The Hindu Business Line : Herbal market poised for healthy growth

THE green consumer is coming of age. The demand for medicinal plants is increasing everyday and the World Health Organisation (WHO) has projected that the global herbal market will grow to $5 trillion by 2050 from the current level of $62 billion.

According to the presentations made at an International Conference on Medicinal and Aromatic Plants here recently, the world is waking up to the pharmacological properties of herbs, spices and ethnic food products of India.

More people are showing interest in economical, natural and safer herbal remedies rather than the expensive chemical drugs that have many side effects. Consequently, the herbal markets continue to grow at the rate of 7 to 30 per cent annually.

However, China and not India seems to have realised this emerging potential first. Consequently, China today exports herbs worth Rs 22,000 crore and India lags far behind with just Rs 500 crore.

More than 100 presentations were made at the conference and most of the speakers were of the opinion that there was a vast potential for Indian herbal industry.

But why did India fail to realise this potential so far? According to Mr G. Raghava Reddy, Vice-Chairman of the Organising Committee of conference, the major problem for cultivating medicinal and aromatic plants as a sustainable agricultural profession is the lack of organised and regulated markets.

Mr Reddy, a retired IPS officer, who is involved in the cultivation and propagation of medicinal plants, told Business Line that a regulated production on scientific lines and effective enforcement of licencing system would boost exports.

He said the recently constituted Medicinal and Aromatic Plants Boards at the Centre and in various States to identify the species that have export potential and also good demand for domestic consumption. Only those varieties recommended by the boards should be encouraged for commercial cultivation.

To ensure remunerative prices to farmers, he wanted the boards to announce support prices in advance, the Government agencies should step in and procure the produce and quality control of the products has to be exercised at the processing stage. The farmers should also be trained, particularly in post-harvest handling of the products.

The Union Minister for Environment and Forests, Mr T.R. Baalu, also stated that there was a need to disseminate information about the prospects of cultivation, processing and marketing of medicinal plants. At present, he said, out of 400 plant species commonly used in India, only 20 were being cultivated on commercial scale. About 90 per cent of the medicinal plants used in the country were currently being obtained from the forests.

On the whole, India is stated to have 45,000 plant species. Out of these, about 3,500 species are of medicinal value. Harnessing this potential, according to experts, will not only boost our exports but also go a long way in the development of dry land agriculture in the country.

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