India's growing trade in high-value crops with South Asian countries: Prospects of crop diversification

Despite having no comparative advantage in fruits and vegetables export in the world market, India exhibits a comparative advantage over most South-Asian countries, with the exceptions of Afghanistan and Bhutan. Trade balance index (TBI) showed that vegetables like tomatoes (HS Code 0702), cucumbers and gherkins (HS Code 0707), leguminous vegetables (HS Code 0708) and fruits like bananas (HS Code 0803), citrus (HS Code 0805) and fruits and nuts, provisionally preserved (HS Code 0812), emerged as India's major export vegetables and fruits for the study period. As trade liberalisation and market access for agricultural products expands between countries, there will be a greater need for the country to focus on diversifying its agriculture, particularly by emphasizing the cultivation of fruits and vegetables. Keywords: Comparative advantage, export competitiveness, fruits, vegetables. JEL Codes: F13, F18, Q02, Q17.