Punjab rice exporters flag ‘structural flaws’ in Basmati association, seek central reforms

Raising serious concerns over the functioning of the Basmati Export Development Foundation (BEDF), Punjab Rice Millers Exporters Association has written to the Centre seeking immediate restructuring and policy reforms to safeguard India’s basmati export ecosystem.

In a detailed communication addressed to Union Commerce Minister Piyush Goyal, the association highlighted what it termed as “structural gaps” and lack of long-term vision within BEDF, which operates under Agricultural and Processed Food Products Export Development Authority.

The association noted that despite being set up over two decades ago to protect and promote basmati rice under Geographical Indication (GI) norms globally, BEDF has struggled to maintain its effectiveness in key international markets. “There is an urgent need to realign the focus towards production and promotion of quality basmati matching international standards,” the letter stated.

The exporters’ body pointed out multiple issues, including the absence of a clear long-term roadmap for exports and domestic markets, and inadequate representation of experienced professionals in leadership roles. It emphasized the need to appoint qualified and dynamic agricultural experts with hands-on experience in production, processing, and global marketing.

The association also called for wider consultations with stakeholders, including exporters and agro-processing units in Punjab and Haryana, to better understand evolving market dynamics.

The body also recommended the formation of a high-powered task committee to initiate reforms on a priority basis. It stressed that the current functioning of BEDF is overly bureaucratic and often led by short-term or retired personnel, which limits its effectiveness in addressing fast-changing global trade scenarios.

“The rice export sector is continuously evolving and requires frequent engagement and dynamic leadership,” the letter added.

The association also raised concerns about the utilisation of funds collected for protecting the global identity of basmati rice. It noted that exporters contribute Rs 70 per tonne towards safeguarding the GI status, but the impact of this expenditure remains unclear, especially in countries where basmati registration is still pending.

“This is a critical situation where urgent reforms are required,” the letter stated.

Calling the current situation “highly volatile,” the association urged the Centre to conduct a comprehensive review and overhaul of BEDF. It sought swift intervention to ensure that India’s basmati sector remains competitive in global markets.

The letter, signed by Director Ashok Sethi, concluded with an appeal for immediate action, stating that timely reforms are essential to strengthen both basmati production and exports, which are key contributors to India’s agri-economy.

This article has been republished from The Indian Express.