Basmati Rice export earnings seen higher on rise in prices

BENGALURU: Basmati Rice export earnings, which had taken a hit last year, may see a rebound this financial year on an uptrend in prices although shipment volumes may remain at last year’s levels, according to the Agricultural Promotion Export Development Authority (Apeda).

“Overall we expect the volumes to be largely stable at last year’s level, but earnings could improve as prices have started looking up. We are expecting a growth in earnings by about 10 per cent this year,” said AK Gupta, Director of Basmati Export Development Foundation, under Apeda.

Indian basmati shipments, which touched a high of 1.4 million tonnes three years ago dropped to around 7 lakh tonnes last year on rise in domestic supplies.

Iran has announced its intent to regulate rice imports from July 23 this year to protect its growers during the ensuing harvest season.

Typically, Iran has been regulating rice imports during the domestic harvest period by imposing curbs and later removes them towards the end of the year.

“Our exporters are prepared for such curbs by Iran, which is no longer a surprise. Such restriction has become an annual feature and is unlikely to hurt our exports to Iran. We expect the shipments to Iran this financial year to be around 7 lakh tonnes, same as that of last year,” Gupta said.

Basmati exporters concur with Apeda’s Gupta to state that curbs placed by Iran would not affect the shipments this year.

Source: Dailyshippingtimes.com