Areca nuts market in Maldives

Earlier Report Observations

The areca nuts market in Maldives contracted from over 1 000 t in 2018 to 760 t by 2020. This decline was initially driven by a government ban on imported sweet areca nuts wrapped in single-use plastic, which directly constrained supply. The market contraction deepened in 2020 as the COVID-19 pandemic caused a severe drop in tourist arrivals, sharply reducing demand in the hospitality sector.

Market volume recovered to 936 t in 2021 and continued growing to reach 1 095 t by 2023. This rebound aligned with the gradual return of tourism and broader economic activity. During this period, the government published updated General Fisheries Regulations, reflecting continued policy focus on related agricultural sectors.

In 2024, the regulatory environment for food products tightened with a new Food Safety Bill setting stricter standards for imports and packaging. Simultaneously, public health concerns were raised about areca nuts being carcinogenic, while the tourism sector set new arrival records, creating countervailing pressures on demand and supply regulations for the market.

Production areca nuts in Maldives

In kind, 2017-2020, kg

From 2017 to 2020, the Maldives ranked as the world's 11th largest producer of areca nuts.

Top producers of areca nuts, 2017-2020

World map of production of areca nuts, 2017-2020

In 2020, the Maldives produced 12,870 kg of areca nuts, marking a 6.8% increase from 2019. Over the period from 2017 to 2020, production grew by 9%, which translates to an average annual growth rate of 2.9%. The highest production level was recorded in 2018 at 14,750 kg. The most significant decline occurred in 2019, with an 18.3% drop, while the largest increase was in 2018, with a 24.9% rise.

Annual dynamics of production in Maldives in kind, 2017-2020, kg

Exports areca nuts from Maldives

Exports in kind, t

Annual dynamics of product's exports from Maldives in kind, 2017-2020, t

Between 2017 and 2020, Sri Lanka was the primary export partner for areca nuts in kind, representing 100.0% of total exports.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Maldives in kind, 2017-2020

Exports in value, K $ US

Annual dynamics of product's exports from Maldives in value, 2017-2020, K $ US

From 2017 to 2020, Sri Lanka was the nearly exclusive buyer of areca nuts from the Maldives in value terms, accounting for 100.0% of total exports.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Maldives in value, 2017-2020

Imports areca nuts to Maldives

Imports in kind, t

Areca nuts imports to the Maldives declined for the second year in a row. In 2020, imports amounted to 747 t, reflecting a 10.0% year-on-year decrease. Over the 2017-2020 period, imports increased by 21.8%, corresponding to an average annual growth rate of 6.8%. The peak import volume was in 2018 at 1,008 t. The largest decline was in 2019, with a 17.7% drop, while the biggest increase occurred in 2018, with a 64.5% rise.

Annual dynamics of product's imports to Maldives in kind, 2017-2020, t

During 2017-2020, India remained the dominant partner for areca nuts imports in kind to the Maldives, holding an 87.8% share of total imports, with other markets making up the remainder.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Maldives in kind, 2017-2020

Imports in value, K $ US

The market exhibited volatility during these years. Import volumes peaked in 2018 and reached their lowest point in 2017, with a 1.8-fold difference between these years. In 2020, cross-border shipments of areca nuts to the Maldives totaled 2,897 thousand US dollars, showing a slight reduction of 1.2% compared to the previous year. The highest value was recorded in 2018 at 4,072 thousand US dollars. The most significant decline was in 2019, with a 28.0% drop, while the largest increase was in 2018, with a 76.0% rise.

Annual dynamics of product's imports to Maldives in value, 2017-2020, K $ US

From 2017 to 2020, India effectively dominated imports of areca nuts to the Maldives in value terms, accounting for 92.5% of total imports.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Maldives in value, 2017-2020