India’s organic farming industry grows by 1.6% to $1.2 billion

India’s indigenous organic farming and cosmetics business grew by 6.6 percent in the last quarter of this year, a major milestone for the sector, according to a report by a leading Indian organic brand.

The organic business has been growing at a brisk pace over the last year as the country has emerged as an export hub for natural cosmetics products and has diversified its supply chains.

The organic cosmetics industry is estimated to grow at 6.7 percent annually.

“The organic cosmetics business is in a unique position to take advantage of a growing demand for natural products, especially when the demand is so strong that consumers are willing to spend more on natural products,” said Prakash Raghunathan, head of organic cosmetics at Prakasu Limited, an Indian conglomerate that sells organic cosmetics, cosmetics products, and personal care products to consumers across India.

“Our organic cosmetics businesses have seen a significant increase in volume over the past few quarters, and we expect the market to continue to grow.”

Indian organic cosmetics sales increased by 3.7% in the fourth quarter of the current fiscal, which ended March 31.

The increase in organic cosmetics volume was driven by growth in the number of organic and organic-friendly brands, the report said.

In comparison, organic cleansing products and beauty products sales increased at an annualized pace of 2.5% and 1.4% respectively.

The overall organic cosmetics market grew at a rate of 4.3% in FY17, the highest growth in more than two decades, according the report.

In 2017, India exported $1 billion worth of organic goods to foreign countries, including $300 million worth of products from India to China, and $400 million worth to the United Kingdom, according an estimate by the International Trade Association of India.

The country exported $3.4 billion worth organic products to China and $1 million worth products to the U.K.

In 2018, India’s economy contracted by 6% in a quarter as the rupee dropped by 6 percent against the dollar and the country’s imports of Chinese products fell by 11%.

However, the overall economy contracted for the third consecutive year in the third quarter.

The report noted that India is expected to grow its organic cosmetics segment to 6.5 percent of total cosmetics sales by 2019, which is up from 5.6-6.3 percent in 2018.

The growth of the organic cosmetics sector in India has been helped by the country opening up its market to foreign brands, which are expected to provide an estimated $7 billion to the country in 2020, according TOI.

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