got a taste of the mango," said fruit retailer Gulab Das from New Delhi's fruit wholesale Azadpur Market.