By Admin 
Rice stocks: On Friday, March 6, the last trading day of the week, rice stocks were in focus in the stock market. These included companies like LT Foods Ltd and KRBL Ltd. Rice exports have been affected due to the war between Iran and Israel and tension in the Middle East. Following the disruptions in shipment, premium Basmati prices fell by 7-10 percent in just 72 hours.
However, after the recent recovery, shares of LT Foods Ltd rose by 9.5 percent. KRBL Ltd. in early business. Stocks also rose by 3.3 percent. However, then the price declined by 1.31 percent to 1.31 percent. Overall, there is fluctuation in rice stocks.
exporters in trouble
The special thing is that about 2000 containers are stranded at Mundra Port in Gujarat due to increasing tension in the Middle East. Most of these are of rice. Apart from this, more than 300 containers containing frozen food and other perishable items are also stranded at Jawaharlal Nehru Port Trust. It is being told that these containers contain grapes, onions, fruits and vegetables.
The Middle East is a big and important market for India’s rice exporters. In the financial year 2025, India had exported about 60 lakh tonnes of Basmati rice here. After this, rice is exported from India to Saudi Arabia, Iran, Iraq, Yemen, Jordan, Qatar and Oman, which accounts for about 80 percent of India’s basmati rice exports to Gulf countries. The special thing is that about 35 percent of the total Basmati export goes to Iran alone.
Satish Goyal, president of the All India Rice Exporters Association, told Reuters that about 400,000 tonnes of basmati rice is currently stuck at ports or in transit as exporters face difficulties in sending shipments.
Why are stocks in focus?
- Four lakh tonnes of rice exported to Gulf countries is stuck midway. Due to this the prices have fallen by 6-10 percent.
- Investor confidence has strengthened amid the Indian Government reducing restrictions on export of Basmi and non-Basmati rice and positive attitude regarding floor price. Let us tell you that to keep the prices of rice under control at the domestic level, the government has fixed the floor price. No exporter can sell rice below that fixed price. The government has removed the floor price of $490 per tonne for non-Basmati white rice and $950 per tonne for Basmati rice.
- A major reason for stocks like LT Foods Ltd and KRBL Ltd coming at the support level is the buying by investors like Mukul Agarwal.
- Despite the delay in shipment, there is currently no decline in the demand for rice from Gulf countries. Due to stability in demand, traders are hopeful that the stuck stock will be cleared as soon as the tension subsides.
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