US Tariffs Threaten Basmati Prices, Iran Trade Uncertainty Hits KRBL

• KRBL's direct exposure to Iran has significantly decreased, but new US tariff threats create payment and pricing uncertainty for basmati exporters.
• US President Donald Trump's threat of a 25% tariff on countries trading with Iran adds another layer of risk for Indian exporters.
• KRBL's trade with Iran, once $100 million (250,000 tonnes in 2018), is now $8-10 million, mostly routed through the UAE.
• Iran is a major buyer of Indian basmati rice, with exports worth $470 million (600,000 metric tonnes) between April-November this year.
• Basmati rice prices in India dropped from ₹80/kg to ₹75/kg following the tariff announcement, and ₹2,000 crore in payments are reportedly stuck in Iran.

Why It Matters: US tariff threats and payment issues in Iran are causing significant uncertainty and price drops for Indian basmati exporters.