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Why Major Indian Spice Exporters are facing a big challenge

Updated: May 21

Major Indian spice exporters are facing a new challenge. MDH and Everest have witnessed rejection of some of their spices in Hong Kong and Singapore due to allegedly having cancer-causing substances.





What’s the Story


Singapore and Hong Kong have put a ban on the import of some products from MDH and Everest because they found that these products had Ethylene Oxide (ETO).


ETO has various uses and in case of spices it is used as pesticide. But is also very harmful for humans and therefore there is a limit over which it should not be present in spices.


If it is over the permissible limit and someone consumes it, it can cause severe diseases, even cancer. Therefore, finding it in these products has made Singapore and Hong Kong to take this action.


Hong Kong has also told its citizens to avoid consuming these products and to the sellers to not sell them. While Singapore has decided to call back the exported products.


This is very concerning because MDH and Everest are among the leading Indian Spice brands and if this is the case with the industry leaders then what does it say about the overall industry practice.


Therefore this puts India’s reputation as Spice Exporter at risk as well. For the year 2022-2023 India’s spice exports were worth Rs.31761 crore (3952.60 million US$), and therefore it is obvious that this industry is very crucial for Indian Economy.



How have other nations responded to these allegations?


The Food and Drug Administration (FDA) of the US has also begun an investigation into these allegations to determine if these products in the US might also contain ETO.


On the other hand, Maldives has put a ban on MDH and Everest based on these allegations.


There is however one positive news report that there has not been a single case of ETO being found in Indian exports to the EU.



How have the companies responded?


Both Everest and MDH have denied these allegations and have stated that there is no such problems.



According to MDH on X (earlier known as twitter) these allegations have no base and that no communication of such report finding ETO has been made to FSSAI or Spice Board of India by relevant authorities of Singapore and Hong Kong.



Has the Government taken any action?


The Spice Board of India, which is a unit of the Union Ministry of Commerce of the Government of India, has stated that it will begin compulsory testing of spices being exported to Singapore and Hong Kong.


The Ministry of Commerce has also told the Indian Embassies in Singapore and Hong Kong to send them a detailed report on these allegations. The Ministry has also asked for details from MDH and Everest.



What about Indians and the domestic consumption of these foods?


In India, there is not as much strict checking and screening of our food as it should be. We already face problems of unhygienic food being prepared, lack of safe drinking water for many and in the middle of all this, the allegations also raise concerns for Indians who consume these products.


So, to ensure that Indians are safe from these harmful elements like ETO, the Food Safety and Standards Authority of India (FSSAI) has also asked the States to collect random samples from various spice brands which sell powdered spices in their States to do random testing.


This will let FSSAI know whether Indians are also at risk of ETO consumption.


How long will it take for all of this to be clear is not certain and many people might avoid buying from these brands due to fear of being harmed.


So, if it turns out that the allegations are false, the brands may have already suffered huge loss to business and more importantly to the their trust with customers.


And if it turns out to be true, there will be a major need for strict action against these brands and even more importantly to ensure that the health of the people is not in danger.


So, how will all this turn out, we will hopefully find out soon.



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