The fast-escalating conflict in the Gulf region has dealt a significant blow to Indian Basmati rice exporters during the peak shipment season, with large consignments stranded at ports and additional cargo in transit, raising concerns over mounting costs.
According to All India Rice Exporters Association President Satish Goyal, nearly 1.5–2 lakh tonnes of Basmati rice are currently stuck at various Indian ports, while another 2 lakh tonnes are in transit. The disruption comes at a critical time, as exports to the Gulf traditionally surge ahead of Ramadan due to heightened demand.
“Exporters are facing mounting costs due to the delay,” Goyal said, noting that the association has written to the Commerce Ministry and the Finance Ministry seeking relief from additional expenses incurred in parking and plugging in containers at ports. The industry body has also urged the government to direct port authorities not to levy extra charges under these exceptional circumstances.
Exporters have further requested diplomatic intervention to ensure that foreign ports and authorities do not impose additional penalties on Indian containers currently in transit.
The association is scheduled to meet officials from the Agricultural and Processed Food Products Export Development Authority (APEDA) and the Commerce Ministry on Tuesday noon to discuss the issue and explore possible relief measures.
India exports around 4 million tonnes of Basmati rice annually to the Gulf region, making it a crucial market for the sector. Between April 2024 and January 2025, exports to the Gulf stood at 3.61 million tonnes. In the corresponding period of April 2025 to January 2026, shipments rose to 3.75 million tonnes. Industry estimates suggest that total exports for February 2026 could touch nearly 4 million tonnes, although final data is yet to be released.
With peak-season shipments disrupted and costs rising, exporters warn that prolonged instability in the Gulf could have a broader impact on trade flows and pricing in one of India’s most vital agricultural export markets.