Basmati growers eye good returns as exporters are flush with orders
Basmati growers in Punjab are expected to make good profits this kharif season as prices of produce are expected to touch ₹3,500.
KS PANNU,
Punjab agriculture secretary
CHANDIGARH: The cultivation of premium-quality basmati in Punjab has touched 14 lakh acre this season, surpassing last year’s 13 lakh acre.
The turnaround has been possible as basmati exporters are flush with orders from North America, European Union (EU) and the West Asia.
The order book is full as importing countries from North America, EU and the West Asia want to stock up, in view of the covid-19 pandemic, and also because the state’s farmers have learnt from 2018, after the European Union and Saudi Arabia rejected their basmati produce, following detection of traces of a fungicide, tricyclazole.
This season, however, both the industry as well as government is optimistic.
“Due to the Covid-19 pandemic, the importing countries are building (basmati) stocks. Our farmers have also checked use of pesticides and fungicides which has made our crop acceptable worldwide. Farmers will fetch a good price for their crop,” said Ashok Sethi, director, Basmati Exporters Association, Punjab.
Top officials in state agricultural directorate say the total area under basmati would cross 18 lakh acre as the last date for sowing is July 31.
EXPORTS BANKING ON 10% HIKE
Basmati exporters target a total sale of Rs 36,000 crore, post-harvest that will begin in Octobernovember, expecting an increase of 10-12% over the previous year. “India exports 40 lakh tonne annually. From Punjab, at least 20 lakh tonne is
exported as rice from the border belt in Tarn Taran, Amritsar and Gurdaspur is preferred in importing countries,” said Sethi, adding that 23-24 lakh tonne could be exported this year from the state.
Till 2018, Iran was a major importer seeking at least 14 lakh tonne annually. Last year, however, India became party to trade sanctions imposed by the US on Iran, leading to stopping of basmati imports. Now, there is no direct trade, with Iran expected to buy from traders based in Dubai who get imports from India. “Basmati growers in Punjab are expected to make good profits this kharif season as prices of produce are expected to touch Rs 3,500,” said Punjab agriculture secretary, Kahan Singh Pannu. The orders are for 1121 and 1718 basmati varieties.
Basmati is grown in all 22 districts with Amritsar topping the chart with the crop grown over 3.5 lakh acre; Tarn Taran (2.2 lakh acre); Muktsar (1.7 lakh acre), Sangrur (1.3 lakh acres) and Fazilka (1.2 lakh acre). Cultivation of aromatic variety rice in Gurdaspur is slow, with only half an acre under it by Saturday; the district generally grows basmati on large tracts. This year, the cultivation of aromatic grain is expected is expected to touch a high of five years.