New Delhi, March 7 India's agricultural and food product 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 approximately 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 geographic proximity and large expatriate Indian population in the Gulf region 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 exports 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 to this region last year, which includes the UAE, Saudi Arabia, Iran, Bahrain, among others.
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 region has been a natural destination due to its geographic proximity and large Indian diaspora.
"However, 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.
