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It is advantage Haryana in 'Operation Basmati'

Simply Haryana: India, Pakistan vying for Gulf market
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India and Pakistan are now bracing up for 'Operation Basmati', in the wake of Operation Sindoor. In the weeks to come, the estranged neighbours are expected to vie for the highly competitive basmati export, especially in the Gulf region. Industry insiders are calling it ‘basmati war’.

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Known for fertile lands and rice cultivation, Haryana and Punjab play a major role in India’s rice exports. Together, the states contribute around 80 per cent of India’s basmati exports, with Haryana accounting for around 40 per cent. A large portion of this contribution comes from the GT Road belt, where nearly 100 exporters generate foreign exchange worth Rs 18,000 to Rs 20,000 crore annually.

Vijay Setia, former president of the All India Rice Exporters Association (AIREA), believes India is well-positioned to expand its global market share in the aftermath of the recent tensions. “India and Pakistan are the primary suppliers of basmati to the Gulf countries, such as Iran, Iraq, Oman, Bahrain, the UAE and Kuwait, as well as to Europe and the US,” he said.

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“With the revocation of the Indus Waters Treaty, Pakistan faces a major challenge as water-intensive crops, like basmati and non-basmati rice, could be severely impacted. Farmers in Haryana, Punjab, and Rajasthan will benefit as water resources will be diverted to domestic agriculture,” he added.

Setia also cautioned against domestic policy disruptions. “Last year’s imposition of a Minimum Export Price (MEP) came as a setback for Indian exporters and inadvertently gave Pakistan an upper hand. With India producing superior quality basmati, we must protect our advantage in the global market.”

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India’s aggressive diplomatic outreach, including delegations of MPs visiting various countries, is also playing a crucial role. “These delegations are exposing Pakistan’s role in terrorism,” he said. “This stronger diplomatic stance could have a ripple effect on Pakistan’s economy, potentially creating new opportunities for Indian rice exporters.”

Satish Goel, president of AIREA, highlighted India has already seen unprecedented success in rice exports. “India exported over 6 million tonnes of basmati in the last fiscal year — the highest ever. In 2023–24, we touched 5.2 million tonnes. This year, we are hopeful of surpassing all previous records,” he said, adding that Pakistan’s export stands at around 1 million tonne.

He maintained that Haryana, known for its high-quality produce and strong supply chain, will continue to be a key contributor. “With global buyers looking for reliability and consistency, Indian basmati — supported by our extensive infrastructure and experienced exporters — will be the preferred choice.”

Sushil Jain, president of the Haryana Rice Exporters Association, echoed the sentiment. “The termination of the water treaty will likely reduce Pakistan’s rice output, directly impacting their exports. This disruption gives Indian exporters, particularly from Haryana, a strategic edge.”

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