Basmati rice tops ₹100/kg as tighter crop outlook and export demand lift prices

Flood-hit output in Punjab and Haryana and resilient West Asian demand are pushing up basmati and non-basmati rice prices, extending grocery cost pressure through the festive season. KRBL expects limited near-term relief.

— Source publishedWed, 16 Sept, 2026, 15:48 IST·First seen Wed, 16 Sept, 2026, 16:22 IST·Source Business Today · Latest

What happened

KRBL Limited · Lower flood-affected Punjab and Haryana output and strong West Asian demand have lifted Indian basmati and non-basmati rice prices. KRBL expects

Key facts

  • Basmati rice prices rose 15-20% year-on-year in FY2026-27 Q1
  • Non-basmati rice prices rose 20-25%
  • Basmati retail price reached about ₹100/kg versus ₹85/kg a year earlier
  • India exported a record 6.52 million tonnes of basmati to 154 countries in FY2025-26
  • 1509 paddy opening arrivals were about 20% higher year-on-year

What changed

Lower flood-affected Punjab and Haryana output and strong West Asian demand have lifted Indian basmati and non-basmati rice prices. KRBL expects limited near-term relief, potentially keeping food-cost pressure high for retailers through the festive season.

Why this matters

Plan for sustained festive-season rice cost inflation by securing supply, recalibrating promotions and protecting value-tier availability as basmati reaches roughly ₹100/kg.

What to watch

  • Punjab and Haryana crop-damage assessments, mandi arrivals, and harvest yield updates.
  • Basmati export orders and shipment volumes to West Asia.
  • Wholesale paddy and rice prices versus retail shelf-price changes.
  • Government decisions on rice stocks, export policy, minimum support pricing, or market interventions.
  • Private-label rice availability, promotional intensity, and consumer switching into lower-priced grains.