Basmati Rice Export Prices Plummet Below Government MEP, Global Buyers Stay Away

Basmati production in Kharif 2025 will be better as the monsoon will be normal. Farmers are buying a good number of seeds for sowing. If the government does not do anything with MEP, then the basmati trade will suffer and Pakistan, our main rival in the global market, will continue to have an edge over us. Prices of rice in the domestic market have already fallen by 10-15% and they may fall further.

Overseas buyers have created a huge stock of basmati rice due to the uncertainty created by imposing MEP on basmati rice. Basmati rice is not widely consumed in India and is mainly exported. Generally, India produces arround 6.5 million tonnes of basmati annually. Of this, arround 5 million tonnes is exported and arround 0.5 million tonnes is consumed domestically and the rest is carried over.

Presentation -Dibyabharati Nayak