September 19, 2025

Did you know Indonesia gobbles up a third of India’s groundnut exports? In the last financial year, it imported 2.77 lakh tonnes worth $280 million out of India's total 7.46 lakh tonnes valued at $795 million. But here’s the masaledar twist—Indonesia has stopped importing Indian groundnuts since September 3, citing safety concerns. This shocking news hit exporters like a thunderbolt! India's Agricultural and Processed Food Export Development Authority (APEDA) quickly reached out to Indonesia, trying to sort things out. However, Jakarta still hasn’t responded, leaving exporters in suspense. “APEDA held a meeting of exporters on responding to the Indonesian notice. It reached out to Jakarta, but there has been no progress yet,” said a trader who wished to stay anonymous. There are two big problems causing this mess. First, the Indonesian Quarantine Authority (IQA) reported issues with consignments a whole three months after they landed. A New Delhi-based analyst said, “No one is sure how the groundnut was stored for three months, and the facilities available in the warehouses. A decision three months after consignments land at a port is something hard to accept.” Can you believe that delay? Second, there’s a fight over testing standards. India’s APEDA checks 20 kg samples for quality, while Indonesia’s IQA tests only 1 kg. Exporters say Indonesia’s way doesn’t match World Trade Organisation rules. APEDA officials stayed quiet when asked about these problems. Time is ticking! The new groundnut crop will arrive in about a month. Currently, groundnut is planted over 48 lakh hectares this kharif season, slightly up from last year’s 47.65 lakh hectares. Gujarat, a top producer, expects a record 66 lakh tonnes! Yet, prices are low—₹5,682 per quintal vs. the government’s minimum support price of ₹7,263 until June 2026. This import ban could hurt farmers and traders badly. Indonesia’s sudden move echoes a past warning. Just five months ago, APEDA advised testing labs to strictly follow export procedures after IQA raised serious concerns about aflatoxin, a dangerous poison found in groundnuts. Indonesia had even suspended imports in 2022 for similar reasons. Aflatoxins come from fungi growing in warm, humid conditions and can cause serious health problems, including cancer. This is a spicy trade drama that’s heating up India’s groundnut market. With stakes high and time short, all eyes are on APEDA and the Commerce Ministry to find a fast fix. Will the groundnut gravy flow again soon? Stay tuned!

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Tags: India groundnut exports, Indonesia import ban, Apeda, Aflatoxin, Groundnut trade, Export suspension,