Export of Spices to Uk - IB Final (1)
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EXPORT OF INDIAN SPICES
TO UNITED KINGDOM
GROUP MEMBERS:ROHIT BHOPALE 09-704ARUN C. 09-710ROHIT KOLEKAR 09-734NEHUL MAKWANA 09-73
VIRAJ SALUNKE 09-752
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Objective To Understand nuances involved in Export
of Spices Understand the Export Regulation of India
pertaining to Spices Understand the Import Regulation of UK
with regards to Spices Marketing Potential of Indian Spices in UK
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Scope & Limitation The prevailing market growth will remain
the same The Existing Rules & Regulations are only
considered both in India & UK Only the Exporting of Spices is considered
and not the Manufacturing.
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1. Rohit Bhopale – India’s Spicy Profile.2. Viraj Salunke – UK’s Scenario.3. Rohit Kolekar – Export of Spices from
India.4. Arun C. – Import of Spices into UK.5. Nehul Makwana – Marketing of Spices in
UK.
Flow of Presentation
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India’s Spicy Profile India – The Home of Spices.
Exports to 140 Countries
India’s Global Position.
Spice Board of India.(Ministry of Commerce, Govt. of India)
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5.02 Lakh Tonnes - Growth of 7%. Rs. 5,560 Crores – Growth of 5%.
Export Share: Value Added Products – 34% Chilly – 23% Cumin – 10% Turmeric – 7% Pepper – 6%
India’s Spices Exports (2009 - 10)
*Source – Spices Board Of India.
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Major Importers of Indian Spices1. USA – 16%
2. Malaysia – 8%
3. China – 7%
4. UAE – 6%
5. Uk – 5%
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India – Spice Export Basket Whole Spices Organic Spices Spice Mixes Spice Blends Freeze Dried Curry Powders / Mixtures Oleoresins Essential Oils Dehydrated Spices
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Spices – Curry Powder
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Spices – Essential OilsPepper oil Mustard seed oil Turmeric oil Clove oil Garlic oil Cinnamon oil Mace oil Ginger oil Kokam oil Cumin seed oil Basil oil Nutmeg oil Spearmint oil Rose mary oil Cardamom oil Peppermint oil Coriander seed oil Parsley oil Fennel seed oil Ajwan seed oil
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United Kingdom
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Why UK?Spices market size in UKUK an interesting market for developing countries.Annual growth rate.Intresting fact.Over 1000 Indian hotels in London itself.
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Demographics• Population• Age Structure• Ethnicity• Religion• Languages
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Population
Part Population %
England 50,762,900 83.8
Scotland 5,116,900 8.4
Wales 2,965,900 4.9
Northern Ireland 1,741,600 2.9
The population of the UK in the 2007 was 60million ( 60,587,300).
In 2010 current estimates put the population at closer to 63million
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Age Male Female %
0–14 5,560,489 5,293,871 15.3
15–64 20,193,876 19,736,516 65.1
65+ 4,027,721 5,458,235 19.6
Age Structure
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Age Structure
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Ethnic group Population %British 50,366,497 85.67%Other european 3,096,169 5.27%Indian 1,053,411 1.8%Pakistani 977,285 1.6%Irish 691,232 1.2%Mixed race 677,117 1.2%Caribbean 565,876 1.0%African 485,277 0.8%Bangladeshi 283,063 0.5%Chinese 247,403 0.4%Other 230,615 0.4%
Ethnicity
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ReligionReligion Number %
Christian 42,079,000 71.6%
Muslim 1,591,000 2.7%
Hindu 559,000 1.0%
Sikh 336,000 0.6%
Jewish 267,000 0.5%
Buddhist 152,000 0.3%
Other religion 179,000 23.1%
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Religion
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Languages•English•Scots•Ulster Scots•Welsh•Scottish Gaelic•Scotland Cornish•Irish•Polish
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UK places with large Indian population
Region Population of region
Indian population
Percentage of total population
London 7,556,900 501,600 6.6%West Midlands 5,381,800 199,900 3.7%East Midlands 4,399,600 147,200 3.3%
South East 8,308,700 140,800 1.7%North West 6,864,300 99,900 1.5%
East 5,661,000 88,200 1.6%Yorkshire and the
Humber 5,177,200 76,400 1.5%
South West 5,178,000 42,400 0.8%North East 2,549,700 17,900 0.7%Scotland 5,094,800 17,000 0.3%
Wales 2,903,085 8,200 0.3%Northern Ireland 1,685,267 1,600 0.1%
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Importance of LeicesterLeicester is set to soon become the UK's first ethnic minority-majority city and Indians make up by far the largest ethnic group.
Leicester has one of the highest percentages of Indians per head of the population of any local authority in the UK.
Leicester accounts for (25.0%) 73,100 of London’s Indian population of 501,600 (6.6% of the city's population)
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EXPORT OF SPICES FROM INDIA
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Logistics
Spices Procured from Farmers
Spices Processed Export
Packaging
Containerization
Ship loadShipped to retailers via distributors
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Wooden boxes
Plywood boxes with aluminum lining
Paper packaging
Cartons
Spices Packaging for Export
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Export via Sea Route
Loaded at Nhava Sheva International Port - MumbaiCochin Port – Kerela
and transported to
Grimsby and Immingham Port – UKLondon Port – UK
*Grimsby and Immingham is the biggest and busiest port in UK
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London Port, UKLondon Port, UK
Nhava Sheva, Nhava Sheva, MumbaiMumbai
Suez Suez CanalCanal
Cochin Port, KerelaCochin Port, Kerela
Sea Route from India to UK
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Statistics: Sea route Nautical miles : 3890 nautical miles Time taken to reach UK : 15-20 days appox Port clearance : 1 day The rates are $500 for a 20 feet container and
$900 for a 40 feet container
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Registration & Licensing Mandatory quality check
Chilli/chilli products or other food products containing chilli products
Turmeric Powder IE Code certificate Registration fee of Rs. 2000/- Confidential Bank certificate Self certified/attested copies of Sales Tax
Registration (CST/VST/VAT) certificate.
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Documents Required Commercial invoice Bill of landing or airway bill Packing list Insurance documents Special certificates of origin Sanitation Ownership Import declaration in UK
What the goods are? Commodity Code
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Spices Board of India Spices Board Act 1986 Exports and imports are regulated by
the Foreign Trade (Development and Regulation) Act, 1992 Export and Import (EXIM) Policy
Constituted on 26th February 1986
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Spices Board - Main Functions Research & production development of vanilla Post harvest improvement of all spices Promotion of organic production, processing and
certification of spices Export promotion Quality certification Quality control Registration of exporters Collection & documentation of trade information Provision of inputs to the Central Government on
policy matters relating to import & export of spices
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Spices Board’s Initiatives for Export Development Award of Spice House Certificate for good
manufacturing practices Award of Logo for quality of the product Accreditation under ISO 9000 for
international acceptance
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EXPORT OF SPICES INTO UK
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UK Import Procedure
HM Revenue & Customs Correct 'class' or commodity code 091091- Spices Form C88 Single Administrative Document
(SAD) The HM Revenue & Customs Integrated
Tariff of the United Kingdom
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Seasonal ticket’ valuation statement Custom Freight Simplified Procedure Warehouse Free Zones Inland Clearance Depot (ICD) Enhanced Remote Transit Sheds( ERTS) Interport Removals Transit and Shipments
UK Import Procedure Contd…
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Marketing Strategy•Packaging Development including design and bar coding.•Business promotional trips.•Participation in international food fairs.•Forwarding business samples abroad.•Printing of promotional brochures.•Directory of Importers and Exporters.
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Marketing Strategy•Foreign Trade Enquiry Bulletin.•Spice Market (a weekly publication in English providing market information)•Tie up with Indian Restaurants•Small Retail Outlets•Expand in EU
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Marketing StrategyLaunching the book titled “ Secret Recipes” this will book features 100 Indian and international recipes made with our Spices.
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References http://www.indianspices.com www.indianspices.com/html/
spices_board_advocacy_pfa.htm http://customs.hmrc.gov.uk http://www.thehindubusinessline.com/
2010/06/21/stories/2010062151651400.htm
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THANK YOU!