Export Import Bank of India on Friday mooted an "integrated effort" from government, industry and R&D units to boost exports of Indian herbal products, which lagged behind the growing global market, now at $62 billion.
"World demand for herbal products has been growing steadily at 10-15 per cent per annum....With global market growing at a much faster rate than domestic market, Ayurveda and Siddha manufacturers need to orient themselves to cater to the export needs," Exim Bank chief executive, T C Venkat Subramanian, said at a function in New Delhi.
He said the medicinal plant related trade in India was only Rs 550 crore (Rs 5.5 billion) but the global market for herbal products was estimated at around $62 billion (Rs 3,00,000 crore).
Europe and North America together command over 63 per cent of herbal remedies market of the world.
"Promoting ayurveda and siddha products and services as export items calls for an integrated effort from government, industry, educational and R&D institutions," Subramanian said.
To boost exports of herbal products, the Exim Bank CEO proposed setting up of Ayurveda cooperatives and parks.
"Given the support from government, possibilities of setting up ayurveda and siddha hospitals and centres abroad can be explored," he said. In the first phase, industry needs to focus on dietary supplements and cosmetics to attract consumers abroad.
The second phase would involve building awareness for medicinal plants and formulations and then boosting the Indian traditional medicines as a major healthcare systems globally.
The Exim Bank chief said that effective protection of intellectual property rights is a necessary condition for generating benefits.
"There are supply side constraints like lack of standardisation, non-acceptance by the medical profession in developed countries due to lack of technical documentation, modernised dosage form and knowledge on international regulations governing imports of such products," he said.
Subramanian said infrastructure of Indian systems of medicines has been below optimal.
However, setting up of Department of Indian Systems of Medicine and Homeopathy as a separate department in Health and Family Welfare Ministry in 1995 and the Medicinal Plants Board in 2000 has improved the situation considerably.