UAE Non-Basmati Rice Prices Set to Drop by 20%
Non-Basmati Rice Prices in UAE Expected to Decline Following India's Export Policy Change
UAE Non-Basmati Rice Prices Set to Drop by 20% as India Lifts Export Ban
Prices of non-basmati rice in the UAE are anticipated to decrease by around 20 percent when India lifts the export embargo. Millions of tonnes of both basmati and non-basmati rice are exported from India each year, which is a significant rice supplier to the UAE.
On Saturday, India lifted a ban on exports of non-basmati white rice, set a price of $490 (nearly Dh1,800) a tonne and eliminated an export duty due to a bumper crop in the South Asian nation. A notification by India’s Ministry of Commerce and Industry on September 28, 2024, said the decision was effective immediately.
“This change is expected to result in a significant price drop – approximately 20 percent – in the UAE market very soon,” commented Dr Tananjai Dadar, Chairman of Al Adil Supermarket.
“In the UAE, non-basmati rice is one of the fastest-selling products, accounting for approximately 70 per cent of the market share. Popular varieties such as white rice, Sona Masuri rice, Jeera Kashaala rice and boiled rice are popular.
“Given that India is the largest exporter of non-basmati rice to the UAE and the UAE acts as a global re-export hub, this development presents exciting opportunities for traders,” said Dr Dadar, known as the Spice King.
Apart from India, Thailand and Pakistan are other significant rice exporters to the UAE, which is the world’s largest rice re-exporter. According to Indian government data, rice exports fell by nearly 25 percent in the first four months of the current financial year, which began in April.
This year’s bountiful harvest has allowed the Indian government to export, which will help stabilize prices in the domestic market and generate foreign exchange for the country.
