Indian rice exporters have a sum of nearly Rs. 1,000 crore stuck mainly because an Iranian importer has defaulted on payments due for aromatic rice exported to the Gulf Country, an exporter has said.
The All India Rice Exporters’ Association (AIREA) admitted that there was a fraud by an Iranian company, but said the things are being sorted out with the both Governments seized of the matter.
According to Vijay Setia, President of the AIREA, one particular Iranian importer owes a lot of money to Indian exporters. It seems that the Iranian firm has siphoned off the funds, he said. The Iranian Government has been giving the currency at a concessional rate to importers so that they can make payments towards exporters from India.
The Iranian Rial has witnessed a sharp fall of over 100 per cent against the dollar since March this year on return of US sanctions and worsening economic crisis.