Amidst Iran crisis, rice exporters seek Commerce Ministry’s help to clear payments

Rice exporters sought the Union Commerce Ministry’s help on Tuesday (January 13, 2026) to clear pending dues from importers in Iran amid growing civil unrest in that country, one of the major importers of basmati and other varieties of Indian rice. While Iran continues to be one of India’s most significant destinations for basmati rice, the current financial year has seen growing stress on order flows, payment cycles, and shipment schedules due to the prevailing instability in the country, the Indian Rice Exporters Federation (IREF) has said in an advisory issued to its members.

The IREF’s office-bearers met senior Commerce Ministry officials and apprised them of the situation. The IREF said in a release that the immediate fallout of the situation in Iran is evident in Indian markets too, where basmati prices have softened sharply within days.

“Exporters must exercise heightened caution, particularly with respect to credit exposure and shipment timelines,” the IREF’s statement said. India exported 5.99 lakh tonnes of basmati rice worth $468.10 million to Iran during April-November of the 2025-26 financial year, according to the IREF. The prices of popular domestic basmati rice varieties, including 1121, 1509, and 1718, have fallen by about ₹5 in a week.

“Iran has historically been a pillar market for Indian basmati. However, the current internal turmoil has disrupted trade channels, slowed payments and dented buyer confidence,” the IREF’s national president Prem Garg said in the statement.

“Importers have conveyed their inability to honour existing commitments and remit payments to India, creating uncertainty for exporters,” the IREF said.