New Delhi, Feb 14 (KNN) The Commerce Ministry has emphasised the government's prioritisation of maintaining adequate domestic supplies. This focus has been highlighted as a significant factor contributing to the substantial 9 per cent year-on-year (YoY) decrease in agriculture exports observed from April to December 2023.

The ministry pointed out that agriculture exports during this period have grown by 8 per cent if commodities like wheat, non-basmati rice, broken rice and sugar are excluded.

The impact of the Red Sea conflict was cited as a reason for the decline in basmati rice exports to the European Union (EU) and Egypt, although no adverse effects were observed in West Asia.

Breaking down the export figures, basmati rice showed promising growth with a 19 per cent increase in value, soaring from 3.33 billion between April and December 2022 to 3.97 billion during the same period in 2023.

Quantity-wise, basmati rice exports saw an 11 per cent YoY rise, reaching 35.43 lakh metric tonnes from April to December 2023, compared to 31.98 lakh MT in the corresponding period the previous year.

Despite challenges, the number of export destinations expanded to 149, up from 140 in the previous fiscal year. Notably, Iran, Iraq, Saudi Arabia, USA, and the UAE emerged as the top five export destinations.

In the non-basmati rice category, while the export value of parboiled rice increased by 9.36 per cent YoY to USD 2.05 billion from April to November 2023, there was a 4.70 per cent decrease in export quantity to 50.67 lakh metric tonnes during the same period.

To revitalise agricultural exports and ensure favourable prices for farmers, the government is pursuing strategies to diversify India's export portfolio and tap into new markets where the country's market share is currently low, such as Europe and Latin America.

Notably, in January 2024, India made its maiden export of bananas to Russia, signalling potential opportunities amidst escalating tensions between Russia and banana exporter Ecuador.

(KNN Bureau)