How To Export Rice From India

Profits, Steps And Procedure

Last Updated on: April 5, 2017
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India is popular for its rice cultivation all over the world. As per the statistical
analysis, rice production in India covers around 46% of the total food crop
production. It is also seen that other countries also have demand the rice from
India. Hence, starting a rice export business would be a profitable and feasible
business option. In this article you will learn how to export rice from India
including steps and procedures
Rice has been a major element in the exports from India all these years. In the
year 1999, around 25% of the total agricultural exports in India were rice.
Countries like Myanmar, China, Japan, Vietnam etc also are some of the rice
production giants. However, the ever-growing demand for the rice across the
globe gives a good scope for the rice export business from India.

Main Import Markets Of Rice

India primarily focuses MiddleEast and African countries for exporting its non-
basmati rice. The major markets for the basmati rice from India are European
countries and USA. Some other major countries who import rice from India
are Saudi Arabia, Singapore, Australia, Malaysia, etc

Top 30 Countries Which Are Major Importer Of

Basmati Rice From India
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COUNTRY EXPORT VALUE in Rs. Crore

Saudi Arabia 5500

Iran 3700

United Arab Emirates 3110

Iraq 2230

Kuwait 1300

United Kingdom 930

United States 860

Yemen Republc 730

Oman 610
 COUNTRY EXPORT VALUE in Rs. Crore

Canada 250

Netherland 250

Australia 225

Belgium 220

Turkey 200

Mauritius 190

Jordan 190

Italy 180

Bahrain 170

Israel 165

Qatar 160

France 110

Germany 100

Malaysia 95

Syria 90

South Africa 80

Singapore 75

Egypt Arab Republic 70

Georgia 65

Reunion 55

Lebanon 50

Showing 1 to 30 of 30 entries
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As you can see in above table that Saudi Arabia is largest importer of basmati
rice from India with total value of INR 5500 crore in year 2016.

In spite of the competition from other countries, India is considered as the

second largest country in rice exports. In order to ease and relax the foreign
trade, the government of India has framed relaxed EXIM trade policies. Besides,
the Indian government has kept a highly competitive price for the exported rice
in the importing countries. These are the good signs that boost the export of
rice from India.

Process Of Exporting Rice From India

Below steps are essential for starting rice export business in India

Registered A Firm You need to register a company in order to

export from India. Company registeration process is very simple and
could take around 20 days. After registration, you have to apply for
company PAN. You will get your company PAN in less than 40 days. It
is recommended that you add EXPORTERS in your company name
because it will make it clear to your international buyer that they are
dealing with right company/person. For example ABC EXPORTERS
PVT LTD
GET IEC (Import Export Code) IEC is a must for export of any
product from India. You can apply for IEC online from DGFT
website. Read more about documents required for IEC code.
Select Your Target Country Select your target country where you
will export your rice. It is recommended that you should find your
potential buyers in top 30 countries which are listed above.
Find Buyers It is most important part in any export business that
how to find potential buyers in international market? Some tips for
finding potential buyers are through contacting your relatives in that
country, export trade fairs and expos, through online portal like
 Alibaba and Indiamart, social media advertising, promotion of your
website, etc.

For knowing how to export rice from India, you are supposed to have a good
idea about the country to which rice is to be exported. It is always better to find
the target market that is less competitive. In other words, you can choose the
importing country where there is a huge demand for the rice but less supply
from any of the other competitor countries like China, Myanmar, Japan etc.

In order to know how to export rice from India, and before you actually begin
with, it is essential to analyze the demand in the target market. The best way is
to conduct a market analysis. This can be done through conducting primary or
secondary research in the market. You can ask the related people or
experienced export companies regarding the scope of different importing
countries. In addition, you can have a look at the current news and latest trend
in the export market. This can help you to get a fair idea about choosing the
most suitable international market ideal for your rice export business. A proper
market survey will help you in increasing your export revenue.

Also other steps help you in knowing how to export rice from India. They are
listed below:

Know The Procedure

Knowing the complete export procedure is a must before you enter in the
export business as a newbie. If you are unaware of the export regulations of our
government as well as the import policies and trade regulations of the importing
company, it will be a great challenge for you to get a better competitive edge in
this highly competitive industry. Hence, learning the exporting industry through
business seminars, taking to the expert export companies will help you a lot in
this business. You can always try for a local rice business initially and once
things settle and you learn to survive in the industry, try focus on an
international level.
Also Read How To Export From India

Know Your Competition

As a beginner and in the process of knowing how to export rice from India, it
would of less use when you enter into the highly competitive country, where
already many major players are selling rice. Hence, an import market with good
demand but less competition would be an ideal choice. You can always try for
new business strategies for increasing your rice export level. Some of the
marketing strategies can be low pricing, high quality, building trust and
reliability, easy procedures, fast delivery etc. These are some of the unique
ways to beat the competition in the export market.

Know The Payment Methods And Laws

While doing any transaction, the payment method plays a vital role in the
export business. You are dealing with other countries with different currencies
and hence, there is a vital need for issuing the letter of credit. You can check
the Indian government website to know the payment procedures in exporting
rice to different countries.

Transportation
Once you have decided to export rice to a particular country, you need to check
the best suited transportation system to that country. Along with this, ensure
that all transportation documents are arranged and you meet the sanitary
needs of the importing country. If the documents are not proper, it can lead to
issues at the other destination. You need an Import export code (IEC Code) for
exporting any product from India.

Also Read How To Get An Import Export Code In India

Exporting Rice From India! Is It A Profitable
Business?
Well, every one of you who are planning to start rice-exporting business from
India will be eager to know about its profit margin. The profit margin of the rice
export business is to a good extent based on the country to which you are
exporting and the frequency of exports in a year. For this, you need to choose
the best importing country based on their demand. A long lasting relationship
with the suppliers of that country can be kept with your quality services and
unique marketing techniques.

Keeping aside the environmental issues like natural calamities and low monsoon
in India, rice production in India is at a higher rate around 104 million tons
(MT). However, the external market fluctuations like changes in the foreign
trade regulations in both India and importing countries will be have to studied
frequently so as to ensure a smooth export trade without any hassles. Selecting
the most demanding country for export and applying the best marketing
strategies in the export business can reap more profits from your rice export
business.