Arecanut Imports from LDECs Drop 34% After Price Hike to Protect Indian Farmers
December 10, 2025
Imports of arecanut into India from Least Developed Exporting Countries (LDECs) like Bangladesh, Myanmar, and Bhutan fell from 32,238 tonnes in 2022-23 to 21,160 tonnes in 2024-25. Union Minister of State for Commerce and Industry, Jitin Prasada, shared this data in the Lok Sabha on December 9. The decline is mainly due to the Minimum Import Price (MIP) increase from ₹251 per kg to ₹351 per kg in February 2023.
The arecanut imports from these countries now make up only about 1.5% of India's domestic production, which is around 14 lakh tonnes. Data from the Directorate of Arecanut and Spices Development shows that the average arecanut price stayed above ₹40,000 per quintal over the last four years, with no major drop.
The government raised the MIP to protect Indian farmers, limit cheap imports, prevent poor quality arecanut from entering the market, and keep domestic prices stable. To ensure fairness, customs officers check the 'Rules of Origin' to stop arecanut coming from countries outside the Duty-Free Tariff Preference (DFTP) Scheme through backdoor routes.
The Directorate of Revenue Intelligence (DRI) along with Customs Field Formations actively monitor air, sea, and land ports to prevent illegal arecanut imports. They take strict action under current laws against unlawful shipments, the Minister said.
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Tags:
Arecanut Imports
Minimum Import Price
Ldecs
India agriculture
Import Policy
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