International Basmati Rice Market Growing At 10% CAGR, Says DRRK Foods Jt. MD

Vikram Marwaha is the Joint Managing Director of Gurugram-based DRRK Foods, bringing a dynamic approach to domestic and international markets. Like his brother Amit Marwaha, he was born and raised in Amritsar. He joined the family business in 2002 after completing his B.Com (Honors) from GNDU University. To further hone his management skills, he has also completed specialized short-term courses at the prestigious Indian Institute of Management, Ahmedabad.

With the motto, "the more I work, the luckier I get,” Vikram’s forward-thinking strategies and emphasis on building long-term relationships, he is responsible for overseeing the expansion and operations of Crown Rice across various markets. In an exclusive interview to Bizz Buzz, he said global demand for basmati rice and low-glycemic index (GI) diet rice is noticing a significant growth due to growing health awareness and dietary needs.

He said basmati has a huge demand in the international markets for its unique flavor and aromatic qualities, particularly among the Indian and Middle Eastern diaspora. "Alongside this, the demand for low-GI rice, like our diet rice, has surged as more people prioritize foods that support balanced blood sugar levels and overall wellness." he said

Can you share some insights into your company's role in the rice export business and how it has evolved over time?

Our journey in the rice export business began in 1998, and over the years, we have been recognized among India’s top 20 exporters. Additionally, the international basmati rice market has been expanding at a 10 per cent CAGR, and we have strategically positioned ourselves to meet the rising demand from Indian and Asian communities worldwide. Our commitment to quality and

Innovation has allowed us to enter diverse markets, build lasting relationships with global partners, optimize our supply chain, and continuously improve quality standards to uphold the unique taste and aroma of authentic basmati rice. As demand for premium rice grows, we remain dedicated to expanding our global footprint, delivering authentic basmati rice to kitchens across the world.

How has the global demand for basmati rice and diet rice with low glycemic index evolved over the years, and what trends do you foresee?

The global demand for basmati rice and low-glycemic index (GI) diet rice has seen notable growth, driven by increasing awareness of health and dietary needs. Basmati rice maintains its strong appeal internationally while cherished for its unique flavor and aromatic qualities, particularly among the Indian and Middle Eastern diaspora. Alongside this, the demand for low-

GI rice, like our diet rice, has surged as more people prioritize foods that support balanced blood sugar levels and overall wellness. This shift toward healthy eating habits reflects a desire for healthier lifestyles. Our diet rice addresses this need by offering a nutritious, delicious option without compromising on taste. As consumers increasingly focus on wellness, we are well-positioned to meet the demand for low-GI rice, ensuring our products resonate with health-conscious consumers globally.

Are you currently involved with farmers who are associated with organic farming practices? If so, how has this shift impacted your production and export strategies?

Currently, we are not directly involved with farmers practicing organic farming, but we recognize the increasing importance of sustainability in our industry. As consumer preferences shift toward organic products, we are considering future collaborations with organic farmers to meet this demand. While our current focus is on educating farmers around our plant to optimize inputs for desired production outputs, incorporating organic farming practices could offer a valuable expansion to our product line and increase our global market reach. This shift would allow us to align with global trends that prioritize eco-friendly and sustainable agriculture, catering to a growing segment of consumers who value organic rice. By remaining open to these possibilities, we can adapt our production and export strategies to embrace sustainability, ensuring we stay competitive and responsive to market needs while supporting environmentally responsible farming practices.

Congestion at ports like Kakinada has been an ongoing issue. How has this affected your logistics and delivery timelines, and what steps have you taken to mitigate delays?

Congestion at ports like Kakinada has posed a significant challenge in logistics, affecting delivery timelines for many exporters. While we primarily operate through ports on the West Coast, we recognize that bottlenecks at any port can lead to widespread delays, impacting not only our operations but also the livelihoods of farmers and millers. Understanding the interconnected nature of the supply chain, we have taken proactive measures to mitigate these disruptions. By optimizing our logistics strategy and exploring alternative shipping routes, we aim to reduce our reliance on congested ports. Additionally, maintaining strong relationships with our shipping partners allows us to navigate challenges more effectively. Investing in advanced tracking technology further enhances our ability to monitor shipments in real time, enabling swift responses to any logistical hurdles that may arise. Ultimately, our commitment remains focused on ensuring timely deliveries, thus supporting farmers and millers by getting their premium basmati rice to global markets without unnecessary delays.

Can you provide your perspective on the recent export curbs and how they influence your company’s strategic planning for international markets?

The recent removal of export curbs has created a more favorable environment for our operations, allowing us to engage more freely in international markets. This development marks a significant shift, as it levels the playing field for exporters like us, enabling better access to global consumers without the constraints that previously hindered growth. The government’s recognition of the challenges faced by the Indian industry demonstrates its commitment to fostering a more competitive landscape. With these barriers lifted, our strategic planning can now focus on expanding our market reach and enhancing our product offerings.

We can confidently invest in scaling our operations and exploring new international partnerships, knowing we are not at a disadvantage compared to competitors from other regions. This renewed environment allows us to leverage our strengths in quality and authenticity, positioning us for sustained growth in the global basmati rice market.

Are there any specific markets or regions where you see high potential for growth in Indian basmati and non-basmati rice exports, despite the current challenges?

Despite current challenges, we have seen significant growth potential for Indian basmati and non-basmati rice exports in several key markets, particularly Europe, the Far East, and the African continent. In Europe, the demand for premium basmati rice continues to rise, fueled by health-conscious consumers who appreciate authentic Indian flavors. This growing interest opens up avenues for us to introduce our high-quality basmati varieties and connect with a broader audience. Similarly, the Far East presents significant opportunities, as countries in this region are diversifying their rice sources and increasingly exploring unique rice varieties. This shift allows us to establish a strong foothold by highlighting the distinct characteristics of Indian rice, appealing to local tastes. Meanwhile, Africa is experiencing a surge in demand for both basmati and non-basmati rice, driven by population growth and urbanization. As consumers seek convenient and quality food options, we are well-positioned to meet this need. By focusing our efforts on these regions, we aim to leverage emerging trends and strengthen our export portfolio for sustained growth.

How important is sustainability in your business model, and what role do organic farming practices play in your long-term strategy for rice production?

Sustainability is a fundamental aspect of our business model, shaping our approach to rice production. As we strive to meet increasing demand, we are enhancing our production capacity while investing in state-of-the-art machinery that promotes efficiency and reduces environmental impact. Although we are not currently focused on organic farming practices, we recognize their growing importance in the marketplace. By integrating organic methods into our long-term strategy, we can align with consumer preferences for sustainable products. This shift will not only enhance our offerings but also support our commitment to environmental responsibility, ensuring we contribute positively to the agricultural landscape.

Looking ahead, what are the major opportunities and challenges you anticipate in the rice export industry, and how is your company preparing to tackle them?

Looking ahead, the rice export industry presents both significant opportunities and challenges. One major opportunity lies in the increasing global demand for high-quality rice, driven by evolving consumer preferences and health trends. However, the export business is inherently volatile and heavily influenced by government policies and regulatory norms, which can impact market dynamics. To effectively address these challenges, we are committed to closely monitoring policy changes and market trends. This proactive approach allows us to remain agile in our strategy. We are also investing in research and development to enhance product quality and diversify our offerings, ensuring we meet the specific needs of various international markets. By strengthening our supply chain and fostering strong relationships with stakeholders, we are preparing to navigate the complexities of the industry while capitalizing on growth opportunities in the rice export sector.