West Asia crisis putting USD 11.8 bn worth of India'€™s farm exports at risk: GTRI

New Delhi, Mar 7 (PTI) India's agri and food products exports worth USD 11.8 billion to West Asia are at risk as the conflict in the region is disrupting shipping routes, raising insurance costs and creating uncertainty in logistics, think tank GTRI said on Saturday.

In 2025, India exported about USD 11.8 billion of agricultural and food products such as cereals, fruits, vegetables, dairy products, and spices to West Asia, accounting for 21.8 per cent of India's total exports in this sector.

"The Gulf region's geographic proximity and large expatriate Indian population have historically made it a natural market for India's food exports.

"However, the conflict in the region is disrupting shipping routes, raising insurance costs and creating uncertainty in logistics," the Global Trade Research Initiative (GTRI) said.

India exported USD 7.48 billion of cereals, fruits, vegetables and spices to West Asia in 2025, with the region accounting for 29.2 per cent of India's global exports in this category.

Key shipments include rice, bananas, onions and vegetables, pulses, nuts, coffee, tea and a wide range of spices.

"Rice faces the largest potential impact. India exported USD 4.43 billion of rice to West Asia, accounting for 36.7 per cent of its global rice exports, making Gulf markets crucial for producers in Punjab, Haryana, Uttar Pradesh, Andhra Pradesh and Telangana," GTRI Founder Ajay Srivastava said.

The country exported bananas worth USD 396.5 million and onions and garlic worth USD 111 million last year to that region, which includes the UAE, Saudi Arabia, Iran, Bahrain, among others.

The other major products that India exported to the region last year include nutmeg, mace and cardamom (USD 295.5 million), spice seeds such as cumin and coriander (USD 163 million), ginger and turmeric (USD 173 million), coffee (USD 240.7 million), tea (USD 410.1 million), processed food, sugar and cocoa preparations (USD 1.35 billion), and fish, meat, frozen and processed products (USD 1.81 billion).

Further, the think tank said that India exported USD 281.1 million of dairy products to West Asia in 2025, accounting for 28.9 per cent of India's total dairy exports.

Similarly, the country shipped USD 197.5 million worth of alcoholic and non-alcoholic beverages to West Asia in 2025, and these shipments accounted for 43.3 per cent of India's exports in this category.

India's agricultural exports have developed a deep dependence on West Asian markets over the past decade, particularly for products such as rice, bananas, spices, meat and dairy products.

"In 2025 alone, India exported nearly USD 11.8 billion worth of agricultural and food products to the region, accounting for more than one-fifth of the country's total agri exports," it said.

The Gulf has been a natural destination due to its geographic proximity and large Indian diaspora.

"But the ongoing conflict in West Asia, along with disruptions to shipping routes and rising insurance costs, is now creating uncertainty for exporters and could directly affect farmers and food processors across several Indian states," Srivastava said. PTI RR ANU ANU