India’s rice exporters’ body has arranged shipments of 102,210 metric tonnes of Basmati rice to Iraq across three bulk vessels, targeting a 74 per cent reduction in freight costs amid shipping disruptions, container shortages and rising logistics expenses affecting trade with the Middle East.
The Indian Rice Exporters’ Federation (IREF), in collaboration with Singapore-based Eximwala Solutions Pte. Ltd., said the arrangement would bring freight costs down to about $90 per tonne from container-shipping quotations of around $350 per tonne, potentially saving $260 per tonne.
At the quoted rates, the difference could translate into gross freight savings of about $26.6 million across the three-vessel shipment programme, although actual savings would depend on the final costs and terms of the shipments.
