Industry body -- Indian Rice Exporters Federation (IREF) has said that rice exports of India rose 13 per cent in value terms during the first half of this fiscal year, and the outlook remains strong amid surplus domestic stocks and rising global demand. IREF Vice-President Dev Garg said Indian rice prices were at an all-time low, making the country’s produce more competitive in the international market. He added that Indian rice was at least 10 per cent cheaper than the next-best alternatives available from Thailand and Myanmar. According to government data, India's rice exports grew 13 per cent to Rs 54,937.71 crore in the first six months of this fiscal year. The country produced over 154 million tonnes of rice in the 2025-26 crop year, which ended in June.
Garg further said the global demand for rice also expected to increase amid the possibility of lower production due to the threat of the El Nino. He said “India, with the lowest prices and an increasing global demand, is poised to export much more. So the business fundamentals are much stronger this year. So definitely the export volume will go up.” He added 'So our exports last year were around 22 million tonnes, and USDA has projected them to be around 24 million tonnes this year. I am quite sure that we will even surpass this 24 million tonne benchmark”. He said the country exported around Rs 1.12 lakh crore of rice last fiscal, with basmati and non-basmati rice contributing almost equally to the total.
However, Garg flagged geopolitical tensions in the Middle East as a major challenge for the industry. He said “The Iranian crisis is one of the major challenges. We export more than 74 per cent of our basmati rice to the Middle East”. He noted that conflicts often drive-up demand for rice, with buyers willing to pay higher prices amid concerns over supplies. However, he cautioned that a prolonged conflict could make it difficult for importers to sustain purchases at elevated prices and maintain current buying levels. He also warned that changes in rice-related trade policies could pose a risk to the industry.