Indian rice exporters are adopting a wait-and-watch approach following United States’ decision to impose 27 per cent tariff on imports, though industry leaders say the long-term impact may be limited due to India’s inherent competitiveness.
“While there may be short-term price fluctuations, the market is expected to stabilise within the next two to three months. The 27 per cent tariff is a temporary hurdle, not a roadblock. With strategic planning and flexibility, we cannot only protect, but also expand our footprint in the US market,” Prem Garg, national president of the Indian Rice Exporters Federation (IREF), told PTI.
He added that the tariff, though significant, should not cause panic among exporters.
The US is not India’s largest market for basmati rice, Garg said.
“In FY24, India exported 2.34 lakh tonnes of basmati rice to the US out of 52.4 lakh tonnes. During April-November 2024, the US accounted for 2.04 lakh tonnes of India’s 42 lakh tonnes of total basmati exports. West Asia continues to be India’s primary destination for rice exports,” he said.
