Huge fluctuations in the export of Basmati and normal rice

04-Nov-2024 08:22 PM

New Delhi. Data from the Agricultural and Processed Food Products Export Development Authority (APEDA) shows that in the first six months of the current financial year, compared to last year, there was a spectacular increase in the export of Basmati rice from India, but there was a sharp decline in the shipment of non-Basmati (normal) rice. The main reason for this was the ban on the commercial export of white (raw) rice.

According to the data of APEDA, 23.08 lakh tonnes of Basmati rice was exported from the country in April-September 2023, which increased by more than 4 lakh tonnes in the same months in the year 2024 to reach 27.20 lakh tonnes.

As a result, the export income of Basmati rice also increased by 10.80 percent from $ 2.59 billion to $ 2.87 billion during the period under review.

According to exporters, there was a limited increase in the export income of Basmati rice due to the decrease in the export offer price.

As far as non-basmati or normal rice is concerned, its export demand and income has declined sharply. In April-September last year, 68.81 lakh tonnes of normal (coarse) rice was exported from India, which declined to 46.52 lakh tonnes in the same period of the current year.

But due to the average unit offer price being high, there was no corresponding drastic decline in export income. Still, the export income of normal rice declined by 16.84 percent from 270.70 crores last year to $ 225.10 crores in the current year.

Now the government has completely opened the export of white rice and has also removed the export duty on sella rice. Not only this, but the minimum export price (MAP) of $ 950 per tonne fixed for Basmati rice is also to be withdrawn.

As a result, there is a possibility of a tremendous increase in the export of Indian rice during the second half of October 2024 to March 2025. Indian rice is available at a competitive price in the international export market.