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China: India's new basmati export destination

May 16, 2007 12:22 IST

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Nearly six months after New Delhi [ Images ] and Beijing [ Images ] signed a protocol to facilitate the

export of Indian basmati rice to China, rice exporters are here in an upbeat mood.

Leading basmati players from India [ Images ] have already started shipping tonnes of basmati rice to

China. It is for the first time that India is exporting the basmati rice to China, the world's largest rice

consumer.

Kohinoor Foods Ltd [ Get Quote ], one of the largest basmatic producer in India, has exported more than

200 tonnes of basmati rice to China

"The first shipments of basmati rice to China are small. But we are certain that China will emerge as one

of the largest importers of Indian variety of basmati rice," Kohinoor' financial controller Rajiv Mangla

said.

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The India-China protocol on basmati export provides for phytosanitary requirements to allow the export

of basmati rice, which will comply with the Chinese quarantine laws and regulations and World Trade

Organisation measures.

The protocol was signed by Agriculture Minister Sharad Pawar [ Images ] and the Administrator of 

Quality Supervision, Inspection and Quarantine of the Chinese Republic in New Delhi last November.

Mangla added that exports of basmati rice from India in this year would be around the previous year's

level of 1.1 million tonnes or slightly lower. But exports could grow more than 10% in the current

marketing year ending March 2008.

Basmati rice is primarily cultivated in India and Pakistan. The Himalayan foothills are said to produce the

best basmati. The Super Basmati, a premium variety from Pakistan and Dehra Dun from India, are the

most prized of the basmati varieties.

India is the largest producer and exporter of basmati rice in the world. The annual production in the

country hovers at around 10-15 lakh tons a year, of which around two-thirds is exported. The remaining

is consumed, within the country.

Basmati rice is grown exclusively in the northern part of Western Punjab [ Images ] (on both sides of the

Indo-Pakistan border), Haryana and Western Uttar Pradesh [ Images ].

Gulf region remains the major markets for Indian basmati rice and inside Gulf, Saudi Arabia accounts for

the major chunk of basmati imports from India. Pakistan is the sole competitor for India in the

international market for basmati rice.