Basmati Yield Drops 10%–15%, 36% Less Fires & Sand Sells Dirt Cheap

Basmati yield has dipped 10–15% to the Aug–Sep Panjab floods. Still basmati farmers are not getting fair returns. A 25% additional US tariff hike has dampened demand among rice exporters, resulting in lower-than-expected prices for the long-grain varieties. The average price of basmati in most centers hovered around USD 36 per quintal, reaching USD 41 at only a few grain markets, even though farmers were expecting around USD 45 based on the prices fetched in the last three years. A farmer and commission agent Charanjit Singh from Malerkotla said untimely rain in early October caused a drop in his basmati yield, falling from 20–22 quintals per acre to 15–18 quintals per acre. Charanjit’s grain market, which typically receives 100–120K sacks, only received 50–60K sacks this season. Meanwhile, according to data from Punjab Pollution Control Board, while instances of stubble burning in Panjab in October were at a five-year low, the area that was set afire in three major districts—Amritsar, Taran Taran, and Ferozpur—was 20% less than in 2024. Three Malwa districts of Fazilka, Muktsar, and Mansa have reported more stubble burning incidents this paddy harvesting season compared to 2024, even as Panjab overall has seen a 36% drop in farm fire cases till 10 Nov. So far, Panjab has reported 4,195 farm fires up to 10 Nov as against 6,611 during the same period in 2024. Concurrently, all the sand the floods brought to fields is not selling at decent prices. Before the floods, sand was selling at USD .45 (INR 40) per cubic feet (CF), leading to illegal mining on river beds and foothills. In Fazilka, Aam Aadmi Party Member of Legislative Assembly Narinder Pal Singh Sawna said a trolley carrying 200–250 CF of sand is selling for just USD 2.26 (INR 200). 'Farmers are charging US .011 (INR 1) per CF. Buyers only pay labor and diesel,' he said. However, the glut is uneven. In Fatehgarh Sahib, trader Gurjeet Singh Happy says prices remain USD .36–.45 (INR 32–40) per CF. In Faridkot, merchant Rakesh Kumar Grover acknowledges a 50% dip, with a truck now costing USD 226 (earlier coverage).