2 weeks ago
India rice exports rise just 1.7% amid West Asia crisis
India sells a lot of rice to other countries.
It is the biggest rice seller in the world.
But there is a conflict happening in West Asia.
This conflict makes it hard for ships to travel through an important waterway called the Strait of Hormuz.
Because of this, Indian rice sales grew only a tiny bit compared with before.
Some rice shipments were stuck at Indian ports for almost four months.
Now companies are sending their goods through ports in Oman and the United Arab Emirates instead.
Shipping has also become more expensive because of higher freight costs and insurance.
Meanwhile, India's fish and seafood sales did much better, growing by 11%.
India found new customers for seafood in Europe and China.
India's rice exports rose only 1.7% to $3.82 billion in April-July 2026-27 due to supply disruption and high freight from the West Asia conflict.
July 2026 rice shipments fell 6.6% year-on-year to $0.86 billion as Middle East importers stayed cautious about building grain stock.
June's 16% export spike to over $1 billion came from clearing shipments stranded at Indian ports for nearly four months after the US-Iran deal.
Due to uncertainty over the Strait of Hormuz, most rice and vegetable shipments are now routed through Oman's Sohar and Muscat ports and Khor Fakkan in the UAE.
Marine product shipments, India's second-biggest agri-export, rose over 11% to $2.59 billion in the same period, helped by diversification to the EU and China.
- Who
- India, the world's biggest rice exporter, along with Indian exporters such as the Basmati Rice Millers and Exporters Association, Punjab.
- What
- Rice exports rose a marginal 1.7% to $3.82 billion in April-July 2026-27, while marine product shipments rose over 11% to $2.59 billion.
- Where
- India, with rice and vegetable shipments now routed via Sohar and Muscat ports in Oman and Khor Fakkan in the UAE due to Strait of Hormuz uncertainty.
- When
- April-July 2026-27, with July 2026 rice shipments showing a 6.6% year-on-year decline.
- Why
- The West Asia conflict disrupted supply, raised ocean freight and insurance costs, and made Middle East importers cautious about building up grain stock.
Key facts
- Rice exports (Apr-Jul FY27)
- $3.82 billion, up 1.7% year-on-year
- Rice exports (July 2026)
- $0.86 billion, down 6.6% year-on-year
- Rice exports (June 2026)
- Over $1 billion, up 16%
- Marine product exports (Apr-Jul FY27)
- $2.59 billion, up over 11%
- Marine product exports (FY26)
- Record $8.43 billion, up 14%
- EU-approved fishery units
- 604 total, after 102 additional approvals
- EU share of India's seafood exports
- 15.10% in FY25
- Detour ports for shipments
- Sohar and Muscat (Oman), Khor Fakkan (UAE)
Quotes
Ranjit Singh Jossan
Vice president, Basmati Rice Millers and Exporters Association, Punjab
“The sharp spike in rice exports in June by 16% to over $1 billion was due to the clearance and movement of shipments that had remained stranded at Indian ports for nearly four months following the US and Iran deal.”
financialexpress.com
Sources
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