Lal Mahal undertakes Basmati

Rice exporter Shri Lal Mahal Group will undertake contract farming of basmati rice

"We have plans to grow basmati rice through contract farming in Haryana, Punjab, UP and Uttaranchal and for the purpose we would bring two lakh acres of land under basmati rice plantation in these states by next year," said Shri Lal Mahal Group General Manager, S S Kumar.

The group in association with Markfed Punjab, would bring 20,000 acres of land under basmati rice crop this year itself.

About 100,000 acres in Punjab, 50,000 acres in Haryana and 50,000 acres in Uttar Pradesh and Uttaranchal would be utilised for the purpose next year. The crop would be procured from farmers at a predetermined rate. The group is anticipating a turnover of Rs 1000 crore, including revenues from exports, in the current fiscal.

"At present, we have a turnover of Rs 765 crore from the sale of rice in domestic and global markets," Shri Lal Mahal Group General Manager, S S Kumar added.

Exports of the company stood at Rs 400 crore in 2005-06 and it is targeting Rs 580 crore in fiscal 2006-07.