Business

Spicy Organic LLC: Modern Day Spice Merchants

Published

3 years ago

April 21, 2021

When sprinkling red pepper on a pizza or indulging in a cinnamon roll, most people probably don’t give a second thought to the spices on their food and where they originated. Often taken for granted in modern times, spices were extremely difficult to obtain at one time, and the measures taken to secure them played a profound role in shaping human history. Some spices were once more valuable than gold and gems. Pepper was even used to pay Roman soldiers or rent in ancient times. Although spices are extremely affordable and accessible today, the undertakings that made this possible shaped economies and cultures, even leading to the discovery of new continents.

In Ancient times, Arabian spice merchants would tell stories of the mythical origins of the cinnamon and cassia they sold to maintain an aura of mystery surrounding the origins of their products and keep their foothold on the market. They dominated the market for 5000 years until the Middle Ages. In modern times, however, the spice trade looks different. One family whose story began in India and has crossed the globe, are extremely transparent about the origins of their products, making it a point for them to be traced back to the source.

What began as a small spice shop opened by Sunil Kumar and his family in 1980 in the Village of Lisora in Uttar Pradesh, India has since become a transnational company and the largest supplier of wholesale and bulk organic spices in North America. Just like the explorers and spice merchants of the times gone by, the Kumars help distribute spices across land and water, always maintaining their mission to provide organic and sustainable products. They have relationships with over 10,000 organic farmers and growers, and their legacy spans over 40 years.

How the Spice Trade Shaped History

Spices were the first globally traded product. Archaeologists believe humans have been using spices to season their food since 50,000 B.C. Cinnamon, cardamom, ginger, turmeric and cassia were some of the first to be traded across different lands. Records show cinnamon and cassia arrived to the Middle East more than 4000 years ago. Ancient Arab traders would tell stories of cassia growing in shallow lakes and guarded by winged animals.

Ceylon (modern-day Sri Lanka) and the Spice Islands (modern-day Indonesian Moluccas) served as important trading points at one time. Later on, Alexandria, Egypt became the world’s largest center of trade when it fell under Roman rule. Indian spices traded in Alexandria reached other territories of the Greek and Roman empires. For 300 years after Ptolemy XI gave Alexandria to the Romans in 80 BCE, trade between India and the Romans flourished.

In the 10th century, the trade rivalry between Venice and Genoa led to the Naval War of Chioggia in 1378. Venice emerged as the victor, which allowed them to dominate trade in the Levant for the next 100 years.

Age of Exploration

As shipbuilding technology evolved, the British, Spanish, and Portuguese sailed in search of the fabled spice lands, with the goal of finding alternative trade routes and eliminating the middleman. Christopher Columbus, sailing for King Ferdinand II and Queen Isabella of Spain, famously failed to reach the Spice Islands but discovered the Americas instead. Portuguese explorers successfully found a route to Asia and reached India in 1498. For the next century, they dominated the market.

Fleets from Holland set sail for the Spice Islands in the late 1500s, which led to the establishment of the Dutch East India company in 1602. Other European countries soon followed and established their own East India Companies. Although Portugal dominated the spice trade at one point, it was surpassed by the British and Dutch. The pursuit of spices fueled globalization, technology, and established empires. There was a dark side to their success, however. During this period, European countries established their colonial presence in Asia and other parts of the world at the expense of indigenous peoples, leaving a legacy marked by violence and oppression.

Evolution of Tastes in the Western World

Some may wonder why spices were in such high demand in Europe. Modern European cuisine is not known for incorporating many different spices. Other cuisines, such as Chinese or Indian, are known to be more layered and complex, with contrasting flavors, whereas western European dishes combine similar flavors. One example is the use of cinnamon; its sweet aroma is typically used to enhance sweet dishes in the west, whereas in India and the Middle East it is common to use in savory dishes. Western food is known for being less seasoned than other cuisines. However, this was not always the case.

At one time, Europeans incorporated more spices in their dishes. A beef pie recipe from 15th-century Germany, for example, includes meat, butter, salt, pepper, cinnamon, and cloves.

A 16th-century English recipe for custard- a savory quiche with meat, includes veal, red wine, parsley, sage, hyssop, savory, pepper, cinnamon, cloves, mace, saffron, salt, dates, prunes, and ginger.

So what changed? How did European access to spices change their palate? While affording spices was a status symbol at one time, as spices became increasingly common, it became more elegant to do the opposite of what the masses were doing. So instead of masking food in spices, it became popular for the upper classes to bring out the natural flavors of foods by using minimal seasonings. This is why European food tends to uses fewer spices, preferring herbs, salt, and pepper instead to enhance the natural flavors. However, in the last few decades, the popularity of spices have made a revival as a result of globalization and immigration. One prime example is chicken tikka masala, which is considered to be the national dish of England and a symbol of its multiculturalism.

The Kumar Family’s 40-year legacy

As the largest wholesale and bulk distributor of organic spices and herbs in North America, the Kumar family delivers the tastes of India to North America. They allow Indians abroad to enjoy the tastes of home and non-Indians alike to discover the flavors of India without compromising on quality or price. They help people across the globe continue their family culinary traditions by bringing organic, high-quality spices, making them affordable and accessible.

Since 1980, Sunil Kumar and his family continue their spice trade across land and sea and show us what the modern-day spice trade looks like. So although we may take the accessibility of spices brought to us by companies like Spicy Organic for granted, they helped shape much of history, making huge impacts on economies, cultures, and history. Wars were fought, empires gained and lost power, technology improved, and society became more interconnected.

Business

Opportunities for Black Banx in Emerging Markets

Published

18 hours ago

May 5, 2024

Matthew Wiles

A significant digital transformation is underway in the world of finance, marked by the emergence of non-bank innovators offering a diverse array of financial technology products and services. This transformation is not confined to established markets; rather, it extends its reach into emerging economies, offering a compelling digital alternative to traditional banking institutions. These alternatives are particularly vital in addressing the issue of financial exclusion, which has left substantial populations underserved by traditional banking systems.

Among these innovative digital banking entities stands Black Banx, a fintech brand dedicated to fostering financial inclusion in emerging markets by seamlessly integrating banking services into digital ecosystems. Founded in 2014 as a visionary concept by German billionaire Michael Gastauer, Black Banx swiftly evolved into a global force in the global financial market Officially launched in 2015, the institution rapidly garnered international recognition, extending its services to 180 countries and territories from its inception. Within a mere 12 months of operation, Black Banx amassed over 1 million customers, marking its initial expansions in key regions such as the United States, United Kingdom, and Hong Kong. At present, with a customer base exceeding 40 million as of February 2024, Black Banx stands as one of the fastest-growing digital banks not only in developed countries but also in emerging markets.

What Are Emerging Markets?

An emerging market mostly describes the economic landscape of a developing nation progressively engaging with global markets during its growth trajectory. These economies possess some but not all of the defining characteristics of developed markets, which typically exhibit robust economic growth, high per capita income, well-established equity and debt markets, foreign investor accessibility, and a reliable regulatory framework, according to Investopedia.

As emerging market economies evolve, they tend to integrate more deeply into the global economy. This integration fosters increased liquidity within local debt and equity markets, heightened trade volume, and augmented foreign direct investment. Moreover, these economies witness the emergence of modern financial and regulatory institutions as they transition from low-income, less developed, often pre-industrial states to modern industrial economies with elevated standards of living.

With improving standards of living, the demand for financial security and opportunities escalates, underscoring the pivotal role of banking services. However, traditional banks face challenges stemming from bureaucratic processes and sometimes limited services. Conversely, fintech firms are gaining prominence owing to their convenience, user-friendly interfaces, and expedited signup procedures. Furthermore, their accessibility anytime and anywhere with internet connectivity enhances their appeal to the public.

Strong Demand for Financial Technology

The surge in digital banking adoption, particularly conspicuous in emerging markets, owes much to innovations originating in these regions. For instance, nearly nine out of ten consumers in the Asia-Pacific region, encompassing both emerging and developed markets, actively utilize digital banking services, with a significant portion expressing openness to expanding their usage through digital channels.

Enthusiastic adoption of fintech tools and e-wallets among consumers in emerging markets has propelled the market penetration of these innovative solutions beyond levels observed in developed markets. In the emerging Asia-Pacific region, the penetration of fintech apps and e-wallets surged to 54 percent in 2021, compared to 43 percent in the developed segment. This is indicative of the accelerating shift towards fintech transactions and services, as per McKinsey & Company.

A portmanteau of finance and technology, fintech refers to the burgeoning industry of companies utilizing computer programs and other technologies to provide support or enable banking and other financial services. In developed nations, there’s been a rapid expansion and adoption of fintech technologies ever since businesses and even governments started accepting digital financial transactions as a standard mode of payment. But even in emerging markets, the demand for fintech has also skyrocketed as more people report a diminishing reliance on cash for weekly expenditures.

Identifying Opportunities in Emerging Markets

Launching a successful digital bank entails navigating a myriad of challenges, irrespective of the market’s maturity. However, digital banking in emerging markets presents its own unique set of hurdles, particularly in securing widespread adoption among mass-market consumers. To thrive in any market landscape, a digital bank must first establish meaningful access to its target customers. While the initial interaction may appear straightforward in the digital realm, the reality proves more nuanced.

The proliferation of digital advertising notwithstanding, capturing customer attention remains a formidable task, compounded by the intricacies of onboarding procedures, even for digitally savvy clients. Moreover, the reliance on app downloads as a precursor to engagement further heightens the barriers to entry as first-time users may find them intimidating.

Building a solid trust relationship with customers is important for digital banks to maximize their opportunities in emerging markets. Trust, arguably the linchpin of sustained usage, demands meticulous investment in creating positive onboarding experiences and fostering comprehension of banking channels and products. However, achieving this trust quotient is not easy, especially in emerging markets with lower access to financial services and digital literacy.

Black Banx’s Success in Emerging Markets

Black Banx is a digital bank focused on empowering financial inclusion in emerging markets by integrating banking into digital ecosystems. It was founded by German billionaire Michael Gastauer who always believed that well-designed financial services have the potential to uplift even the most marginalized segments of society, providing them with enhanced economic opportunities.

Consequently, Black Banx is steadfast in its mission to promote financial inclusion while harnessing the advancements within the fintech landscape. Today’s digital technologies offer unprecedented tools to reconstruct banking paradigms, especially for those underserved by traditional financial institutions, with smartphones and laptops serving as gateways to financial empowerment. But while Black Banx makes use of the most advanced fintech technologies, including blockchain and artificial intelligence, it delivers an intuitive and easy-to-navigate user experience through its website and mobile app so even the inexperienced or less tech-savvy consumers won’t have a hard time using its platform to carry out financial transactions.

With his expertise and decades of experience in the financial industry, Gastauer has a keen eye for trends and what works in different markets. So instead of delivering different experiences for developed and emerging markets, the renowned fintech mogul opted to roll out the same suite of services to both because of his motivation to realize financial inclusion and offer only the best banking experience to all. As such, Black Banx facilitates seamless transitions between physical and digital currencies and even cryptocurrencies. The digital bank also tailors its channels to accommodate customers at various stages of their digital journey, ensuring that they feel guided every step of the way until they achieve their financial goals. All of these contribute to Black Banx’s success in emerging markets.