The story
Karnal district lies in the Indo-Gangetic basmati belt, where canal irrigation and the right climate give long, aromatic grain. Taraori grew into a market town where farmers sell paddy and mills process it into export-grade basmati. Large exporting mills ship to West Asia, Europe and the US, while smaller mills serve the domestic market. Export rules, minimum export prices and pesticide-residue limits in buyer countries shape the trade.
In numbers
There are about 35 rice exporters in Karnal district, and Karnal is the largest rice hub in the country.
ETV Bharat — Karnal millers stop rice export to Iran · 2020
GI tag
- Basmati (Punjab / Haryana / Himachal Pradesh / Delhi / Uttarakhand / Uttar Pradesh / Jammu & Kashmir)Application no. GI Application No. 145IP India — Registration Details of Geographical Indications
Ways in for a newcomer
- Rice bran oil or bran trading from mill by-products
- Branded packaged basmati for domestic retail
- Grain testing labs for pesticide residue
- Paddy aggregation and storage for mills
Problems the cluster faces
- Minimum export price and export curbs
- Pesticide-residue limits in EU and US
- Competition from Pakistan basmati
- Falling groundwater for paddy