HS Code:
Cinnamon and cinnamon-tree flowers (HS Code: 0906) encompass a variety of spices derived from the bark of trees belonging to the genus Cinnamomum. This category includes cinnamon in various forms such as sticks, ground powder, and cinnamon-tree flowers, which are used primarily as a spice in culinary applications and for their aromatic properties in food, beverages, and perfumes. Cinnamon is valued for its distinct sweet and woody flavor, with major varieties including Ceylon cinnamon (true cinnamon) from Sri Lanka and Cassia cinnamon from countries like China and Indonesia. This category plays a significant role in global spice trade due to its widespread use and cultural importance in cuisines worldwide.
Total Trade Volume
USD 1.2 billion
Data from 2022
Source
United Nations Comtrade Database
USD 250 million
20.8% of total trade of total trade
Increasing
USD 200 million
16.7% of total trade of total trade
Increasing
USD 180 million
15.0% of total trade of total trade
Stable
USD 150 million
12.5% of total trade of total trade
Increasing
USD 100 million
8.3% of total trade of total trade
Stable
Average Rate
5.2%
Highest Rate
25% (applied by certain developing countries to protect domestic markets)
Lowest Rate
0% (under free trade agreements such as EU-Sri Lanka trade agreements)
Rising demand for organic cinnamon
Increased exports from countries like Sri Lanka and India, which are focusing on organic certification to cater to health-conscious consumers in Europe and North America.
2021-2022
Growth in processed food and beverage industries
Higher demand for ground cinnamon and cinnamon extracts as flavoring agents, boosting trade volumes in major producing countries.
2020-2022
Shift towards sustainable sourcing
Buyers in developed markets are prioritizing sustainably harvested cinnamon, leading to certification programs and partnerships with local farmers in producing regions.
2022
The European Union renewed its GSP+ trade concessions for Sri Lanka, allowing duty-free access for cinnamon exports to EU markets, strengthening Sri Lanka's position as a leading supplier.
January 2023
Expected to increase Sri Lanka's export volume by 10-15% over the next two years, benefiting small-scale farmers and exporters.
Indonesia launched a national program to improve cinnamon quality through better harvesting and processing techniques, aiming to meet stringent international standards.
March 2023
Likely to enhance Indonesia's competitiveness in premium markets, potentially increasing its market share.
The United States initiated a review of import tariffs on cinnamon from certain countries as part of broader trade policy adjustments, with potential reductions under discussion.
June 2023
Could lower costs for US importers and consumers, boosting demand for cinnamon from affected countries like Vietnam and Indonesia.