Spices

The global spices market is expectedly growing by 5.1% between 2017 and 2021.

European import of spices and herbs from developing countries has grown significantly in recent years. There has been an overall trend of growing value on the global market for spices and herbs.

This increase is mainly due to a growing demand while production stays behind, implying high potential for EAC spices and herbs.

Trade Volumes of Ginger, saffron & other spices between 2015 – 2019 in USD

Sources: ITC calculations based on UN COMTRADE and ITC statistics.

Spices in East Africa

Various types of spices are traded between the EAC and the European Union (EU) according to Food and Agriculture Organization for the United Nations (FAOSTAT). The spices include: chillies and peppers, cinnamon, saffron and ginger.

Market share for ginger, saffron & other spices export in 2019 from fice EAC Partner States

Sources: ITC calculations based on UN COMTRADE and ITC statistics.

Highlights of MARKUP interventions in the spices sector

1,739 cinnamon farmers in Tanzania went through a training course to improve the post-harvesting treatment of cinnamon. They are now able to produce cinnamon quills which are four times more valuable than the cinnamon chips they produced before.

Four spices exporters reported improved quality of processing, improved traceability systems, and increased productivity.

A joint venture between a Dutch investor and Tanzanian spice company Trianon Investments led to an investment of USD100,000 in a spice processing factory in Muheza, Tanzania. Trianon Investments aims to achieve 800,000 USD revenues in 2020 and two million USD revenues by 2022 from its sales.
Spices exporters were supported to participate in the Food and Ingredients Trade Fair in Paris and to visit spices factories in Rotterdam. The five participating companies met new buyers and generated 55 new leads worth an estimated 1.75 million USD.

69 participants from SMEs in the spices sector underwent training in Good Agricultural Practices (GAP), Good Manufacturing Practices (GMP) and Good Hygienic Practices (GHP) to improve cultivation, post-harvest handling, processing, blending, packaging, storage and transportation of their products.