Indian basmati rice exports are expected to post strong growth in FY2018 and FY2019 on the back of improved demand in the international market, especially from Iran and and transference of higher paddy prices over the last two procurement seasons. Indian basmati rice exports have witnessed strong revival in the current fiscal with 22% growth in value in first nine months of FY2018 over the previous fiscal, after having been on the downward trajectory over FY2015 to FY2017. This buoyant exports growth has been fuelled by 23% surge in average realisations (Rs 64,594/MT in 9M FY2018 as against Rs. 53,985/MT in FY2017) and it is estimated that basmati rice exports may cross Rs. 26,000 crore for FY2018 (growth of 20% over last fiscal) and Rs. 28,000 crore for FY2019. The concern however is that the export volumes have largely remained stagnant, in line with last few years.