Makhananomics

  • 30 Oct 2025

In News:

  • Prime Minister Narendra Modi has termed the establishment of the National Makhana Board as a transformative step and a “revolution” for the makhana sector.
  • The initiative aims to unlock the commercial potential of Makhana (foxnut)—the dried edible seed of Euryale ferox, a prickly water lily that grows in freshwater ponds across South and East Asia—and address long-standing structural gaps in India’s leading production region, Bihar.

Makhana: Botanical, Nutritional and Cultural Features

  • Makhana is derived from the seeds of the gorgon plant, recognised by its large prickly leaves and violet-white flowers. Traditionally used in ritual offerings, it has gained global traction as a nutrient-dense, low-fat “superfood”, expanding its market appeal among health-conscious consumers.
  • The global makhana market, valued at USD 43.56 million in 2023, is projected to surpass USD 100 million by 2033, signalling strong export potential for India.

Production Profile: Bihar’s Dominance

  • Bihar accounts for 90% of India’s makhana production, with cultivation concentrated in nine districts of the Mithilanchal region—particularly Darbhanga, Madhubani, Purnea, and Katihar, which together contribute 80% of the state’s output. Roughly 15,000 hectares under cultivation yield around 10,000 tonnes of popped makhana annually.
  • Over 10 lakh families, mainly from the Mallah (fishermen) community, are involved in its cultivation, harvesting, and processing—making the crop socio-economically significant for Bihar’s rural economy.

Challenges: Low Productivity, Labour-Intensive Processes and Market Limitations

Despite being the largest producer, Bihar faces multiple structural constraints:

1. Weak Food Processing and Export Infrastructure

  • Punjab and Assam dominate makhana exports despite minimal or no production.
  • Bihar sells raw foxnuts cheaply to external food processing units (FPUs), which add value through flavouring, packaging, and branding—capturing higher profits.

2. Poor Market Organisation

  • A long chain of intermediaries suppresses farmer earnings.
  • Limited organised market systems hinder transparent pricing and revenue growth.

3. Labour-Intensive and Low-Productivity Cultivation

  • Harvesting requires diving into water bodies and manually collecting seeds.
  • Cleaning, sun drying, roasting, and popping are entirely manual processes.
  • Adoption of high-yield varieties (HYVs) like Swarna Vaidehi and Sabour Makhana-1 remains low, keeping output at 1.7–1.9 tonnes/hectare, far below the HYV potential of 3–3.5 tonnes/hectare.
  • Mechanisation attempts have been unsuccessful due to technological inefficiencies.

4. Institutional Weakness

  • The ICAR National Research Centre for Makhana, established in 2002, has suffered understaffing, lack of administrative support, and underutilisation.

Government Efforts: Policy Push and Institutional Strengthening

The government is working to commercialise makhana through:

  • Creation of the National Makhana Board with an initial budget of ?100 crore to address production, processing, value addition, and marketing.
  • Promotion of makhana as a commercial crop with improved processing linkages.
  • Expansion of industrial infrastructure, including cargo facilities at airports in Patna, Darbhanga, and Purnea, aimed at facilitating exports.
  • Training, capacity-building, and linkage of farmers to government schemes.
  • Awarding the GI tag to Mithila Makhana in 2022, recognising its unique geographical identity and boosting brand value.

Political Significance: Makhananomics in an Election Year

The push for makhana development carries strong electoral implications:

  • With elections approaching, makhana has emerged as a key narrative in Bihar’s economic agenda.
  • The sector directly impacts the Mallah community, which constitutes just 2.6% of the state population but commands significant influence in North Bihar owing to their 6% regional vote share.
  • Success of “makhananomics” could bolster the ruling coalition’s political appeal by promising employment generation, economic upliftment, and rural prosperity.