Indian rice exporters believe that US President Donald Trump’s tariff threat is unlikely to hurt India’s rice shipments, especially Basmati. They say the impact will fall largely on American consumers who rely on imported aromatic rice.
Ajay Bhallotia, General Secretary of the All India Rice Exporters Association, noted that Trump mentioned India along with Vietnam and Thailand. He said this indicates that the warning mainly targets non-Basmati rice, as those countries export only non-Basmati varieties to the US. He added that exporters now wait to see whether Basmati will also face higher duties.
During 2024–25, India shipped Basmati worth $337 million and non-Basmati worth $54 million to the US. Basmati formed the bulk of this trade, with the US ranking as its fourth-largest market.
Indian rice already faces a 40% US tariff after earlier hikes. Exporters say the tariff burden has been passed to American buyers through higher retail prices. They add that US-grown rice cannot replace Indian Basmati due to its aroma, flavour and long-grain texture, which are essential for dishes like biryani.
Industry experts state that India’s rice sector remains strong and diversified across global markets. They also expect Indian Basmati demand in the US to keep rising with the popularity of South Asian cuisine.
