A Study on Export Performance of Pepper and Cost Optimization in India

Research project

EXECUTIVE SUMMARY
India is largest producer and exporter of the spices in world. This country produces
around 75 of 109 varieties that listed through International Organization for Standardization
(ISO) and also accounts for half of global trading in spices. Pepper is popular spices in India that
cultivated in different states. Aim of the present research is study on analysing the export
performance of pepper and cost optimization in India. In year 2018, pepper export from the India
plummeted through 35% as comparison to 2016 to 16840 tonnes. The objectives have been
developed on the basis of research title and aim. There has been literature review conducted for
attaining the research questions. The collection of information in literature review part, there has
been different sources consists books, articles, journals, internet sources and others. The opinions
and viewpoints of different authors has been considered. Research methodology is one of the
most important part in an investigation that provides the details about sources to collect data and
analyse them effectively by using the effective sources. There has been qualitative research
method, interpretivisim research philosophy, exploratory research design and the secondary
method of data collection used. For analysis of data collected related to analysing the export
performance of pepper and cost optimization in India by using the graphs, tables and data.
Analysis and findings provide the proper examination of information collected. At last, there has
been recommendations provided which help in improving the production of pepper and also
enhance the export.

Table of Contents
EXECUTIVE SUMMARY.............................................................................................................2
INTRODUCTION...........................................................................................................................5
Background of Study...................................................................................................................5
Rationale of Study.......................................................................................................................5
Research Aim..............................................................................................................................6
Research Objectives....................................................................................................................6
Research questions......................................................................................................................6
LITERATURE REVIEW................................................................................................................7
Opportunities and challenges involved in pepper export from India..........................................7
Market value of pepper in domestic and international market....................................................8
Factors influencing the pepper production in other countries and states of India......................9
Different practices followed to increase the production of pepper in different parts of the
world.........................................................................................................................................11
Pepper export contribute to the Indian economy......................................................................13
RESEARCH METHODOLOGY...................................................................................................14
Types of investigation...............................................................................................................14
Research philosophy.................................................................................................................14
Research design.........................................................................................................................15
Research approach....................................................................................................................15
Data collection method.............................................................................................................15
Research strategy......................................................................................................................16
Ethics.........................................................................................................................................16
RESULTS AND DISCUSSION....................................................................................................17
Analysing the profit from both export and domestic market....................................................17
Identifying the reasons for the issues........................................................................................21
CONCLUSION..............................................................................................................................23
RECOMMENDATIONS...............................................................................................................23
REFERENCES..............................................................................................................................25

Topic: A study on analysing the export performance of pepper and cost optimization in
India.
INTRODUCTION
Background of Study
India has been world's most necessary spice land and this produced more than the 60
int6rincis spices consisting pepper, ginger, chilly, cardamom and many seed species. Pepper is
dehydrated grown berry of the Piper niygrum, perpectual shrub and mountaineering that found in
the places like Southern India. In process of pepper vines growth are to be stalked over the
support as to columns that developed up to the 5 to 6 mtrs tall and also 1 to 2 mtr diameter.
Mountaineering woody mainly stems have inflated the nods with the clinging roots at each node
that assist in strengthening vine to maintain the standards. This has upwards producing the main
stem and also have the shoots from axils of leaves that having less internodes without
adventitious roots. Pepper is strong spice and refreshment-that has more treasured for the
centuries. The demand of European for pepper played more in searching sea routes to spice that
is being cultivated in East during 15 century. When the pepper was to be brought to Roman ports
this was bought from the ounce for the ounce with the expensive metals. The black peeper is the
nature to Kerala in the South India and cultivated in the tropical regions. Vietnam is largest
producer as well as exporter of pepper in world during 34% of world crop (Chaurasia, Garg and
Agarwal, 2016). Production of pepper has enhanced and also cost reduced slightly, scarcity sense
continues in pepper sector. The European firm are looking for the suppliers which can provide
the sustainable supplies of the better quality of pepper that comply with the needs of food safety.
From perspective of data on export of Black Pepper, India is the top 5 trade partners which
import the Black pepper from exports of India although total value of export of 5 countries is
13.73 USD million that is 69.55% of total export value of Black Pepper.
Rationale of Study
The present study is related to examine the export performance of pepper and cost
optimization in India. The pepper plants are indigenous to Malabar Coast of India. This country
has plays dominant role in the global trade of pepper. Pepper is one of the most valuable item in
International spices trade and activities of behalf are organised in better way. Export
performance through India as main producing countries is enhancing due to high pepper

consumption in food and the other goods such as cosmetics, pharmaceuticals etc. It has lead to
countries to be concentrate on export of products through increasing area, yield and output under
crop that emerging as rivals to India. This study examined about export of the pepper in world is
maiden attempt. There are some words which separately in the performance of exports and the
cost optimization in India (Dissanayake and et. al., 2016). There is the personal and professional
context to conduct this present study. The personal context is that skill and understanding about
the specific subject area to an investigator can be enhanced and it can able to enhance the
knowledge area. Other than this, in professional context, core competences and abilities of a
researcher will be enhanced in order to performing the research activities in future in better
manner and getting the positive outcomes effectively.
Research Aim
The aim of this research is “To analyse the export performance of pepper and cost
optimization.” A study on India.
Research Objectives
 To examine opportunities and challenges involved in pepper export from India.
 To determine the market value of pepper in domestic and international market.
 To identify the factors influencing the pepper production in other countries and states of
India.
 To determine the various practices followed to increase the production of pepper in
different parts of the world.
 To examine the contribution of pepper export to Indian economy.
Research questions
 What are all the opportunities and challenges involved in pepper export from India?
 What is the market value of pepper in domestic and international market?
 What are all the factors influencing the pepper production in other countries and states of
India?
 What are all the different practices followed to increase the production of pepper in
different parts of the world?
 How does the pepper export contribute to the Indian economy?

LITERATURE REVIEW
Literature review refers to the comprehensive summary of the previous investigation on
topic. For collect information in literature review, there has been secondary sources used such as
books, articles, journals, internet sources and others. The main goal of literature review is to
synthesise information in literature into summary. It determine areas related to previous study in
order to prevent the duplication and provide credit to the other investigators. This determined the
gap in an investigation, conflict in past study and open the questions left from the other
investigation (Hashim and et. al., 2020). On the other hand, literature review is summary of
sources but this has organisational pattern and also combines synthesis and summary. This might
provide the new interpretation of the old material or combine the new with using old
interpretation.
Opportunities and challenges involved in pepper export from India
As per opinion of P K Krishnakumar, (2020) Pepper is called as King of spices and Black
gold that occupies supreme and unique position in World. Kerala is native place of the black
pepper and contributes to country. It is healthiest spices as comparison to the other seasoning. It
surging use of the black pepper in the bakery as well as the confectionery goods for an instance
chocolates, snacks and cakes that proliferating global demand of market of black pepper. Black
Pepper in India continues to lose the ground to cheaper variety of Vietnamese in world market
while enhancing the illegal imports by Nepal keeping domestic costs. Vietnam is selling
commodity at $2,800 tonne and this is less than half price of $6,000 per tonne commanded
through Indian variety. Import of the pepper reduced over years because of initiates which taken
to protect farmers interest from year 207-18 to 2018-19. main focus area for self -reliance should
be on enhancing the piperine or oleoresin content. India produces wide range of the spices and
this holds prominent position in the spice production. In context to exporting of Pepper from
India, some opportunities as well as challenges arisen. In context to opportunity, India is leading
exporter of the pepper. It is produced in the Southern India and exported 17600 per tons of the
pepper at Rs 114312.50 lakhs. Sweden, USA, Germany and UK are the main leading importers
of the Indian pepper. India exported biggest pepper supply to USA. 9700 tons of pepper was to
be exported to USA at Rs 58200 lakhs (Larrea-Gallegos and Vázquez-Rowe, 2020). In FY 2015-
16, India exported 28100 tons of the black pepper at Rs 173041.50 lakhs. To export the pepper