This post was originally published on The Economic Times
Steady growth in India’s basmati rice exports—from 3.94 million tonnes ($3.47 billion) in FY22 to 5.24 million tonnes ($5.74 billion) in FY24—has been driven by strong demand from Middle Eastern and European markets, improved logistics, and the country’s edge in premium rice quality and aroma, says Vikram Marwaha, Joint Managing Director, DRRK (Daulat Ram Ramesh Kumar) Foods, an Amritsar-based basmati producer. In an interaction with ET Digital, Marwaha says that Trump tariffs have made the US a less attractive market for India’s exporters but have also accelerated the industry’s diversification into other markets. Edited excerpts:
The Economic Times (ET): How are geopolitical developments and shifting trade relations influencing the demand and pricing of Indian basmati rice?
Vikram Marwaha (VM): Geopolitical events and changing trade partnerships basically affect—often instantly—the demand and prices of Indian basmati rice. A large part of the export is done mainly through the Gulf region, Iran, Iraq, and the United Arab Emirates, which makes the whole rice trade very much dependent on the situation in these areas—whether there is a conflict, a change in policy, or a sanction.
— Read the rest of this post, which was originally published on The Economic Times.
