The allegation that use of pesticides adversely affects India’s basmati rice export is unfounded: CCFI

In the past 10 years, India’s export of basmati rice has been growing at a CAGR of 4%. This is double than the CAGR of 2% achieved by India’s total agricultural export! A fallacy has been created to show that the basmati rice exports from India have declined which is a wrong perception created by vested interests. 

On the contrary in FY 2023-24, the export of basmati rice reached a record level of 5.24 mn tons (Rs 48,389 Cr) up from 3.7 mn tons (Rs 27, 599 Cr) 10 years ago with growing demand based on acceptable quality. 

On analysing we find that 97% of India’s basmati export goes to non-EU countries led by Saudi Arab, Iraq, Iran, Yemen and UAE. EU is a minuscule market for rice in general, with its domestic consumption of rice at 2.8 mn tons/year, much less than the domestic consumption of rice in Sri Lanka at 3.2 mn tons/year.

″Therefore, there is no need to give disproportionate attention to the EU’s trade restrictive regulations concerning rice. We are proud to achieve a steady growth over the years, in non EU countries, inspite of global competition,″ stated Mr. Harish Mehta, Senior Advisor CCFI.

This finding in single slide carries powerful advocacy message for use in defense of legitimate use of pesticides in basmati cultivation.

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