Basmati prices may zoom as rains hit Haryana crop

Heavy rains have damaged standing basmati crops in Haryana, the state that contributes 60% to the country's production of the aromatic rice variety, which will likely cause its prices to go higher. The damage to the paddy crop has come at a time when prices of all varieties of rice are witnessing an upward trend.

Moisture is a major concern for the basmati crop at this stage as it brings down the quality of rice.

"Heavy rainfall in Haryana has impacted the basmati paddy crop," Vinod Kaul, executive director of the All India Rice Exporters Association (AIREA), told ET. "Though, we are yet to gauge the extent of the damage, it definitely will impact the kharif production this year. Prices will remain firm as the supply side will be less," he said.


The entire basmati belt in Haryana from Sonipat and Panipat to Karnal, Kurukshetra and Ambala received heavy showers since last Thursday.

The country annually produces 8.5-9.0 million tonnes basmati rice. In FY22, India had exported 3.94 million tonnes of the variety to West Asian countries like Iran, Iraq, Saudi Arabia and Yemen as well as to the US.

The basmati rice trade has demanded that the Haryana government allow farmers to bring the crop directly to the rice mills rather than taking them to the mandis as the mills have facilities to dry paddy.

Haryana has around 1,200 mills that have facilities to dry paddy.

Vijay Setia, a former AIREA president and a basmati rice exporter, said the state government should immediately take some measures to help the farmers.