NEW DELHI: Tajamul Habib Makroo was hoping a bumper crop of apples this year would help him recover from huge losses due to early snowfalls in the previous harvest season, but now he says a new crisis is looming: the arrival of cheap Iranian fruits, which growers like him fear could upend horticulture in Indian-administered Kashmir.
Concentrated in southern Shopian district, Kashmir’s apple industry contributes 1.8 million tons of the fruit, or 80 percent of India's annual production, directly and indirectly involving over 5 million people in the region.
With annual production worth about $1.34 billion, it saw a sudden drop in value last year, when cheap Iranian apples entered the Indian market via Afghanistan, with whom New Delhi has a free trade agreement.
“Today’s market is very down, rates are down because the apples coming from Iran have brought the apple prices in India down,” Makroo, who has orchards in Sugan village, Shopian, told Arab News.
He said the Iranian apples have cut the price of local produce in half.
“Earlier, I used to get 1,200 rupees ($16) per box, today the rate is 600,” Makroo added. “The rate we are getting is not able to cover production costs.”
In early January, Kashmir Valley Fruit Growers-cum-Dealers Unio, an apex body representing Kashmiri fruit growers, wrote a letter to Indian Prime Minister Narendra Modi, asking him to save the industry.
Bashir Ahmad Bashir, the union’s president, said Iranian apples were cheap due to international sanctions imposed on Tehran.
“We have taken up the matter with the Indian government when we came to know about it and warned the government that if the products come to India from Iran, Indian horticulture industry will suffer a lot,” Bashir told Arab News, adding that imposing duties on Iranian fruits could help save the domestic industry.
Sheikh Ashiq Ahmad, president of the Kashmir Chamber of Commerce and Industry, said a lack of intervention would deal a major blow to the local economy.
“It’s 8 percent to 10 percent of our GDP of Kashmir,” he told Arab News. “When unemployment is a big challenge for Jammu and Kashmir in this situation the government should take strong notice of it and should defend our people.”