Iran suspends rice imports from India amid surplus

Iran has stopped registering new orders for imports of rice from India, at least for the time being, as domestic stocks rise and farming authorities report better yields.

A Wednesday report by Tasnim news agency showed that Iranian rice importers had confirmed reports in Indian media suggesting that Iran had stopped processing import orders for Indian rice since last week.

Secretary of Iran’s Commission of Rice Suppliers Massih Keshavarz said that the decision to halt rice imports was a provisional measure, adding that government and private importers would resume taking delivery of Indian supplies when inventories fall.

Keshavarz said, however, that Iran has emergency plans to import some 0.4 million metric tons (mt) of rice from countries other than India in case of shortages in the domestic market in the coming months, adding that total rice imports into Iran had reached nearly 1.15 million mt in the eight months to November.  

He also suggested that the decision to stop imports of Indian rice could be related to Iran’s policy of maintaining a positive balance of trade with India.

MG