Trade restriction on wheat, sugar, rice to cause export decline of $4-5 bn

Trade restrictions on items such as wheat, sugar and rice is estimated to cause the exports decline to the tune of $4-5 billion, sources told CNBC TV18.

As per the report, if houthis attack on Red Sea persisted for long the export of Basmati rice exports are going to be impacted and can also lead to increase in the prices by 15-20 per cent.  

The sources told CNBC TV18 that if the attack by houthis on the Red Sea extended India may consider longer routes which will lead to spike in prices by 15-20 per cent. However, Basmati price rise is not going to deter the demand, sources said.  
Minister of State for Commerce and Industry said on Wednesday that India has exported 45.59 lakh metric tonnes worth $4787.48 million in 2022-2023 against export of 39.48 lakh metric tonnes (LMT) worth $3540.40 million in FY22, 
Quantitatively, Iran was the top importer of basmati rice from India, followed by Saudi Arabia, followed by Iraq and UAE.  Benin, Guinea, Togo and Somalia are the top importer of parboiled rice from India. In the non-parboiled rice category, Benin, Madagascar, Kenya, and Cote D Ivoire are the top importers.