India is setting its sights on becoming a global leader in agricultural exports, food aiming to transform itself into the world’s food basket. With a rich agricultural heritage and a strategic push to enhance its presence in international trade, the country is leveraging its vast resources, government initiatives, and growing global demand to reshape the future of its farming sector. Recent discussions in international trade talks highlight India’s ambitious plans to boost agricultural exports while ensuring food security for its 1.4 billion people. This vision, backed by innovative policies and a focus on sustainable practices, is capturing attention worldwide.
A Legacy of Agricultural Strength
India has long been a powerhouse in agriculture, producing a diverse range of crops that feed its massive population and contribute significantly to the global market. The country is the world’s second-largest producer of rice, wheat, sugarcane, and fruits and vegetables, and the top producer of milk and pulses, according to the United Nations Food and Agriculture Organization. Its fertile lands, varied climate, and skilled farmers have made it a key player in global food production. In 2021-22, India’s agricultural exports crossed $50 billion, a milestone that underscores its growing influence in the global food trade.
Despite this strength, India’s share in global agricultural trade remains at just 2.4%, compared to the European Union’s 50% and the United States’ 10%. The challenge lies in balancing domestic food security with the ambition to expand exports. With a population that consumes much of what it produces, India is now focusing on increasing surplus production, improving quality, and diversifying its export basket to meet international demand.
Government Initiatives Driving Growth
The Indian government has introduced several policies to support its goal of becoming the world’s food basket. One of the most significant is the Agriculture Export Policy (AEP) of 2018, which aims to double agricultural exports to $60 billion by 2022 and reach $100 billion in the coming years. Although the 2022 target was not fully met, the policy has laid a strong foundation for growth by focusing on diversifying export markets, promoting high-value products, and improving infrastructure.
The Agricultural and Processed Food Products Export Development Authority (APEDA) plays a crucial role in this mission. Established in 1986, APEDA supports exporters by setting standards, conducting inspections, and promoting products like rice, spices, and processed foods. In 2021-22, rice alone accounted for 19% of India’s agricultural exports, with spices, sugar, and buffalo meat also contributing significantly. APEDA’s efforts to organize international trade fairs and buyer-seller meets have opened new markets in countries like the United States, Bangladesh, and the UAE.
Another key initiative is the Pradhan Mantri Krishi Sinchai Yojana (PMKSY), which focuses on improving irrigation to boost crop yields. With an investment of $7.7 billion, the scheme aims to make farming more resilient to unpredictable monsoons, a critical factor in India’s agricultural output. Additionally, the government is investing $306 million to digitize Primary Agricultural Credit Societies, ensuring farmers have better access to credit and technology.
The “District as Export Hub” initiative is another game-changer. By identifying exportable products in every district and providing support to small businesses and farmers, the government is helping local producers tap into global markets. This program, combined with schemes like the Trade Infrastructure for Export Scheme (TIES) and Market Access Initiatives (MAI), is strengthening India’s export ecosystem.
Overcoming Challenges
While India’s ambitions are bold, the path to becoming the world’s food basket is not without hurdles. One major challenge is water scarcity. Agriculture consumes vast amounts of water, with crops like rice and sugarcane requiring thousands of liters per kilogram. With 40% of India’s population projected to face water shortages by 2030, experts suggest shifting focus to water-efficient crops like millets and processed fruits and vegetables.
Post-harvest losses are another concern. Up to 18% of fruits and vegetables and 4-6% of cereals are wasted due to inadequate storage and transportation. The government is addressing this through investments in cold chains, food parks, and processing units under schemes like SAMPADA. These efforts aim to reduce waste, extend shelf life, and add value to products, making them more competitive in global markets.
Export rejections due to quality issues also pose a challenge. For instance, in 2015, the European Union rejected Indian grape shipments due to pesticide residues. To tackle this, institutions like the National Research Centre for Grapes have introduced tools like Grapenet to train farmers in safe pesticide use. Adopting global standards like Total Quality Management and Hazard Analysis and Critical Control Points (HACCP) is helping Indian exporters meet international requirements.
Opportunities in Global Trade Talks
India’s agricultural ambitions are gaining traction in international trade discussions. Recent talks with the United States, the European Union, and the United Kingdom highlight the country’s potential to expand its market share. For example, the US is keen to access India’s $5 billion soybean oil market and $2.5-3 billion pulses market, while India seeks better access for its mangoes, rice, and spices. The recent UK-India free trade agreement, signed in 2025, promises to reduce tariffs on Indian agricultural products, boosting exports like basmati rice and spices.
India’s strategic location, with easy access to Europe, the Middle East, and Asia, gives it an edge in global trade. The government has established Agri-Cells in embassies across 13 countries, including the US, China, and Vietnam, to promote trade and gather real-time market insights. These cells help exporters navigate foreign markets and build partnerships.
However, trade talks also bring challenges. Protectionist policies in some countries and demands for lower tariffs could expose Indian farmers to competition from cheaper imports. For instance, New Zealand’s push for reduced dairy tariffs in a potential free trade agreement could threaten India’s 100 million dairy farmers. Balancing these demands while protecting local interests is a delicate task for Indian negotiators.
A Focus on Sustainability and Innovation
Sustainability is at the heart of India’s agricultural strategy. Climate change and water scarcity are pushing the country to adopt smarter farming practices. Artificial intelligence, remote sensing, and geographic information systems are being used to improve productivity and reduce environmental impact. The government is also promoting organic farming and crops like millets, which require less water and are gaining popularity globally for their health benefits.
The food processing sector is another area of focus. With only 10% of India’s agricultural produce currently processed, there is immense potential for growth. The Ministry of Food Processing Industries is working to triple processing capacity, which could create jobs, reduce waste, and increase exports of value-added products like frozen vegetables and dehydrated onions. In 2022, processed fruit and vegetable exports grew by 59.1%, showing the sector’s promise.
The Road Ahead
India’s vision to become the world’s food basket is both ambitious and achievable. Union Agriculture Minister Shivraj Singh Chouhan recently emphasized that India’s foodgrain production is rising steadily, positioning the country to not only meet its own needs but also support global food security. This sentiment is echoed by Minister of Food Processing Industries Chirag Paswan, who sees India as a key supplier to the world’s food needs.
To succeed, India must continue investing in infrastructure, technology, and farmer education. Strengthening export clusters, improving quality standards, and navigating trade agreements will be critical. By addressing challenges like water scarcity and post-harvest losses, India can unlock its full potential as a global agricultural leader.
As the world grapples with food security challenges, India’s efforts to boost agricultural exports offer hope. With its vast resources, innovative policies, and determined farmers, the country is well on its way to becoming the world’s food basket, feeding not just its own people but millions across the globe.
Know More :- Top 10 Best Education Trends in the USA You Need to Know in 2025
