Trump’s Rice Tariff Move: An Empty Threat

Donald Trump recently said he wants to put tariffs on rice from India. He claims India is “dumping” rice in the U.S. and hurting American farmers. To make himself look like a hero for farmers, he also promised them financial aid.

But here’s the truth:

India is not flooding the U.S. with rice. Most of India’s rice goes to West Asia, not America. The U.S. is only a small buyer.
India never gets special treatment in farm trade. At the WTO and in talks with the U.S., India has always been under pressure about subsidies and exports. America has never given India any leeway.
Double standards: Trump says India is unfair, but at the same time he gives billions in subsidies to U.S. farmers. That’s the same thing he criticizes India for doing.
Politics, not policy: This move is more about winning votes in rural states than fixing real trade problems. He is using the “farmer card” to look strong, but the facts don’t support his claim.

In short: Trump’s rice tariff plan is political drama, not a fair trade decision. India has always faced tough rules in agriculture, while the U.S. protects its own farmers with subsidies.

Trump’s narrative is designed to appease domestic farmer anger ahead of elections. By blaming India, Vietnam, and Thailand for falling rice prices, he shifts responsibility away from structural issues in U.S. agriculture.

His relief package for farmers is less about solving trade imbalances and more about buying political loyalty in rural states.
India exported 274,213 metric tons of basmati rice worth $337.1 million to the U.S. In Fy2025 That’s less than 5% of India’s global basmati exports—hardly the “dumping” Trump claim

India's basmati rice exports have seen significant growth in the 2024-25 fiscal year, according to data from the Directorate General of Commercial Intelligence and Statistics (DGCIS). The country exported basmati rice worth Rs 50,312 crore (approximately $5.87 billion), marking an increase from Rs 48,389 crore (around $5.74 billion) in the previous year (2023-24).

In terms of volume, India exported around 60.65 lakh metric tonnes (LMT) of basmati rice in 2024-25, a rise of 8.23 LMT or 15.7% compared to the 52.42 LMT exported in 2023-24. The Agricultural and Processed Food Products Export Development Authority (APEDA) reports that India sold basmati rice to 154 countries in the 2024-25 fiscal year, up from 150 countries in the previous year.

Top Importers of Indian Basmati Rice (2024-25 Fiscal Year)

Saudi Arabia remained the largest importer of Indian basmati rice by volume, purchasing around 11.73 LMT. It was followed by Iraq (9.05 LMT) and Iran (8.55 LMT). These three countries were also the leading importers in 2023-24, with Saudi Arabia importing 10.98 LMT, Iraq 8.24 LMT, and Iran 6.7 LMT.

Other notable importers in terms of volume include Yemen (3.92 LMT), the UAE (3.89 LMT), the United States (2.74 LMT), the UK (1.80 LMT), Kuwait (1.75 LMT), Oman (1.49 LMT), and Qatar (1.24 LMT).

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