Basmati Rice Prices Surge

07-May-2025 03:19 PM

Basmati Rice Prices Surge
★ Due to rising tensions between India and Pakistan, basmati rice prices have recently increased by 8–10%.
★ Importers from Saudi Arabia, Iran, and Yemen have ramped up purchases from India, fearing potential supply disruptions.
★ In the past 15 days, the wholesale price of the 1509 variety of basmati rice has risen from Rs. 53 to Rs. 59 per kg. Steamed basmati has gone up from Rs. 62–63 to Rs. 69 per kg. At the retail level, the Sella variety is priced at Rs. 75, while the premium biryani variety has reached Rs. 80 per kg.
★ After India imposed a Minimum Export Price (MEP) in September 2024, global buyers had shifted to sourcing from Pakistan, which had caused a dip in Indian prices. However, with the recent political tensions, buyers are once again turning to India, causing prices to rise.
★ There is concern in the global rice market that escalating tensions between India and Pakistan may disrupt basmati rice supplies, leading to further cost increases.
★ Importers in the United States are also affected, stockpiling ahead of potential tariff changes.
★ If the situation worsens, further price hikes are expected.