Basmati Prices Under Pressure as Global Competition Rises, Indian Wheat Exports Gain Strength

Key Highlights

• Basmati prices are softening due to weak export demand.

• 1718 and 1509 varieties are under the most pressure.

• Pakistan’s lower prices are increasing competition globally.

• Madhya Pradesh wheat exports are rising rapidly in Gulf markets.

• Possible global wheat production decline may benefit India.

India’s agricultural market is witnessing mixed trends as basmati rice prices remain under pressure while wheat exports, especially from Madhya Pradesh, continue to grow strongly in international markets. Weak demand for key basmati varieties and rising competition from Pakistan are affecting rice traders and farmers, whereas Indian wheat is gaining popularity in Gulf countries due to its quality and supply potential.

Basmati Market Faces Pressure Due to Weak Demand

According to market traders, prices of steamed and sella basmati rice along the Punjab-Haryana belt have been softening over the last few days. The biggest pressure is being seen in the 1718 and 1509 basmati varieties because of lower buying activity in export markets.

Experts say that reduced procurement from countries such as Iran, Saudi Arabia, and other Gulf nations has slowed export orders for Indian basmati rice. At the same time, Pakistan is offering competitive prices in the global market, creating additional challenges for Indian exporters.

Despite the current slowdown, experts believe Indian basmati may remain strong in the long term because of its premium quality, aroma, and global reputation.

Current Prices of Major Basmati Rice Varieties

Source: Mandi Business Report

Indian Wheat Exports Showing Positive Growth

While the basmati market remains under pressure, the wheat sector is showing encouraging signs for India. Sharbati and durum wheat from Madhya Pradesh are seeing rising demand in countries such as Oman, UAE, Qatar, Saudi Arabia, Bangladesh, and South Africa.

According to reports, Madhya Pradesh now contributes nearly 35 to 40 percent of India’s total wheat exports, making the state an important export hub for premium wheat varieties.

Key Highlights of Madhya Pradesh Wheat Sector

Global Wheat Supply Concerns Could Benefit India

Agricultural experts believe that a possible decline in global wheat production during 2026-27 could create fresh export opportunities for India. According to the United States Department of Agriculture (USDA), global wheat output is expected to decline, which may support international wheat prices.

Uncertainty in the Russia-Ukraine region, weather-related risks in Europe and Australia, and increasing food grain demand in Gulf countries are also expected to strengthen demand for Indian wheat in global markets.

India has also resumed limited wheat exports after nearly four years, which has improved hopes for better prices for domestic wheat farmers and traders.

What Could Be the Future Market Trend?

Agricultural market experts say global demand will remain the biggest factor for both basmati rice and wheat markets in the coming months.

If fresh orders for basmati rice come from Middle Eastern countries, prices may recover again. On the other hand, strong export demand and lower global production could keep the wheat market positive for Indian farmers and exporters.

Also Read: Rajasthan Farmers to Get Free and Subsidised Seeds for Moong, Urad, Arhar and Oilseed Crops

CMV360 Says

India’s agricultural export market is currently moving in two different directions. Basmati rice prices are facing pressure because of weak export demand and rising competition from Pakistan, especially for 1718 and 1509 varieties. However, Indian wheat exports are gaining momentum, with Madhya Pradesh emerging as a major supplier to Gulf countries. Global supply concerns and improving export opportunities may continue to support wheat prices and create better earnings for Indian farmers in the coming months.