7.5% Decline in Rice Exports in Fiscal Year 2025-26
23-Apr-2026 07:21 PM
New Delhi. The impact of the ongoing crisis in West Asia is being observed in India's rice exports. Shipments declined significantly in March. Iran is a leading importer of Indian Basmati rice; however, in March 2026, it remained embroiled in a conflict with the United States and Israel. Consequently, there was a reduction in rice import orders, and payment uncertainties heightened. Disruptions in shipping operations also emerged as a significant factor contributing to the decline in rice exports.
According to data from the Union Ministry of Commerce, a total of $11.53 billion worth of rice was exported from India during the period from April 2025 to March 2026, representing a 7.5 percent decrease compared to the total export earnings of the fiscal year 2024-25. This figure encompasses all varieties and categories of both Basmati and non-Basmati rice. Export performance in Middle Eastern nations weakened, following a prior slowdown in the pace of exports to the United States due to the imposition of a 50 percent customs duty.
Compared to March 2025, India's rice export earnings in March 2026 fell by 15.36 percent, settling at $997.53 million.
The fierce conflict involving Iran, the United States, and Israel in West Asia during March—specifically the continued hostilities—impacted India's rice exports (particularly Basmati rice) to a certain extent in key importing nations across the Middle East and the Gulf region, including Iran, the United Arab Emirates, Saudi Arabia, Iraq, and Oman.
According to reports received, importers in several countries—including Iran—have informed their Indian counterparts that they are unable to import rice under existing contracts and are also unable to make payments for the rice.
This situation has subsequently created an environment of uncertainty regarding rice exports to these regions. During the financial year 2024-25, approximately 20.1 million tonnes of rice, valued at about $12.50 billion, were exported from India to 172 countries across the world.