Indian oranges are gaining recognition worldwide for their exceptional flavor and quality. If you're considering exporting these citrus gems, join us on a journey into the world of Indian orange exports and discover how government support can make your venture into international markets smoother and more successful.
Why Choose Oranges for Exports
Oranges are a smart choice for exports due to their global demand, year-round availability, and versatile culinary uses. Their rich nutritional content appeals to health-conscious consumers, while their long shelf life reduces spoilage risks during transit. Established supply chains and potential trade agreements further support profitable export opportunities. Additionally, their adaptability to various climates and sustainability practices can enhance market appeal, making oranges a reliable and lucrative export commodity. How can a common fruit lead to global opportunities? Oranges have more to offer than just a tasty treat; they can also open the door to thriving international export markets.
Opportunity in Orange Export from India and Market Size
The citrus industry holds a significant position in India, standing as the country's third-largest fruit industry, trailing only mangoes and bananas. India has secured the ninth spot among the world's leading producers of oranges, contributing approximately 3% to global orange production.
Remarkably, the consumption of oranges in India has shown significant growth from 2012 to 2021. During this period, the industry witnessed steady expansion, with an impressive annual average growth rate of +8.2%. It is anticipated to increase by 31,572.55 thousand tonnes between 2022 and 2027. What's even more promising is that the market's growth momentum is expected to intensify, with an estimated compound annual growth rate (CAGR) of 6.22% throughout the forecast period. This presents an alluring opportunity for Indian orange exporters to tap into a market that is poised for expansion in the coming years.
Export to Dubai and Saudi Arabia for significant growth. These markets offer a great opportunity to increase India's orange exports and meet the growing demand.
Government Benefits & Support
- Duty Drawback:
Exporting oranges goes beyond just shipping out your delicious citrus fruits; it comes with a host of government-backed advantages. Enjoy a favorable duty drawback of 0.15%, a direct boost to your earnings without added complexities. Additionally, leverage the expertise of a Customs House Agent (CHA) to ensure seamless shipping documentation.
- Remission of Duties and Taxes on Exports (RODTEP):
The Remission of Duties and Taxes on Exported Products (RODTEP) scheme is a game-changer, offering a significant advantage equivalent to 3% of your export value. For example, if you're exporting oranges valued at Rs. 10,00,000, this translates to a benefit of Rs. 30,000 directly impacting your bottom line.
- Interest Equalization Scheme on Pre & Post Shipment Export Credit:
While the "Interest Equalization Scheme" primarily caters to manufacturers, its impact on orange exports is noteworthy. If you secure a loan at a 10% interest rate, the government steps in to cover a substantial 3% of that interest burden. This means you only pay the remaining 7% interest, providing significant relief for your orange export endeavors.
- Transport and Marketing Assistance Benefits:
The "Transport and Marketing Assistance" (TMA) scheme extends its supportive hand to specific agricultural products, including oranges. It aims to provide assistance for international shipping and marketing aspects of agricultural commodities. By addressing challenges related to higher transportation costs associated with exporting designated agricultural products, like oranges, the TMA scheme helps boost competitiveness. Moreover, it strives to enhance the reputation of Indian agricultural products in international markets, where Indian oranges are valued and sought after.
How to Source Oranges for Exports
If you're just starting with orange exports, there's no need to stress. There are plenty of opportunities to explore. Let's take a look at the main areas where oranges are grown and in demand.
Top 10 States That Produce Export-Quality Oranges
|Sr No.||State||Indian Production of MANDARIN in Tons (M.ORANG,KINNOW,ORANGE) (2021-22)||Share (%)|
Procurement Options: Farmers, Mandis, and Orange Vendors
When searching for oranges, you have several options to consider:
- Farmers: You can purchase oranges directly from farmers who cultivate them. This allows you to access fresh produce and build a direct relationship with the growers.
- Mandis (Marketplaces):Mandis are local marketplaces that offer convenience and the opportunity to compare prices and quality from multiple sellers in one location.
- Orange Vendors: Orange vendors or wholesalers specialize in selling oranges. They can supply large quantities and may be a suitable choice for bulk purchases or maintaining a consistent supply.
Your choice will depend on your specific requirements, quality standards, and negotiation skills. Many businesses opt to combine these options to ensure a reliable and cost-effective source of oranges for export.
Types of Understanding Packaging for Oranges
Proper packaging of oranges is essential to maintaining their freshness during transportation. Having a good grasp of the correct packaging process is crucial to ensuring that they reach their destination in the best possible condition.
|Material of Construction||Corrugated Fibre Board|
|External Dimensions (mm)||520 x 315 x 300|
|Style of Box “RSC - 0201”||TELESCOPIC - 0320|
|No. of Plies||3.0|
|Type of Flutes||B (Narrow)|
|Direction of Flutes||Vertical|
|Grammage (g/m²)||250 / 150 / 150|
|Burst Factor of Paper (Kraft) (Minimum)||25.00|
|Bursting Strength of Board (Kg/cm²) (Minimum)||12.0|
|No. of Pieces per Box||Not more than two|
|Manufacturers Joint||By gluing|
|Compression Strength of Box (Kgf) (Minimum)||500|
|COBB (30 Minutes)*** (g/m²) (Maximum)||60|
|No. of Ventilation Holes||16.0|
|Diameter (mm) and Position of Holes||20.0|
|Two Sides Each||3|
|Two Ends Each||1|
|Top & Bottom Each||4|
|Edge Crush (Kgf) (Minimum)||66.00|
Note: The box dimensions are designed to be adaptable to Euro pallets, ensuring compatibility with standardized shipping arrangements. Nevertheless, we are flexible and can customize box dimensions and styles to meet the specific requirements of our importers.
The indicated grammage serves as a reference point, but we are open to using alternative grammage levels that offer equivalent strength and performance for our packaging materials. For ventilation, our standard specifications include a 20-mm-diameter hole pattern with a total of 16 holes. However, we are willing to incorporate additional ventilation as needed, tailored to the specific box style, to ensure optimal product preservation during transit.
Tips to Find the Best Supplier for Orange Exports
Here's a straightforward tip to guide you in selecting the best orange suppliers for your export business: Concentrate on quality and dependability.
When it comes to sourcing oranges for export, you have several options available, such as orchards, wholesale fruit markets, or experienced fruit traders. Nevertheless, the primary factors to prioritize remain unchanged: the quality of the oranges and the trustworthiness of the supplier. Here's how you can adapt the advice for orange exports:
- Quality Matters: Irrespective of your choice of supplier, always give precedence to the quality of the oranges. Seek out suppliers who consistently provide high-quality oranges. This is crucial to meet the rigorous quality standards required for international exports.
- Reliability is Essential:Trustworthiness plays a pivotal role in the export business. Ensure that your selected supplier can be relied upon to deliver oranges consistently and on schedule. Reliable shipments are vital for upholding a positive reputation in the export market.
- Consider Diversifying Suppliers: It could be a prudent strategy to collaborate with multiple suppliers. This approach can help you maintain a steady and uninterrupted supply of top-quality oranges for your export operations. It also offers a contingency plan in case one supplier faces any challenges.
Setting Up Logistics for Orange Exports
When it comes to exporting oranges, choosing the right freight forwarder is a pivotal step. Here's a straightforward guide to assist you in finding the perfect partner:
- Specialized in Handling Oranges: Opt for a freight forwarder experienced in handling fragile products like oranges. Their expertise ensures that your oranges remain fresh and in optimal condition during transit.
- Efficient and Dedicated Team: Select a forwarder with a competent team dedicated to ensuring punctual shipments and streamlined logistics for your orange orders.
- Customer-Centric Approach: Look for a forwarder that prioritizes your specific requirements. They should offer valuable insights and assist you in navigating the complexities of the export process.
- Prompt Quotes and Exceptional Service: Seek a forwarder that provides quick, accurate pricing and delivers outstanding service, guaranteeing the secure transportation of your oranges.
- Reputable Track Record: Choose a forwarder with a solid history of positive customer feedback, demonstrating their reliability and credibility.
At Citrus Freight, we specialize in handling perishable goods like oranges. With our experienced team, rapid quoting, and a track record of satisfied customers, we are here to enhance your orange export business.
Essential Documents for Orange Export
Setting up an export company for oranges involves adhering to various legal obligations and paperwork. While the specific requirements may vary by country, several essential documents are commonly needed to establish your orange export business:
Documents related to Company Registration:
- Company Registration: Start by formally registering your business as an export company with the relevant governmental authorities. This establishes your business's legal identity.
- IEC (Import Export Code): Obtain an IEC from the Directorate General of Foreign Trade (DGFT). This 10-digit code is indispensable for import-export operations and is recognized by customs authorities.
- Tax Identification Number (TIN) or Employer Identification Number (EIN): The These unique identifiers are necessary for tax-related purposes.
- Trade License: Depending on the specifics of your export activities, certain export activities may require a trade license.
- AD Code: The AD Code assigned by your bank is crucial for foreign exchange transactions and tracking of your export shipments.
Documents related to goods:
- Invoice: Prepare a detailed invoice that outlines the terms of the orange sale, including price, quantity, description, and parties involved
- Packing List: Provide a comprehensive packing list that details the contents of each package, including quantity, weight, and packaging type.
- Certificate of Origin: Obtain a Certificate of Origin, certifying the country of origin of the oranges. This certificate is vital for customs clearance and tariff determination.
Documents related to shipment:
- Mate Receipt: This receipt is issued by the shipping company upon receiving your oranges for shipment, confirming acceptance and condition.
- Shipping Bill: A shipping bill is a customs declaration submitted for export clearance.
- Bill of Lading (B/L): A bill of lading is a receipt issued by the shipping company, serving as evidence of goods receipt and a contract of carriage.
Additional Documents: Depending on the destination country, you may need additional certifications, licenses, or permits as per their specific regulations.
Documents related to Payment:
- Letter of Credit (L/C): Secure a Letter of Credit from the importer's bank, which ensures payment to you as the exporter once specified conditions are met.
- Bill of Exchange: Prepare a legal document outlining payment terms between you and the importer.
Documents related to quality of goods:
- Phytosanitary Certificate: Ensure you obtain a phytosanitary certificate, confirming that your oranges are free from pests and diseases, issued by relevant authorities.
- GLOBALGAP Certification: It is a recognized international standard for ensuring that agricultural products, including oranges, are grown and handled in compliance with established Good Agricultural Practices (GAP). This certification validates that orange producers adhere to rigorous standards related to food safety, sustainability, and traceability throughout the production process. It provides assurance to consumers and buyers that the oranges they purchase meet high-quality and safety standards, making it an essential credential for those involved in the orange export industry.
- Health Certificate: A health certificate for orange export is an official document issued by relevant authorities in the exporting country. It certifies that the exported oranges meet specific health and safety standards, ensuring they are free from pests, diseases, contaminants, and other risks that could harm consumers or agriculture in the importing country. This certificate is essential for demonstrating the quality and safety of oranges in international trade.
- Bank Realization Certification (BRC): After receiving payment, your bank will issue a BRC, confirming the realization of foreign exchange from the export transaction. These documents are essential for a compliant and smooth export process for oranges. Ensure you adhere to all relevant regulations and requirements in your specific export destination country.
Finding International Buyers for Oranges
To expand your orange export business, it's essential to identify international buyers. This straightforward approach will unlock fresh markets and create opportunities for growth and prosperity.
Top Importing Countries for Oranges from India
|Country||Qty (MT)||Rs. Lacs||Qty(MT)||Rs. Lacs||Qty(MT)||Qty(MT)|
How to Find an International Buyer for Oranges
To locate international buyers for your orange export venture, a strategic approach is paramount. This involves thorough market research, establishing industry connections, active participation in trade events, and utilizing online platforms. The pivotal first step in this journey is identifying potential buyers who align with your product quality and standards.
Pro Tips for Finding an Orange Buyer in the International Market
Boost your efforts to find buyers with effective marketing and promotional tactics. Here are three practical steps to consider:
- Invest in SEO: Elevate your online presence on the global stage by investing in search engine optimization (SEO). Ensuring that potential buyers can easily discover your orange offerings is crucial.
- Build a Strong Brand: Make it a priority to establish a robust online identity from the outset. Invest in social media marketing to create a strong brand presence that resonates with international buyers.
- Leverage CHAs (Customs House Agents): Customs house agents often boast extensive buyer networks. Don't hesitate to seek referrals from them to connect with potential orange buyers.
Exporting oranges presents substantial opportunities to meet the growing global demand for citrus fruits. Equipped with a comprehensive understanding of the advantages, sourcing strategies, logistics, and buyer connections, exporters can navigate this endeavor successfully.
Citrus Freight is dedicated to providing exclusive pricing directly from shipping lines for fruit and vegetable exporters Our commitment to cost-efficiency in your export endeavors ensures the efficient handling of your orange shipments. We recognize the importance of supporting your financial goals while delivering top-notch logistics solutions. Explore competitive ocean freight rates from various shipping lines for your container shipping needs.