Indian rice exports to US remain stable despite tariff concerns, industry body says

According to Dev Garg of the Indian Rice Exporters Federation, Indian rice exports to the United States have remained stable despite higher import duties. His comments come after US President Donald Trump hinted at new tariffs on agricultural imports, including Indian rice, citing complaints from American farmers about cheap imports.

Garg said the US is an important but not a major buyer for India. “India exported basmati rice worth about $374 million to the US… about 270,000 metric tonnes,” he said. America is the fourth largest market for Indian Basmati. For non-Basmati, exports were “about 60,000 tonnes… the 24th largest market for Indian exporters.”

Industry representatives explained that Indian rice serves a specific consumer segment in the US – primarily immigrants from South Asia and the Gulf region. He stressed that “rice is not a homogeneous commodity” and cannot be directly replaced by varieties grown in the US.

Read also , KRBL, LT Foods shares fall up to 4% after US President Donald Trump threatens fresh rice tariffs

The duty on Indian rice was increased to 50% from 10% earlier. Still, Garg said demand remains intact due to consumer preferences. “Food is something you need… the Indian market remains resilient,” he said.

Addressing the dumping allegations made by Trump, Garg said export prices from India have remained unchanged. Instead, the burden of higher import duties is being passed on to American buyers. The price of a popular pack has skyrocketed in US stores. “A 10-pound bag used to sell for $13 to $14… now it’s gone up to $18 to $19 a bag,” he said.

He said Indian exporters still get almost the same price, at an average of around $950 per metric tonne. Tariffs are paid by importers in the US, who then raise retail prices.

For the full interview, watch the accompanying video

Get all the latest updates from share market Here