Basmati Rice is under Threat in Export Market due to EU's Stricter Pesticide Residue Standards

Basmati rice varieties, including the world's longest grain developed by the Indian Agricultural Research Institute (IARI), are under threat in the export market after countries such as Qatar and Jordan began adhering to the European Union's maximum residue limit (MRL) standards.

However, IARI's new disease-resistant varieties and FSSAI's proposed domestic standards may help India offer the world's safest aromatic rice.

The basmati industry is also concerned that the proposed FSSAI MRL standards, which are even stricter than the Codex standards that are normally followed globally, will halt basmati exports. The All-India Rice Exporters Association (AIREA) has urged the government not to implement the proposed rice MRL.

Due to quality restrictions, basmati rice exports to the European Union fell 35% to 2.2 lakh tonne (lt) in 2021-22 from the previous year, while overall aromatic rice exports to all countries fell 15% to 39.5 lt. Though exports to the UAE and Lebanon increased in the last fiscal year, they remain lower than previous highs. According to sources, three main varieties — Pusa Basmati (PB) 1121 (the world's first most elongated rice after cooking), PB 1509, and PB 1401 — account for roughly 90% of basmati exports.

For example, exports to the UAE were approximately 2.6 lt last year, compared to approximately 3 lt in 2018-19. Similarly, exports to Lebanon fell by a quarter in 2020-21, but increased marginally last year to around 9,300 tonnes. Despite industry concerns about Egypt, which has begun to follow EU MRL standards, it has been increasing every year for the last five years. Last year, the UAE, Lebanon, Jordan, Qatar, and the EU together accounted for 16% of India's total Basmati export.

The FSSAI MRL norms were first notified in December 2018, and a draught notification was published in August 2020, in which MRLs for some pesticides were made extremely stringent. FSSAI has proposed changing MRLs for 18 pesticides used in the paddy crop (including Basmati). According to sources, Acephate and Chlorpyriphos are two of the nine pesticides that have raised concerns in the EU.

According to the 2018 FSSAI notification, the MRL for carbendazim and cypermethrin is 2 (mg/kg), which has been proposed to be reduced to 0.05 and 0.01, respectively. "We are unable to meet even the FSSAI's 2018 standards." If the revised 2020 notification is implemented, pesticide residue standards will become more stringent, resulting in a much higher drop in future exports," said an industry representative to the government.

"If the 2020 notification is implemented, not a single grain of Basmati rice produced will be compliant with norms," an exporter explained. "Residue problems have plagued Indian Basmati since 2012." Ad hoc approaches to residue issues in the past have jeopardized exports," said S Chandrasekaran, a trade policy analyst.

Chandrasekaran suggested that exporters work with specific backward linkages systems until individual farmers are the solution and that the government should release varieties after appropriate scrutiny in accordance with emerging SPS standards. He also stated that the draught FSSAI standards may be the impetus for finding a permanent solution to this problem.

However, AK Singh, director of IARI and inventor of PB 1509, stated, "It is not that the problem has arisen as a result of PB 1121 or PB 1509." (both of which are grown in 6 lakh hectare area, each). The earlier varieties were also susceptible to disease. The disease appears over time as an area under a particular variety grows, which is a natural phenomenon.”

Singh stated that IARI has developed three improved varieties to combat bacterial blight and blast diseases: PB 1509 will be replaced with PB 1847, PB 1401 will be replaced with PB 1886, and PB 1121 will be replaced with PB 1885.

During the most recent kisan mela in March, IARI distributed 20 quintals of these seeds to 2,000 farmers for multiplication (1 kg can produce 2 quintal seeds) in this kharif season, Singh said, adding that in 2-3 years, these would be able to address some concerns, particularly about Tricyclazole. "Right now, we're working on developing some varieties to combat the Brown planthopper, another common pest in paddy," Singh explained.