Focus on Local Supply Likely to Reduce Rice Exports

01-Dec-2025 11:08 AM

New Delhi. The central government's focus is often on facilitating domestic rice supply and availability and controlling prices, which has led to frequent changes in export regulations. Consequently, exporters are often caught in a vortex of confusion and uncertainty.

Undoubtedly, India has remained the world's leading rice exporter for more than a decade. During the 2024-25 fiscal year, India exported 20.1 million tons of rice worth $12.95 billion.

Prior to that, for most of 2023-24, there was a ban on the commercial export of non-basmati white (raw) rice, and export duty was imposed on parboiled rice. A minimum export price was also set for basmati rice, which caused significant difficulties for exporters.

Although the domestic sector witnessed record rice production throughout the 2024-25 season, and a robust production is also expected in the 2025-26 Kharif season, there is currently no supply or availability crisis, and prices are stable or even soft,

allowing the continuation of a liberal export policy. No one knows when the tide will turn. The government announces decisions abruptly, depriving exporters of time to recover and not giving them sufficient time to formulate a new strategy.

The government's priority remains ensuring domestic food security, which is theoretically correct. There are several reasons for this.

Uncertain weather conditions, variations in yield rates, increased domestic consumption, and inflation, among other factors,

continue to be a concern. Currently, the government has sufficient rice stocks, and the domestic market is also receiving abundant supplies, posing no threat to its exports.