Archive · 2 Dec 2025
Indian Arecanut Farmers Hit by Imports
Indian farmers who grow arecanut, a type of nut used in betel quid, are having a hard time because of too many imports from countries like Bhutan, Myanmar, and Sri Lanka.
These countries can send arecanut to India without paying any customs duty because of a special trade rule called DFQF.
This rule was made to help poor countries, but now it's causing problems for Indian farmers.
The cheap imports are making the price of arecanut go down, and farmers are losing money.
A member of parliament from Karnataka, where most of India's arecanut is grown, has asked the government to stop this by taking away the duty-free benefit for arecanut imports.
He says this will help protect the livelihoods of many farmers in India.
Large-scale arecanut imports from Bhutan, Myanmar, and Sri Lanka are hurting Indian farmers.
These countries enjoy zero customs duty under India's DFQF preferential trade scheme.
Imports have led to price crashes and market instability for Indian arecanut farmers.
India is self-sufficient in arecanut production, with Karnataka contributing significantly.
A member of parliament has urged the government to exclude arecanut from DFQF benefits.
- Who
- Indian arecanut farmers, especially in Karnataka
- What
- Large-scale imports of arecanut from LDCs
- When
- Between September 2023 and August 2024
- Where
- India, particularly Karnataka
- Why
- Zero customs duty under DFQF scheme
- Countries
- Bhutan, Myanmar, Sri Lanka
- Import Share
- Bhutan: 57%, Myanmar: 39%, Sri Lanka: 2%
- India's Arecanut Production
- 14 lakh tonnes (2023-24)
- Karnataka's Contribution
- 10 lakh tonnes (2023-24)
- Customs Duty
- 100% for normal imports, 0% under DFQF
- DFQF
- Duty-Free Quota-Free preferential trade scheme
- Key Growing Regions
- Dakshina Kannada, Shivamogga, Udupi, Chikkamagaluru