Bharat International Rice Conference: Trade Contracts Worth Rs 50,000 Crore Expected
IREF President Prem Garg expects the Bharat International Rice Conference to generate over Rs 50,000 crore in trade contracts and boost exports.
The Bharat International Rice Conference (BIRC) is poised to become a massive catalyst for India's agricultural economy, with expectations that it will generate trade contracts exceeding Rs 50,000 crore. According to Prem Garg, President of the Indian Rice Exporters Federation (IREF), this surge is expected to significantly bolster India's rice trade, which is currently valued at approximately USD 13 billion.
Boosting Global Reach and Market Presence
Speaking on the sidelines of the event, Prem Garg highlighted the immense potential of the conference to expand India's footprint in international markets. He emphasized that such platforms are crucial for small and medium-sized rice exporters, allowing them to bypass traditional barriers and connect directly with global buyers to explore new business avenues.
However, the event has not been without its hurdles. Garg pointed out that visa-related delays have hindered the participation of roughly 150 to 200 overseas buyers. He urged the government to provide better facilitation for international trade conferences like the BIRC to ensure maximum global participation and opportunity.
Logistical Hurdles and Shipping Solutions
While the business outlook remains positive, the Indian rice export industry is grappling with significant logistical challenges. Garg raised concerns regarding disruptions in container shipping services, which have created bottlenecks for exporters.
As a potential solution, he highlighted the role of shipping companies like Exim Wala, a participant in the conference. With a fleet of over 80 vessels operating worldwide, the company is providing essential shipping services to the Indian community for key destinations including Doha, Iraq, and other Middle Eastern hubs, with container freight charges ranging between USD 5,000 and 6,000.
Ambitious Export Projections for the Year
The IREF has set a high benchmark for the current year's exports, anticipating a substantial jump in volume. The projections indicate a growth of approximately 17 per cent compared to the previous year.
Expected Export Breakdown:
- Total Projected Exports: 24 million tonnes (up from 20.5 million tonnes last year).
- Basmati Rice: Expected to account for roughly 6.5 million tonnes.
- Non-Basmati Rice: Projected to make up the remaining 17.5 million tonnes.
With the combination of high-value contracts from the BIRC and an increase in total export volume, India aims to further solidify its position as a dominant force in the global rice market.