Coronavirus in Iran takes a toll on basmati exports, domestic prices fall

The negative market dynamics are resulting in a downward basmati price trend on the bourses

Rice exports from India, which are already facing the heat of the US-Iran standoff, have been hit further after Iran reported several deaths from the coronavirus outbreak. 

The West Asian nation is one of the top international destinations for Indian basmati. Owing to the bleak export outlook coupled with robust paddy production of more than 117 million tonnes (MT) during 2019-20, Indian exporters are now staring at big losses. Production in 2019-20 was higher by 9.67 MT than the five-year average production of nearly 107.80 MT.

Rice exports, which posted a compound annual growth rate (CAGR) of nearly 14 per cent between