After a successful pilot 12,500 tons of rice export to the Philippines last month, the Telangana government now sees a larger export opportunity. By expanding its export opportunity to the Philippines to 10 Lakh Tons, the State is exploring markets such as Indonesia and Africa.
The State is looking for ways to liquidate the annual stocks of surplus rice for a sum of 50-60 Lakh tons.
“We signed a memorandum of understanding with the Southeast Asian nation for the export of rice. Under this, there is the potential to export 10 Lakh tons of thick rice annually to the country,” said civil supplies Minister N Uttam Reddy.
He said that thick varieties such as MTU-1010 and IR-64 that were grown in the state had a great demand in the Philippines.
Second largest producer
Telangana, which emerged as a state of crop of Top 3 rice, is watching roads to find roads to monetize surplus rice. According to the second early estimates by 2024-25, Uttar Pradesh leads the picture with a production or 199 Lakh Tons (LT), followed by Telangana with 168 Lt, Punjab 143 LT, West Bengal 121 Lt, Madhya Ltthgh and He Ltthgrass and Ltthgrass Pradesh with 80 Lt.
Uttam Kumar Reddy said the State will keep a 50-60 Lakh tons after distinguishing sufficient actions for local consumption and the public distribution system.
He said that suitable incentives would be provided to farmers for the growing rice varieties with export quality, and political incentives would be sacrificed to exporters.
The industry welcomes the initiative
The rice exports industry welcomes the intention of the Telangana government to take advantage of premium markets such as the Philippines, which survey a higher price than the MSP price in India. India exports around 22 million tons, including 4 Mt or Basmati Rice. India constitutes 50 percent or world rice trade.
BV Krishna Rao, president of the All-Indian Rice Exporters Association, said that taking advantage of Premium markets would help the country to make a better price compared to African markets that sacrifice a price below MSP.
Although Telangana cultivates rice with 25 Lakh hectares lower than the rice cultivation areas of some higher states, it emerges as the second player because rice also grows in the Rabi season, thanks to construction irrigation facilities.
“Rice prices decreased by ₹ 100-200 per quintal in the key markets due to the weak demand.
The domestic market is still uncertain, with merchants who have large shares of old and new rice, but experiencing slow liquidation and limited purchase activity, ”said a state government official.
He thought that the State can liquidate overflowing actions thanks to the increase in demand due to Pradhan Mantri Garib Kalyan Anna Yojana, the State is looking for a long -term solution by creating reliable export markets.
More consultations
The Ministry of Civil Supplies, along with other interested parties, recently hero a brainstorm session to prepare a rice export policy.
“After pilot shipments arrived in the Philippines, we have begun to receive consultations from other countries. We are considering them,” said a government source Business line.
Reddy said that Congress’s government’s decision to provide an advantage of RS 500 to quintal for farmers due to cultivated varieties encouraged farmers to increase the surface under this premium variety.
ALDAS JANAIH, VICERRECTORA O PROF. DR. The Agricultural University of the State of Jayasankar Telangana, said that the Philippines was an adequate market for Telangana rice, since it depends on satisfying local demand.
Posted on April 16, 2025
