Policy Support Sought for Rice Exports

07-Jan-2026 05:57 PM

New Delhi. India, with a 40-42 percent share in the global rice export market, remains the world's largest exporter of this important food grain. During the financial year 2024-25, India exported approximately 2.01 lakh tonnes of rice to more than 170 countries worldwide.

The central government increases the Minimum Support Price (MSP) for paddy significantly every year, which drives up domestic rice prices.

In addition, exporters have to bear substantial transportation costs to deliver their produce to the ports and also take loans from banks and financial institutions at high interest rates before and after export shipments. This affects their competitiveness.

If the government provides policy support and incentives to address these problems, rice exporters could receive significant relief.

The Indian Rice Exporters Federation has urged the government to provide tax incentives, interest subsidies, and freight support to strengthen the competitiveness of the export sector and maintain the continuity and momentum of exports.

They have requested a 4 percent reduction in interest rates on export credit and a 3 percent concession on freight charges for transportation by road and rail.