India’s rice exports for the April-November period remained virtually unchanged at $7.3 billion compared to the previous year. While the country exported a record 19.86 million tonnes valued at $12.47 billion in FY25, current growth has slowed as major producing countries report robust crop yields and higher global stocks. In November alone, exports dropped 30% year-on-year to $0.79 billion.
Two major external factors have negatively impacted export prospects:
- U.S. Tariffs: The imposition of tariffs has hit shipments of basmati rice during the current fiscal year.
- Iranian Economic Crisis: A sharp depreciation of the Iranian rial against the U.S. dollar has hampered India’s prospects in one of its key markets.
Industry experts noted that last year’s performance was bolstered by countries increasing their stocks due to fears of global conflict. With the situation now stabilized, the market is experiencing more sluggish growth. Despite these challenges, India’s overall exports for the first eight months of the fiscal year remain marginally higher than those of the same period in 2024.