The Role of SHEFEXIL in Promoting India's Non-Timber Forest Products

The Role of SHEFEXIL in Promoting India’s Non-Timber Forest Products

By AdminPublished On: February 21, 2025Categories: Shellac and Forest Products Export Promotion Council (SHEFEXIL)0 Comments

Non-timber forest products (NTFPs) have long been integral to India’s economy, culture, and ecology. These products, derived from forests without felling trees, encompass a wide range of items such as shellac, guar gum, herbs, and more. The Shellac & Forest Products Export Promotion Council (SHEFEXIL) plays a pivotal role in promoting and facilitating the export of these valuable resources, thereby contributing significantly to India’s economic growth and the livelihoods of its rural and tribal populations.

Understanding SHEFEXIL

Established in 1957 under the sponsorship of the Ministry of Commerce & Industry, Government of India, SHEFEXIL was initially known as the Shellac Export Promotion Council. Its primary objective was to promote the export of shellac and lac-based products. In April 2005, recognizing the vast potential of India’s non-timber forest produce, the council expanded its mandate to include a broader range of products and was consequently renamed SHEFEXIL. Today, it supports 860 individual products, with exports valued at approximately USD 2,140.94 million in the fiscal year 2018-19.

SHEFEXIL’s Role in Promoting NTFP Exports

SHEFEXIL employs a multifaceted approach to enhance the export potential of India’s NTFPs:

Market Expansion and International Exposure

SHEFEXIL actively organizes trade fairs, buyer-seller meets, and international delegations to showcase India’s NTFPs on global platforms. These initiatives provide exporters with opportunities to connect with international buyers, understand market trends, and expand their reach. By facilitating such interactions, SHEFEXIL helps Indian exporters gain international exposure and increase their business prospects.
Quality Assurance and Standardization

To maintain the credibility of Indian NTFPs in international markets, SHEFEXIL mandates third-party sampling and testing of various forest products intended for export. This includes products like shellac, vegetable saps and extracts, guar gum, sesame seeds, herbs, niger seeds, and fixed vegetable oils. By ensuring compliance with international quality standards, SHEFEXIL enhances the competitiveness of Indian products globally.(Eurofins)
Research and Development

Understanding the importance of innovation, SHEFEXIL supports research studies aimed at discovering new applications and improving the quality of NTFPs. For instance, in the guar gum sector, there is a focus on developing derivative products like Hydroxy Propyl Guar (HPG), which is more suitable for oil well drilling, and Cationic Guar Gum (CGG), to meet specific international market demands.(Ministry of Commerce and Industry)
Policy Advocacy and Support

SHEFEXIL engages with government bodies to advocate for favorable policies that benefit the NTFP export sector. This includes addressing issues like dual duty structures in importing countries, which can disadvantage Indian exporters. By voicing these concerns, SHEFEXIL strives to create a more equitable trading environment for Indian NTFP exporters.
Regional Development Initiatives

In October 2007, SHEFEXIL was designated as the nodal Export Promotion Council for the North Eastern Region of India. This region, rich in unique forest products, has been a focal point for SHEFEXIL’s efforts to boost exports and provide sustainable livelihood opportunities to local communities.

Key NTFPs Promoted by SHEFEXIL

Shellac

India is a global leader in shellac production, a natural resin with diverse applications in food, cosmetics, and industrial sectors. SHEFEXIL’s efforts have been instrumental in maintaining India’s dominance in the global shellac market.
Guar Gum

India produces about 80% of the world’s guar, with more than 90% of the country’s guar gum production being exported. This natural thickening agent is essential in industries like food processing, textiles, and oil drilling. SHEFEXIL’s initiatives in quality assurance and market expansion have significantly bolstered guar gum exports.
Herbs and Medicinal Plants

India’s rich biodiversity includes a vast array of medicinal herbs. SHEFEXIL promotes the export of these herbs by ensuring quality standards and facilitating connections between exporters and international buyers.
Vegetable Saps and Extracts

Products like neem extract, tamarind kernel powder, and other plant derivatives find extensive use in pharmaceuticals, cosmetics, and food industries. SHEFEXIL supports exporters in navigating international regulations and meeting quality benchmarks for these products.

Challenges and the Way Forward

Despite the successes, the NTFP export sector faces challenges such as competition from synthetic substitutes, fluctuating global demand, and stringent international quality standards. SHEFEXIL addresses these challenges through continuous engagement with stakeholders, promoting value addition, and advocating for policy reforms. Investing in research and development, particularly for creating value-added products, and aggressive marketing strategies are pivotal for sustaining growth in this sector.

How Altus Exports Can Assist Indian Manufacturers

Navigating the complexities of international trade requires expertise, resources, and strategic partnerships. Altus Exports offers a comprehensive solution for Indian NTFP manufacturers aiming to expand their global footprint.

Partnering with Altus Exports

Altus Exports seeks to form strategic alliances with manufacturers who share a commitment to excellence and global expansion. Ideal partners are those producing export-quality products, aspiring for international reach, and possessing the necessary documentation and certifications for seamless export operations.

Our Partnership Model

Altus Exports becomes an extension of your business, acting as a dedicated export team. Our services include: