'Payments worth Rs 2,000-25,000 crore pending': West Asia crisis hits Basmati exports

BHOPAL: The ongoing conflict in West Asia has hit India’s premium basmati rice exports hard, leaving traders staring at heavy losses and raising concerns over farmers’ livelihoods.According to a Bhopal-based businessman, consignments of Premium 1121 basmati rice are currently stuck at ports, with payments worth Rs 2,000 crore to Rs 25,000 crore still pending, according to news agency ANI. A businessman from Bhopal said,"The Premium 1121 Basmati rice, which we used to export, is currently being held at the ports. If this situation continues, Indian traders will face significant losses. Our payments, ranging from Rs 2,000 crores to Rs 25,000 crores, are pending and have not been received, causing difficulties for the traders. The government is currently taking its own measures, and if the situation persists, farmers will also face problems in the future."An all-party meeting on the West Asia crisis was held on Wednesday, chaired by Defence Minister Rajnath Singh, with participation from several senior opposition leaders.Union Home Minister Amit Shah, Parliamentary Affairs Minister Kiren Rijiju, Finance Minister Nirmala Sitharaman, External Affairs Minister S Jaishankar, Petroleum and Natural Gas Minister Hardeep Singh Puri, and Foreign Secretary Vikram Misri were among those present.Meanwhile, Indian workers—including traders, businessmen, contractors, and factory labourers—are witnessing a downturn as transport routes and payment channels linked to West Asia remain disrupted, affecting their livelihoods.Earlier, a report by Crisil Ratings warned that prolonged geopolitical uncertainty in the region could adversely impact multiple Indian sectors, including basmati rice, fertilisers, diamond polishing, travel operators, and airlines due to their direct exposure to West Asia.The report noted that sectors such as ceramics and fertilisers, which rely heavily on imported liquefied natural gas (LNG), may face near-term production challenges and require close monitoring.Crude-linked industries such as downstream oil refining, tyres, paints, speciality chemicals, flexible packaging, and synthetic textiles could also come under pressure if energy prices stay elevated.India imports around 85 per cent of its crude oil and nearly half of its LNG requirements, with about 40–50 per cent of crude oil and 50–60 per cent of LNG shipments passing through the Strait of Hormuz.According to the report, most shipping vessels have avoided this route since March 1, 2026, citing heightened risks. Any prolonged disruption could impact global crude oil and LNG supplies and push prices higher.The situation in West Asia remains tense. Despite claims by US President Donald Trump that negotiations with Iran are underway and the conflict may end soon, the Pentagon is expected to deploy troops from the 82nd Airborne Division to the region as the war enters its fourth week.