New Delhi, May 10 — Basmati rice prices have surged by 18% over the past two months, with a notable 10–12% increase in just the last ten days, sparking widespread concern and speculation. Dr. Prem Garg, President of the Indian Rice Exporters Federation (IREF), has attributed the price hike to recent geopolitical developments between India and Pakistan.
Speaking on the issue, Dr. Garg pointed to the Indian Army’s recent actions targeting terrorist camps in Pakistan, which reportedly disrupted operations at Karachi Port — a key hub for Pakistan’s rice exports. “The retaliation was in response to the Pahalgam attack and has impacted rice shipment logistics,” he said.
As a result, the price of various Basmati rice varieties has risen by approximately ₹8 per kilogram, although Dr. Garg believes the increase should ideally be limited to ₹4 per kg. He also highlighted that importers in Gulf countries, witnessing the instability in Pakistan, are shifting their sourcing towards India, further boosting demand.
“This situation presents a valuable opportunity for Indian exporters,” Dr. Garg noted. “Although the current price surge may not be long-lasting, India should act swiftly to maximize exports while the window remains open.”
The IREF president urged exporters to capitalize on the present market conditions, emphasizing that this temporary spike could yield long-term benefits for the Indian rice export industry.