Overview

• India’s basmati export prices have eased to $900-950 per tonne this month from $950-1,000 a month ago.
• Iran, the third-largest buyer of Indian basmati, imported ₹6,374 crore worth of rice in 2024-25, equivalent to 12.6% of total exports.
• Trade with Iran operates on 20% advance payment and 180-day credit terms, leaving outstanding dues of about ₹1,000-1,200 crore.
• After a 15-20% surge in May driven by post-April restocking, declining orders from Iran are expected to reverse recent gains.
• Exporters warn that potential conflict escalation and rising freight and transshipment risks will shape basmati price movements.