India Queen Basmati Rice
India Queen Basmati Rice

Local Sources stated that Iran may resume its rice import from India after this Ramzan in July, but the rice exporters believe that the Indian basmati rice export could pick up only after this October as Iran had sufficient rice stock till then. Iran has banned rice import from India in November last year citing sufficient rice stock.

They said that the Iranian government wants Indian rice millers and rice exporter to get theirselves registered with Tehran’s Health and Medical Education Ministry. The process of registration has to be started by Iranian rice importers and has to give a list of exporters. Till now, very few Indian rice exporters have registered themselves, according to director of AIREA.

Currently India basmati rice export prices stands at $1000 per ton and is down by $400-$500 per ton from previous year. The Director of All India Rice Exporter Association said that the decline in rice prices is due to abundant stock after an increase of 35% in production area in 2014-15.

Exporters are expecting the prices of basmati rice to fall due to increase in the basmati growing area this year to about 5% from around 2.1 million hectares last year.

According to data from AIREA, India has exported 900,000 tons of basmati rice to Iran in the financial year 2014-15,down by 36% from around 1.4million tons exported last year.