Fruits from Nepal to be exported globally via Kerala’s Kozhikode after new trade deal

Kozhikode: Fruits from Nepal will now be brought to Kozhikode for quality inspection before being exported abroad. A memorandum of understanding for this was signed on Wednesday in the presence of Nepal’s Minister for Industry Mitra Lal Basyal. The agreement is between the Pokhara Chamber of Commerce and the Kerala Exporters Forum.

Fruits grown in Nepal’s high-altitude, cold-climate regions—such as blackberry, blueberry, mulberry, plum, fig, avocado, pomegranate, dragon fruit and Zabargill—will be transported to Kerala and then shipped to Singapore, Malaysia, Qatar, Oman, Saudi Arabia and other destinations. Nepal’s fruits enjoy strong global demand owing to their superior quality compared to produce from several other countries. They are also relatively low-priced.

However, Nepal has limited direct air connectivity to international markets and higher air freight rates. If exporters fail to supply the exact produce requested by buyers, entire markets risk being lost. Exporters say these factors highlight the significant potential of this new route through Kozhikode.

Why are Nepalese fruits profitable for export?

According to the Kerala Exporters Forum, the lower cost of Nepalese fruits, along with a 10 per cent margin even after air freight and handling charges, ensures good profitability. The high quality of Nepalese produce and the weaker Nepalese currency compared with the Indian rupee also contribute to better returns when selling in markets with strong currencies such as the dirham and riyal.

Quality testing will be carried out at the State Industries Cargo Complex at Kozhikode Airport and at the Health Science Department laboratory of the University of Calicut. The initiative has the approval of the Central Government and the Plant Quarantine Department. The fruits will be collected and dispatched by the Pokhara Chamber.

Exports will be handled by the Kerala Exporters Forum with the support of the Federation of Indian Export Organisations (FIEO). The MoU was signed by CT Munshid Ali, Secretary General of the Kerala Exporters Forum, and Gokarna Karki, President of the Pokhara Chamber of Commerce.