Sonia Hussain
Member
- Joined
- Apr 11, 2020
- Messages
- 106
India's basmati rice exports are expected to decline in 2024 after approaching a record high in the previous year. The competition from rival Pakistan, offering basmati rice at competitive prices amid a rebound in production, is cited as a key factor.
In 2023, India's basmati rice exports reached 4.9 million metric tons, an 11.5% increase from the previous year, contributing to record revenue of $5.4 billion. However, increased production in Pakistan and its competitive pricing have shifted the dynamics.
Pakistan's total rice exports are projected to rise to 5 million tons in the current financial year, further impacting India's market share.
The depreciation of the Pakistani rupee has contributed to the increased competitiveness of its exports. Additionally, a 10% rise in India's basmati rice production is putting downward pressure on prices.
Lower export demand, particularly from Iran, coupled with disruptions in shipping routes, is expected to contribute to the decline in India's basmati rice exports in the near term.
In 2023, India's basmati rice exports reached 4.9 million metric tons, an 11.5% increase from the previous year, contributing to record revenue of $5.4 billion. However, increased production in Pakistan and its competitive pricing have shifted the dynamics.
Pakistan's total rice exports are projected to rise to 5 million tons in the current financial year, further impacting India's market share.
The depreciation of the Pakistani rupee has contributed to the increased competitiveness of its exports. Additionally, a 10% rise in India's basmati rice production is putting downward pressure on prices.
Lower export demand, particularly from Iran, coupled with disruptions in shipping routes, is expected to contribute to the decline in India's basmati rice exports in the near term.