Trade reveals high opportunities for Thailand to export “cocoa” to penetrate the Indian market

Trade reveals high opportunities for Thailand to export “cocoa” to penetrate the Indian market

On 25 November, Mr Phusit Rattanakul Sereereungrit Director General of the Department of International Trade Promotion (DITP) revealed that she had received a report from Ms Supattra Swaengsri, Director of the International Trade Promotion Agency in Mumbai, India, about the opportunity to expand the market for products and cocoa products. Made from cocoa to penetrate the Indian market. to support the growing demand according to the expansion of the Indian market it started using more products in this group

Market growth for such products Euromonitor studies are available. Euromonitor reports that confectionery in India is worth 118 billion baht, including chocolates, candies, lollipops and chewing gum, and the chocolate market is expected to double by 2027.

This is in line with a study by IMARC Group which predicts that the chocolate market in India will grow at an average of 12.1% per year between 2020-2026, while BlueWeave Consulting predicts that the chocolate market in India will expect to grow at an average of 11. % per year during 2022-2028.

At the same time, there is a demographic factor where half of Indians are under 25 and two thirds of the population are under 35, a group of people who can eat a lot of chocolate. Including the expansion of middle class families. This reflects the growing purchasing power and popularity of Indian consumption.
and giving gifts with chocolates as the original capital

Therefore, it is expected that market demand will continue to grow. and led to India Increasing cocoa cultivation But it is not enough to meet the demand that India needs to use about 50,000 tonnes of dry cocoa a year. to be produced for domestic consumption and export

Mr Phusit said that in the past India imported cocoa beans from Thailand. For the first time in the year 2018, it was worth 1.57 hundred thousand US dollars. and increased to $3.62 million in 2019, an increase of 2,193%, but after that India turned to imports from the Dominican Republic and the Netherlands instead. And he did not find another import from Thailand.

The Thai cocoa powder has not yet been exported to India. But it was found that Indonesia, Singapore and Malaysia occupy the Indian market in the share of 94% of the total imports. Therefore, Thailand may have some opportunities to penetrate the market. Indian importers can exercise duty exemption on cocoa beans and cocoa powder from Thailand under the ASEAN-India FTA. Chocolate and other cocoa-based products

In 2021, India’s imports from Thailand totaled US$ 205 lakh, an increase of 819%. And Malaysia has penetrated the market and is the top 10 import source in India.

However, the Department assessed that Thailand would be able to further expand its exports to India. In addition to regular chocolates, Thai milk and ice cream producers can use cocoa to make chocolate ice cream. for export to India as well This is a product that may qualify for tax exemption under the FTA.

Thailand is already India’s main import source for ice cream products and should try to use Thai dry fruits as ingredients for chocolate and ice cream. which at the moment There are not many alternative brands in the market yet.

In addition, the commercial ambassador also provides additional information that entrepreneurs who are willing to consider investing in India especially joint ventures with milk and sugar producers in India. This will reduce production and transport costs.
Cocoa beans and cocoa powder from Thailand can be developed into various products. Including opening a franchise dessert shop that also serves drinks and desserts.

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