RICE EXPORT FROM INDIA: TRENDS, PROBLEMS AND PROSPECTS

Abstract

In India, agriculture is the main occupation. About 58 per cent of the population depends upon agriculture. It is the backbone of the Indian economy. In agriculture, rice is one of the most important food crops of India. It feeds more than 50 per cent of the world’s population. Rice is continues to play vital role in the national exports. India is one of the important countries in the world in export of rice. Indian rice exports are reached first place in the world markets. This study has analysed the trends and variability of rice export, assess the prospects of rice export and the various problems/constraints of rice export from India to various countries in the world. The study based on secondary data. The time series data on export of rice from India for the period 2001-02 to 2013-14.This paper indicates that there is good market for some Indian rice varieties, especially basmati rice in the world market. Pakistani basmati, as a sole competitor of India, does not have the unique aroma and taste as the Indian varieties. During 2012-13 the foreign earning from basmati rice has increased considerably. Despite considerable area being under rice cultivation in the country, the share of India in world rice export is very low which can be attributed to the fact that the average productivity of rice in the country is low and even in some rice producing states, the productivity is 40 to 50 per cent lower than the national average, in spite of having good potential capacity. The reasons of low productivity of rice in the country may be due to use of less quantity of chemical fertilizers, pesticides, more area under traditional varieties and more dependence on rain. If we want to increase our exports share in the world rice market, the production growth rate should be adequate surplus in the country. This requires careful analysis of low productivity of rice in the country. Besides, more important, the critical analysis is necessary to enquire into the constraints involved in rice export from India.