As India grapples with the Trump tariff turmoil, attention has been on sectors like automobiles and auto parts, and agriculture is the next likely target for punitive tariff. In today’s world, it is global value chains (GVCs) that drive international trade and the agriculture sector is no exception. Here we study the case of spices trade where India was a pioneer historically. However, over time China has taken the lead mainly due to value chains. Spice centre For centuries, India was at the centre of the ancient spice route. This maritime route connected India to Africa, the Middle East, and Europe. Kerala’s Muziris and Gujarat’s Bharuch were important for exporting black pepper, silk, gems, ivory, and other spices. India is still the world’s biggest spice producer with over 70 per cent share. But India’s share in global trade has faltered. This is because the trade strategy has not mainstreamed value chains in spices. Despite production dominance, in the $15.8 billion global seasoning export market — that is, the form in which the bulk of spice trade occurs — India only has a tiny share of 0.6 per cent. China, the US, Italy, and Germany, on the other hand, command 12 per cent, 11 per cent, 9 per cent, and 6 per cent share, respectively (ITC Trade Map, 2023). While the bulk of spice trade takes the form of seasoning, India’s spice trade remains centred in upstream stages in terms of raw and whole spices of the value chain. Seasoning is downstream activity with presence of big exporters. This is akin to Africa’s fate in chocolate, where value addition through branding and premium pricing are done in other countries. China and the US, though not among the largest producers of spices, capture the maximum value in the seasoning export market. Value chain The essence of value chain driven trade is that the country needs to be a major importer in order to be a major exporter. The US and China imported $349 million worth of spices from India — mostly in raw and whole form — then processed and exported them at significantly higher margins. For India to reclaim its spice glory, it needs to have a major presence in GVCs. Seasoning is one stage in the value chain. Other stages include processed spices, nutraceuticals, with branding and packaging. To move up the value chain there is need to enhance processing capabilities, ensure quality consistency, and strategic branding and credible grading and certification. McCormick & Company, the world’s largest spice company sources its raw spices from India and blends, brands, and formulates seasoning and exports to North America and Europe. In these turbulent times, value chain integration as a core trade strategy is required. Under stress, settling at the stage in the value chain with the greatest efficiency would deliver benefits. High value focus It might be beneficial for India to shift focus to high value spice derivatives. These comprise products like essential oils and extracts like turmeric curcumin and black pepper piperine with potential both for culinary use and growing nutraceutical and pharmaceutical industries. Similarly, customising pre-mixed seasonings to international tastes can strengthen the global footprint of Indian brands. Additionally, India can invest in functional food ingredients, establish itself in the health and wellness sector as a key supplier, and unlock greater value from its spice trade. An essential part of the GVC is innovation, design and marketing. These comprise not just food technology improvements but also other sources of product differentiation like GI branding and meeting global standards. The writers are with the South Asia Office of IFPRI. Views are personal Published on April 16, 2025