After FTA, basmati exports to UK may touch 2.5L MT

The Comprehensive Economic and Trade Agreement (CETA) between India and the UK is expected to boost Indian Basmati rice exports, reaching 2.5 lakh metric tonnes (MT) annually from the current 1.85 lakh MT.

- HARPREET BAJWA @Chandigarh

The UK imports approximately 3 lakh MT of Basmati annually as of date, and the agreement will also pave the way for enhanced transit exports to other European nations.

This agreement will benefit farmers of Punjab, as the state is the highest producer of Basmati rice in the country, accounting for 40% of production, followed by Haryana and other states.

Exporters stated that, until now, tariff and non-tariff barriers have disadvantaged Indian exporters. The removal of customs duty on brown rice HSN CODE 1006:20 could jack up Basmati exports to the UK.

For semi-milled or wholly milled rice (HS Code 1006.30), the duty remains unchanged.