Drop in Import Duty Spurs Paramount Farms Pistachio Sales to India

Los Angeles-based Paramount Farms has found a warm welcome for its California-grown pistachios in India.

Retail sales of the company's export division, Paramount Farms International, increased 100% in 2010 compared to 2009 sales, Mark Masten, vice president of global sales and marketing, said in a news release. Indian retail outlets for the nuts increased tenfold, he said.

According to the Foreign Agricultural Service of the U.S. Department of Agriculture, pistachio exports to India increased from 4.95 metric tons in 2004-05 to 8,52 metric tons in 2009-10.

"Consumption of California pistachios in India is booming," Masten said in the release. "The category increased by about 30% in 2009 as compared to the previous years, thanks to a rising demand for healthy snacks… along with the reduction in import duty from 30% to 10%."

Masten told a seminar in New Delhi, India, May 25 that Paramount Farms plans to invest $10 million in the company's India operations.

"We plan to take full advantage of the favorable market conditions and aggressively grow our distribution by adding another 20,000 outlets in the next year and boost sales another 100%," he said.