India is moving swiftly to diversify its basmati rice export destinations as political and economic turmoil in Iran continues to disrupt shipments and delay payments, raising concerns among exporters.
The Indian Rice Exporters Federation has flagged rising risks tied to the Iranian market, noting that weeks of nationwide unrest, a weakening currency and inflation have slowed trade flows. Exporters say consignments valued at over ₹1,500 crore remain stuck at Iranian ports, while delayed payments have made fresh shipments increasingly unattractive.
The News Chronicle understands that Indian exporters are now redirecting attention to alternative markets across Africa, West Asia and Europe in a bid to protect revenues and reduce exposure to single market shocks. With India holding the world’s largest rice surplus, exporters are keen to secure buyers that offer more stable payment systems and predictable demand.
Iran, once India’s biggest buyer of basmati rice, has slipped to third place as purchasing power weakens and trade restrictions tighten. Additional pressure from US trade measures has further strained Iran’s import capacity, compounding exporters’ concerns.
Africa is emerging as a key focus, driven by strong and growing demand for rice across the continent. Nigeria, one of Africa’s largest rice importers, stands out as a potential beneficiary of India’s export shift.
The move highlights India’s broader strategy to stabilise its agricultural exports by expanding into resilient, high demand markets while navigating geopolitical and economic uncertainties in traditional trading partners.
