India's Union finance minister Nirmala Sitharaman announced budget measures to support high-value nut crops, including walnuts, with implications for Jammu and Kashmir, where livelihoods for nearly 700,000 people are linked to the sector.
Jammu and Kashmir accounts for more than 90 per cent of India's walnut output. However, growers and traders have faced increasing pressure due to production constraints, safety risks, and market competition. According to producers, challenges extend beyond harvesting to the long-term viability of walnut farming in the region.
Mohammad Shafi, president of the Walnut Growers Association, said traditional cultivation methods have become difficult to sustain. The region's walnut trees are large, making harvesting hazardous and yields inconsistent. "The current trees pose real risks to our farmers," Shafi explained. "But it's not just the height; it's the heart of the nut. Traditional varieties have shells so hard they often crush the kernel inside during extraction."
At the same time, imported walnuts with softer shells from California and Chile have gained market share in India, adding competitive pressure on domestic producers.
The budget announcement includes support for high-density cultivation systems. These systems are intended to replace older trees with plants that are easier to harvest and offer more uniform output. The proposal covers approximately 86,000 hectares of walnut orchards in Jammu and Kashmir.
"This is a very good development. It will help our economy and finally let us compete on a global stage," Shafi said.
Jammu and Kashmir remains the main production base of India's walnut industry, but over the past decade, the sector has been affected by limited infrastructure and processing capacity. Insufficient modern packaging and processing facilities have contributed to the closure of units, affecting supply chains and farm incomes.
Shafi said the adoption of high-density systems could improve competitiveness. "The current walnut trees have low yield and also pose risks to the farmers. The high-density plants have better yield and uniform size, which fetches a good price," he said.
According to data from the Agriculture and Processed Food Products Export Development Authority, Jammu and Kashmir holds the largest share of walnut area and production in India, covering more than 86,000 hectares. Other producing states include Uttarakhand, Himachal Pradesh, and Arunachal Pradesh, which together account for 3–6 per cent of national production. Total Indian walnut output in 2024 was about 300,000 metric tons.
Export data show that 2,134 metric tons of walnuts, valued at US$7.8 million, were shipped to destinations including the UAE, Turkey, Iraq, Singapore, Algeria, Qatar, Bhutan, Kuwait, Seychelles, and Nigeria.
Source: Kashmir Reader
