Shares of Chaman Lal Setia Exports Ltd slipped 2.02% to Rs 250 on Tuesday, Dec 9, as Indian rice-exporting companies came under pressure following fresh tariff warnings from US President Donald Trump.
The sentiment across the entire rice export sector turned negative after Trump signalled the possibility of additional tariffs on agricultural imports, specifically Indian rice, as part of a broader push to support US farmers ahead of the midterm election cycle.
At a White House event, Trump criticised what he called the “dumping” of low-cost rice from India, Vietnam, and Thailand into the US market. He said his administration would “address the issue,” raising concerns that higher duties could be imposed on Indian agricultural shipments, including basmati exports.
While the US accounts for less than 5% of India’s total global basmati rice exports, any tariff escalation introduces uncertainty for exporters. This has triggered selling pressure in rice stocks such as KRBL, LT Foods, GRM Overseas, and Chaman Lal Setia Exports, all of which saw early declines in Tuesday’s trade.
India remains the world’s largest rice producer and exporter, commanding over 30% of global rice exports, according to the Indian Rice Exporters Federation (IREF). Despite this strong position, tariff-related headlines often influence short-term market sentiment, leading to today’s dip in Chaman Lal Setia shares.
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