Introduction
India leads the shellac market globally, as more than half the production comes from the country. The country produces vegetable saps and extracts, guar gums, plant and plant portions, fixed vegetable oil, shellac and lac-based products and other vegetable materials.
About 90% of the world’s guar gum comes from India. The major states producing guar gum are Rajasthan, Gujarat, Haryana, Punjab, Uttar Pradesh, Madhya Pradesh, Tamil Nadu, Maharashtra, Karnataka, and Andhra Pradesh.
The global shellac market was valued at US$ 168.5 million in 2025 and is expected to reach US$ 171.7 million in 2026. It is projected to grow to US$ 203.4 million by 2035, with a CAGR of 1.9% during the forecast period from 2026 to 2035. India has been registering steady growth in the export of shellac and lac-based products over the last five years.
Product-wise split in exports in terms of value in FY2024-25*
Source: SHEFEXIL
Note: *- Target 2024-25
It is the largest exporter of guar gum, sesame seeds, and shellac, and the second largest exporter of medicinal plants in the world. Large volumes of shellac and forest products are produced by India that are internationally acknowledged for their superior quality. Additionally, shellac and forest products contribute significantly to the lives of millions of rural and forest-dependent poor people. In India, NTFPs support the livelihoods of about 275 million people, with local communities and Indigenous People deriving up to 40% of their income from them. Vegetable saps & extracts constituted the majority of exports in value terms with a 48.81% share (Target 2024-25). This was followed by guar gum at 22.15% and plant & plant portions (herbs) at 17.95%, indicating a strong concentration in these key product categories.
Export Data
Shellac products exports (values in US$ million)
Source: SHEFEXIL, Ministry of Commerce & Industry, FY27* April-June 2026
Until recently, the Council had been looking after the exports of shellac and lac-based products only but the allocation of other Non-Timber Forest Produce & their value-added products complements the existing product basket. India is the largest exporter of guar gum, sesame seeds, and shellac, and the second largest exporter of medicinal plants globally. In FY26, exports of shellac products amounted to US$ 87.72 million. In FY27 (April- June 2026), exports of shellac products were valued at US$ 19.30 million. According to SHEFEXIL’s Annual Report 2023-24, total exports of major product categories including vegetable saps & extracts, guar gum, plant & plant portions (herbs), fixed vegetable oil & cake, shellac & lac-based products, and other vegetable materials increased from US$ 2,782.18 million
in FY22 to US$ 2,860.37 million in FY23 and further to US$ 3,449.69 million in FY24, reflecting a steady expansion in India’s exports of plant-based and natural products. The overall export performance indicates a strong recovery in FY24, supported by rising global demand and improved realizations across key categories.
Within this, vegetable saps & extracts remained the largest export segment, valued at US$ 1,289.99 million in FY24, followed by guar gum at US$ 585.41 million and plant portions (herbs) at US$ 474.34 million. Other categories such as shellac & lac-based products (US$ 125.59 million) and fixed vegetable oil, cake & others (US$ 108.33 million) also contributed to the overall export basket. The trend highlights a strong concentration in high-value natural extracts and industrial-use products, with guar gum continuing to play a significant role despite year-on-year fluctuations.
Country-wise exports
India exports shellac and lac-based products to a diverse range of global markets, with key destinations including China, Germany, Mexico, the USA, Bangladesh, the UK, Bolivia, France, Chile and Spain. During FY27 (April-June 2026), total shellac exports stood at US$ 19.31 million, reflecting continued international demand for lac-based products used across applications such as food glazing, pharmaceuticals, cosmetics and surface coatings. China emerged as the largest destination, accounting for US$ 6.07 million (31.45%) of total shellac exports, followed by Germany at US$ 2.20 million (11.39%) and Mexico at US$ 1.87 million (9.71%). The USA ranked fourth with exports of US$ 1.73 million (8.98%), followed by Bangladesh at US$ 1.25 million (6.46%) and the UK at US$ 1.17 million (6.08%). Other major destinations included Bolivia (US$ 0.93 million; 4.80%), France (US$ 0.83 million; 4.27%), Chile (US$ 0.47 million; 2.41%) and Spain (US$ 0.43 million; 2.22%). Together, the top 10 destinations accounted for approximately 87.8% of India's total shellac exports during the period, highlighting the concentration of exports across key markets in Asia, Europe and North America.
Country-wise share of shellac exports FY27*
Source: Ministry of Commerce, FY27* April-June 2026
Government Initiatives
Strategy to maximize exports of products under the purview of SHEFEXIL
The strategic initiatives taken by the Council to promote the export of shellac and forest-based products are - Increasing the supply of focus products to propel exports from India; product and application research to go up on the value chain; Market development; and Development of Brand India.
Program for Inclusive Growth
This program is designed to tackle the lack of growth of the focus products. It is designed for the interests of tribal cultivators, who are among the most deprived rural poor and include a large percentage of women. The objective of this program is to - increase production of the products under the purview of this Council significantly in India; target benefits to beneficiaries – by augmenting their annual income significantly; establish processing units in the growing areas to create an integrated Development model.
The Non-Timber Forest Produce Information Centre (NTFPIC)
SHFEXIL formed a Non-Timber Forest Produce Information Centre (NTFPIC) which is a one-stop body for all the information related to shellac and forest products. The objective of the information centre is to build a community of stakeholders by bringing traders, producers, exporters, and co-operatives under its purview and providing them with a platform for highlighting the problems faced and providing them with support measures needed for export development.
Governing Body
Shellac and Forest Products Export Promotion Council (SHEFEXIL)
The Shellac and Forest Products Export Promotion Council (SHEFEXIL) was established in 1957 under the Ministry of Commerce & Industry to promote India’s exports of shellac and lac-based products. Over time, its role expanded to cover a wide range of non-timber forest products such as vegetable saps and extracts, guar gum, herbs, sesame seeds, and other plant-based materials. It was later renamed SHEFEXIL and now supports hundreds of products and exporters, contributing significantly to India’s export sector. The council also serves as a nodal agency for promoting exports from the North Eastern region and focuses on enhancing export potential, supporting members, and improving livelihoods of rural and tribal communities through trade.
FAQs
India exports vegetable saps and extracts, guar gum, herbs, fixed vegetable oils, shellac and lac-based products, and other vegetable materials. In FY2024-25, vegetable saps and extracts accounted for 48.81% of exports by value, followed by guar gum at 22.15%, herbs at 17.95%, and shellac and lac-based products at 4.75%.
India's shellac exports increased from US$ 87.8 million in FY2021 to US$ 105.8 million in FY2022, before declining to US$ 67.9 million in FY2024. Exports recovered to US$ 81.1 million in FY2025 and US$ 87.72 million in FY2026, reflecting a recovery in international demand.
The USA was India's largest shellac export destination in FY2026, accounting for US$ 15.23 million (17.37%), followed by China at US$ 13.68 million (15.60%) and Germany at US$ 13.42 million (15.31%). Mexico, Bangladesh, and the UK were other major destinations.
Non-timber forest products (NTFPs), including shellac, guar gum, medicinal plants, and vegetable extracts, contribute to India's exports and rural livelihoods. These products support approximately 275 million people, with local communities and Indigenous People deriving up to 40% of their income from NTFPs.
Rajasthan, Gujarat, Haryana, Punjab, Uttar Pradesh, Madhya Pradesh, Tamil Nadu, Maharashtra, Karnataka, and Andhra Pradesh are major guar gum-producing states. India is also a leading global producer of shellac, supplying lac-based products to international markets.
Value-added processing enables the development of diversified shellac and lac-based products for applications across industries. SHEFEXIL promotes product and application research, supply enhancement, and market development to strengthen export potential and improve value-chain integration.
Tribal cultivators and forest-dependent communities play an important role in producing shellac and other non-timber forest products, supporting rural livelihoods and income generation. SHEFEXIL's Inclusive Growth Programme focuses on increasing production, improving cultivator incomes, and establishing processing units in production areas.
SHEFEXIL promotes exports through supply enhancement, product and application research, market development, and the development of Brand India. Its Inclusive Growth Programme and Non-Timber Forest Produce Information Centre (NTFPIC) support producers, traders, exporters, and cooperatives to strengthen the forest-based products value chain.
Indian shellac and lac-based products are used in food glazing, pharmaceuticals, cosmetics, and surface coatings. These applications support international demand across industries, with major export destinations spanning Asia, Europe, and North America.
India's shellac exports reached US$ 87.72 million in FY2026, while exports during April–June FY2027 stood at US$ 19.30 million. The global shellac market is projected to grow from US$ 168.5 million in 2025 to US$ 203.4 million by 2035, at a CAGR of 1.9%.
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