UNITED STATES OF AMERICA
India–USA Agriculture Trade: A Flourishing Partnership with Rising Peanut Exports
The agricultural relationship between India and the United States has evolved into a strong economic partnership, driven by mutual trade interests, sustainability goals, and the global demand for diverse, high-quality agri-products. As both countries continue to strengthen their trade ties, Indian agricultural exports to the U.S. have shown remarkable growth — with peanut trade emerging as a key contributor to this success.
In this blog, we explore the scope of agricultural trade between India and the USA, the rising demand for Indian peanuts, and how this partnership is shaping the global agri-food landscape.
Growing Agricultural Trade Between India and the USA
India ranks among the top exporters of agri-products such as rice, spices, tea, fruits, pulses, and oilseeds. The United States, being one of the largest importers of food products globally, represents a significant destination for Indian agriculture and food exports.
Key Trade Statistics:
- In 2023, India's total agricultural exports to the United States crossed $3.2 billion
- This growth is driven by increasing demand for non-GMO, plant-based, and sustainably sourced food ingredients
- The U.S. market shows a growing appetite for Indian commodities known for their quality, traceability, and competitive pricing
Indian Peanut Trade with the United States: A Rising Star
Among various commodities, peanuts (groundnuts) have gained strong traction in the U.S. market. With the growing focus on plant-based nutrition, clean eating, and protein-rich snacks, Indian peanuts are now finding their way into American households, restaurants, and food manufacturing units.
Export Data:
- India exported approximately 65,000 metric tonnes of peanuts to the United States in FY 2022–23
- Total trade value exceeding $50 million
- This marks a significant year-over-year growth, supported by improved quality controls, international certifications, and India's ability to offer processed and value-added peanut products
Varieties of Peanuts Exported from India to the U.S.
India is known for its wide variety of groundnuts, each serving different industry needs in the United States, including snack foods, peanut butter production, oil extraction, and bakery use.
Bold Peanuts
- Large in size, rich in oil content, and ideal for roasting
- Known for their crunch and earthy flavor
- Used extensively in snack and health food products
Java Peanuts
- Smaller and rounder than Bold peanuts
- Preferred for their sweetness
- Widely used in peanut butter production, confectionery, and packaged snacks
Blanched Peanuts
- Peanuts with the skin removed
- Offering a clean, smooth appearance
- Ideal for use in bakery items, sauces, protein bars, and peanut-based beverages in the U.S. health food segment
Redskin Peanuts
- Specialty variety known for its naturally red outer skin
- Favored in gourmet snacks and ethnic food recipes
India also exports cold-pressed peanut oil and peanut meal (cake) to the United States, catering to the growing demand for organic oils and animal feed ingredients.
Why U.S. Buyers Prefer Indian Peanuts
Indian peanuts are becoming increasingly popular among U.S. importers and food manufacturers due to several key advantages:
- Non-GMO certification and sustainable farming practices
- Competitive pricing with reliable year-round supply
- Strict quality standards and compliance with U.S. FDA regulations
- Customizable peanut forms: in-shell, shelled, raw, blanched, roasted, or oil-processed
- Strong traceability from farm to port
These factors have made India a preferred sourcing destination for American companies seeking high-quality peanuts for bulk purchase or private-label processing.
Trade Growth Outlook and Future Opportunities
The India–USA peanut trade is expected to grow at a CAGR of 10–12% over the next few years, driven by:
- Rising demand for plant-based protein sources
- Increased consumption of natural and healthy snack foods
- Growing popularity of Indian-origin food products in U.S. retail stores
- Expanding interest in organic and value-added peanut products
There is also immense scope for innovation in peanut-based exports such as peanut flour, peanut milk, protein powder, and energy bars, which are gaining traction in the American wellness and fitness industries.
Conclusion
The strategic agricultural trade partnership between India and the United States continues to thrive, with peanuts emerging as a vital export commodity. As Indian suppliers focus on quality, compliance, and customer-specific requirements, U.S. buyers are increasingly turning to India for their groundnut needs.
Whether you're a wholesaler, distributor, or food manufacturer in the U.S., sourcing high-grade Indian peanuts offers you a reliable and scalable solution tailored to evolving market demands.