India denies ‘dumping’ premium basmati rice in the US

India has firmly rejected accusations from Donald Trump that it is "dumping" rice into the United States, asserting that its exports primarily consist of premium-grade basmati, which commands significantly higher prices than other varieties.

The claims, made by Mr Trump last week, suggested that further tariffs could be levied on Indian rice. He accused India of "dumping" shipments into the US market, a term referring to the practice of exporting a product at a price below its normal value.

Indian trade secretary Rajesh Agrawal countered the allegations, stating: "We don’t see a prima facie case of dumping, and as far as we know, the U.S. has not started any anti-dumping investigation either."

This follows a move in August when Mr Trump doubled tariffs on various Indian imports, including textiles, chemicals, and food items like shrimp, to as much as 50 per cent.

As the world's largest rice exporter, India shipped 20.2 million metric tons of rice in the 2024/25 financial year, which concluded in March.

Of this, 335,554 tons were sent to the United States, with 274,213 tons specifically being basmati rice.

A team led by Agrawal met U.S. Deputy Trade Representative Rick Switzer in Delhi last week to discuss bilateral trade including talks on a proposed trade pact.

Mr Trump’s comments came while responding to complaints that imports from India and other Asian countries were damaging American producers during a meeting at the White House with Agriculture Secretary Brooke Rollins, lawmakers, and farmers.

The president unveiled a $12bn aid package for U.S. farmers amid mounting pressure over rising consumer prices and persistent inflation, attributed in no small part to his sweeping tariffs on major world economies.

Some farmers at the meeting blamed imports for falling crop prices, claiming that countries such as India and Thailand were undercutting them.