Busy lives fuel demand for packaged spices
The overall spice market in Bangladesh has exceeded Tk5,000 crore while packaged branded ground spices account for over Tk1,500 crore, thanks to the growing hectic pace of people’s lives due to urbanisation
Packaged ground spices are no longer limited to turmeric and chilli powder. To make everyday cooking easier, manufacturing companies have introduced various spices for different dishes in the market. Whether it is fish, chicken, beef, kebab, biryani, tehari, fuchka, or chatpati, a single packet of spice is enough.
Industry insiders say that the market for packaged spices is growing steadily as demand increases in line with changes in lifestyle.
They say that the demand for processed products is also increasing in line with the growing hectic pace of people's lives due to urbanisation. As a result, the demand for branded ground spices is also rapidly increasing, even among those who traditionally use ground spices from grinding stone. The market for processed spices is constantly expanding.
According to manufacturers of branded ground spices, the overall spice market in Bangladesh has exceeded Tk5,000 crore while packaged branded ground spices account for over Tk1,500 crore.
They attribute the growing reliance on packaged spices to changes in lifestyle.
While women were once confined to domestic chores like cooking and childcare, they are now increasingly entering the workforce. Many women are also establishing themselves as entrepreneurs alongside their careers.
In this busy life, packaged spices have become the go-to solution for making home cooking simpler and more flavourful. This reliance on packaged spices has extended beyond urban areas and is now prevalent in rural areas as well.
The manufacturers say that the market for packaged spices is growing every year in this trend and expanding at a double-digit rate.
Stakeholders in the spice processing industry say that as women pursue education and careers, the amount of time they dedicate to household chores declines. This is because women still bear the primary responsibility for cooking in addition to their work commitments.
In this situation, ground spices are the answer to making cooking easier. While grinding turmeric and chilli peppers at home with a machine was once common in rural areas, there is now a rising demand for packaged ground spices across the country. These spices are also being produced by large and modern industrial establishments with advanced technology.
Among these is Square Food & Beverage's 'Radhuni' brand of ground spices. The company began selling packaged ground spices nearly two decades ago. Despite the entry of many large companies into the spice market ever since, the company still holds over 70% of the branded ground spice market.
"The packaged ground spice market is growing at a double-digit rate every year," a senior executive from Square Food & Beverage told TBS. "It has now surpassed Tk1,500 crore."
Well-known brands in the ground spice market also include ACI Pure, Pran, ACME, BD, Arku, Fresh, and Bashundhara. These companies sell spices like turmeric, chilli, cumin, coriander and garam masala for a variety of dishes including beef, chicken, fuchka, chatpati, biryani, and halim.
"We have direct contracts with farmers," said a Bashundhara official. "We bring their turmeric and chilli peppers to our modern factory to produce spices."
He said no artificial flavours or colours are added to their packaged spices. "This is why our spices have a natural taste that appeals to customers."
In addition to packaged spices, whole spices for various dishes prepared using traditional methods are also sold in the market. Using whole spices like onion, ginger, garlic, turmeric, chili, cumin, coriander, cinnamon, cardamom, and cloves directly in curries is a traditional practice.
While onion, ginger, garlic, and turmeric are widely cultivated, the production is still insufficient to meet the demand. As a result, a portion of onion, ginger, and garlic is imported from India and China, according to traders.
On the other hand, various spices like cumin, coriander, cinnamon, cardamom, and cloves are imported from over 22 countries, including India, they say.
Producers of processed spices say that while the demand for packaged spices is increasing, the market for traditional whole spices is still larger. However, the demand for packaged spices is growing at a faster rate compared to the overall growth in demand for spices.
Kamruzzaman Kamal, director of Marketing at Pran-RFL Group, told TBS that the overall demand for spices is increasing at a rate of 2-3% annually. However, the demand for packaged spices is growing at a rate of 10-15%.
He said the demand for packaged spices is rapidly increasing because they are making people's busy lives easier.
The demand for branded spices is increasing not only domestically but also internationally. Manufacturing companies are earning a significant amount of revenue from exports.
According to Export Promotion Bureau (EPB) data, the amount of spice exports in fiscal year 2011-12 was $13.68 million. A record amount of ground spices was exported in FY21 when processed spices worth $43.29 million were exported, which decreased to $42.38 million in FY23. The export target for the current fiscal year has been set at $47 million, with $38.64 million achieved in the first 10 months.
According to exporters, there is a strong global demand for these processed spices. Bangladesh has established markets in various countries. In the coming days, the volume of exports is expected to increase rapidly.