US Tariffs: A Temporary Setback for Indian Rice Exporters
The US has imposed a 25% tariff on Indian goods, including rice. This is expected to be a temporary setback for Indian rice exporters, who remain optimistic about maintaining market share in the US. Their competitive pricing compared to other exporters like China and Thailand is a key advantage.
- Country:
- India
The Indian rice export sector is facing a new challenge as the United States implements a 25% tariff on Indian goods, including rice. This move, effective from August 1, is seen as a temporary setback but not a major disruption for exporters.
Despite the tariff, the Indian Rice Exporters Federation (IREF) remains optimistic, emphasizing strategic planning and market diversification. The US market, which imported around 2.34 lakh tonnes of Indian rice in FY'24, is a small part of India's total basmati exports.
Industry leaders point to India's competitive pricing compared to other countries like China, Vietnam, and Thailand. With tariffs as high as 46% on Vietnamese rice, India's lower tariffs may offer a strategic advantage in sustaining its market presence.
(With inputs from agencies.)
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