India Apr-May spices exports fall 23 pct

MUMBAI, July 3 (Reuters) - India's spices exports, which hit a record high last year, have been feeling the pinch of the global slowdown with exports in the first two months of 2009/10 dropping by 23 percent in volume terms, the Spices Board said.

Spices export during April-May stood at 82,435 tonnes, compared with 106,375 tonnes a year ago, it said in a statement.

India produces over 4 million tonnes of spices and exports around 180 spice products to over 150 countries.

"Exports are not seen improving in the coming months as the general slowdown will continue to hurt," said Kunal Shah, assistant vice-president, Nirmal Bang Commodities Ltd.

Jeera exports fell 13 percent to 9,750 tonnes in the same period while pepper exports were down to 3,000 tonnes, down 46 percent due to a slowdown in buying from the U.S., a major consumer.

"For jeera the Syria, Turkey crop will hurt exports in the coming months whereas for pepper it will be the arrivals from other countries like Sri Lanka, Indonesia which will keep a cap on exports," Shah from Nirmal Bang added.

Turmeric exports during the period climbed by 16.5 percent to 10,500 tonnes.

Chilli exports nearly halved to 26,000 tonnes while mint product exports dropped 21 percent to 2,150 tonnes. Lacklustre demand from Pakistan, which had bought 20,000 tonnes in the same period last year, pulled down chilli exports.

Considering the slowdown in the developed world, a major buyer of the Indian spice, the Spices Board has lowered its export target for 2009/10.

In 2008/09 the country had exported 470,520 tonnes of spices but the board has set a target of 435,000 tonnes for 2009/10. (Reporting by Nandita Bose and Rajendra Jadhav; Editing by Sunil Nair)