LT Foods shares slipped more than 6% today after US President Donald Trump suggested that Indian rice exports could face higher import tariffs. The comment has sparked fresh worries about potential pressure on India’s rice export basket, especially for companies with exposure to the US market.
Trump indicated that the tariff review is part of a wider effort to narrow the US trade deficit. Although basmati rice makes up only a small portion of America’s rice imports, any additional duty could weigh on demand and pricing—particularly for premium branded products exported by Indian firms.
India remains the world’s largest rice exporter, shipping over 18 million tonnes annually across basmati and non-basmati varieties. Listed companies such as KRBL (maker of the India Gate brand) and LT Foods (Daawat) export to the Middle East as well as select Western markets, including the US. Any shift in US duties could impact margins, export volumes, and market competitiveness for players with meaningful overseas exposure.
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