Basmati rice has regained the tag of top commodity export from India, overtaking buffalo meat in the June quarter.
Since 2014-15, buffalo meat
had surpassed basmati rice
as India’s top export commodity because of suspension of fresh orders by Iran, which consumes nearly a fourth of India’s aromatic rice exports.
Iranian traders suspend fresh orders for basmati rice
during the harvesting of the country’s rice crop. This year, however, they continued imports of basmati rice.
In contrast, export of buffalo meat
was affected by a short-lived ban
on sales of cattle at mandis.
According to the the Agricultural & Processed Food Products Export Development Authority (Apeda) estimates, India exported basmati rice
worth $1.26 billion (Rs 8,168 crore) between April and June, up from $934 million (Rs 6,196 crore) in the same quarter a year ago.
exports were $849 million (Rs 5,473 crore) during the quarter against $823 million (Rs 5,445 crore) in the same period last year.
“Indian exporters used to execute orders on “documents against acceptance”, which was stopped by the government because overseas buyers’ re-negotiated terms after shipments reached them. So there were corrections in export of basmati rice
over the last few years. Now overseas buyers are purchasing commodities on spot cash,” said an Apeda
"Iranian buyers have continued their purchases even during their own rice harvesting season. That has resulted in an increase in basmati rice
exports in April-June,” he added.
Exports of basmati rice
rose to 1.26 million tonnes in April-June from 1.18 million tonnes in the corresponding quarter a year ago.
The average realisation
from basmati rice
jumped 28 per cent to $1,009 a tonne this year from $787 a tonne last year.
Exports of buffalo meat
declined to 279,409 tonnes in April-June from 280,869 tonnes in the corresponding quarter last year. Average realisation
increased by 3.75 per cent to $3,039 this year from $2,929 last year.
exporters faced supply problems due to the Centre’s ban
on animal sales, which was stayed by the Supreme Court
after a few weeks.
Overseas buyers are hesitant to place orders for Indian buffalo meat
because of the policy
changes. “The growth of India’s buffalo meat
exports depends upon consistency in government policy,” said Bushran Zakariya, director, Zakariya Agro, a Kanpur-based buffalo meat