August27 , 2026

    Indian spice exports face 40% decline amid contamination concerns

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    India’s lucrative spice export industry is facing a potential crisis as several countries have banned or are investigating popular Indian spice mixes over allegations of contamination with ethylene oxide, a toxic chemical.

    Five nations – Singapore, Hong Kong, Maldives, Australia and Nepal – have recently announced bans or investigations into spice mixes sold by major Indian brands MDH and Everest due to suspected ethylene oxide contamination above permissible limits.

    Ethylene oxide is used as a pesticide and food preservative to extend shelf life, but excessive quantities can be harmful to human health.

    The Federation of Indian Spice Stakeholders (FISS), an association representing 600 spice traders, exporters and farmers, warned that Indian spice exports could plummet by nearly 40 per cent this year if the contamination issue is not promptly resolved.

    “If this issue is not resolved quickly, we estimate spice exports could be impacted by 40 per cent this year,” said Tejas Gandhi, FISS Secretary.

    On May 17th, Nepal banned the sale of four MDH and Everest spice mixes including Madras curry powder and fish masala over quality concerns. Singapore, Hong Kong, Maldives and Australia have also taken action.

    While Indian government agencies have intensified quality checks, the spice industry is urging swift measures to prevent a deeper crisis that could severely impact a major Indian export. Spices are among India’s largest exported food products.