Kashmiri saffron, renowned for its quality and distinct flavour, has witnessed a remarkable revival in the market. With the acquisition of the Geographical Indication (GI) tag, the precious crop from the Kashmir valley has successfully fought off competition from Iranian saffron. The GI tag has not only bolstered its reputation but has also elevated its market value. As a result, the price of Kashmir saffron has surged significantly, making it nearly five times more expensive than silver.
The prices of Kashmir saffron have skyrocketed to ₹3.25 lakh per kilogram, marking a substantial increase from ₹2 lakhs per kilogram the previous year. This surge can be attributed to the GI tag, which distinguishes the Kashmiri crop as a genuine article with a specific geographical origin. Consequently, it has become highly sought-after in global markets, attracting buyers from the United States, Canada, and Europe.
The GI tag has effectively countered the challenge posed by Iranian saffron, which was previously sold as Kashmiri saffron. Impact on Farmers and Traders: The GI tag has brought about significant benefits for saffron farmers and traders alike. Previously, saffron farmers received around 1.30–1.5 lakh per kilogram, but prices have now escalated to 1.8–2 lakh per kilogram.
This rise in income has brought optimism and financial stability to the growers. Rejuvenated production and improved market positioning have contributed to the surge in saffron prices, enabling traders to generate substantial profits.
Farmers in Kashmir have faced challenges from Iranian saffron, often misleadingly sold as Indian saffron. However, the GI tag has proven instrumental in combating such practices and safeguarding the reputation of Kashmiri saffron.
The ultimate goal is to increase saffron production from the current 18 tons per year to 25–27 tons in the coming years. The implementation of the National Saffron Mission has resulted in an upward trend in production, rising from 1.8 kilograms to approximately 5 kilograms per hectare.
The acquisition of the Geographical Indication tag has rejuvenated the Kashmiri saffron industry, propelling it to new heights in terms of both market value and global recognition. The premium prices fetched by Kashmir saffron, now rivaling the value of silver, have transformed the fortunes of farmers and traders. With its rich heritage and distinct characteristics, Kashmir saffron continues to strengthen its position as a prized commodity in the global market, delighting consumers and contributing to the economic prosperity of the region.