By: Salil Bhatia, MD, Golden Grain Rice, DD International

As we prepare for the upcoming Union Budget 2025, the basmati rice industry in particular is anticipating policies that will fuel growth, boost India’s global standing, and improve farmer livelihoods. To support and promote the export of Basmati Rice (a key export product), we expect a well-thought-out intervention from the Indian government in export policies, quality adherence, and infrastructure to drive long-term success.

A Stable and Predictable Export Policy

The removal of the Minimum Export Price (MEP) for basmati rice last year acted as a propeller and enabled increased shipments and higher farmer earnings. However, frequent changes in export policies have been one of the biggest obstacles leading to instability and lack of planning. This year, we look forward to a consistent and well-defined policy that will build confidence among stakeholders and encourage long-term investments.

Investing in Quality to Retain India’s Premium Edge

Globally, Indian basmati rice is a popular choice because of its superior cooking properties. To keep up the momentum and enhance this standing, the industry requires government-backed initiatives that focus on:

• Advanced Farming Techniques: Encouraging the adoption of precision agriculture, sustainable farming practices, and improved irrigation methods to enhance yield and quality.
• Research and Innovation: Greater funding for developing high-yield, disease-resistant basmati varieties will help ensure sustainable growth and resilience against climate change.
• Modern Processing Infrastructure: Upgrading rice mills with state-of-the-art technology will improve efficiency and compliance with global quality standards.

By encouraging innovation and quality enhancement initiatives, India can solidify its position as the top exporter of premium basmati rice.

Building Stronger Infrastructure for Seamless Operations

Efficient infrastructure is the backbone of a thriving agricultural sector. For basmati rice, targeted investments in key areas can make a huge difference:

• Storage Solutions: Expanding cold storage and warehousing facilities will help reduce post-harvest losses and maintain product quality.
• Efficient Transport Networks: Strengthening road and rail connectivity to ports will cut down logistics costs and ensure timely exports.
• Port Accessibility and Ease of Doing Business: Enhancing port infrastructure and simplifying export documentation will facilitate smoother trade and increase India’s competitive edge in global markets.

Addressing these infrastructure gaps will ensure a seamless supply chain, reduce wastage, and maximize profits for farmers and exporters.