Shares of major Indian basmati rice exporters such as Kohinoor Foods, LT Foods, and KRBL are in focus today, January 13, after US President Donald Trump announced a 25% tariff on any country continuing trade with Iran.
The announcement has raised a lot of concerns among investors, as Iran is a major export market for Indian basmati rice.
Trump’s Tariff Announcement on Iran Trade
In a statement shared via the official White House X handle, President Trump said, “Effective immediately, any country doing business with the Islamic Republic of Iran will pay a tariff of 25% on any and all business being done with the United States of America. This order is final and conclusive.”
“Effective immediately, any Country doing business with the Islamic Republic of Iran will pay a Tariff of 25% on any and all business being done with the United States of America. This Order is final and conclusive….” – PRESIDENT DONALD J. TRUMP pic.twitter.com/UQ1ylPezs9
— The White House (@WhiteHouse) January 12, 2026 “>
While the White House has not yet clarified the detailed scope of the tariffs, the announcement has sparked worries over how the move could affect countries and sectors that have strong trade links to Iran, including India’s agricultural exports.
Iran & Indian Rice Exports
According to data from the Indian Rice Exporters Federation, Iran is India’s second-largest buyer of basmati rice after Saudi Arabia. The country imports around 12 lakh tonnes of basmati rice annually, valued at over Rs. 12,000 crore. Iran accounts for roughly 12-20% of India’s total basmati rice exports, making it a very important market for leading rice exporters. Any disruption in trade flows or payment mechanisms could impact export volumes and margins for Indian rice companies.
India’s Rice Exports Recently Gained Momentum
The timing of Trump’s tariff announcement is important, as India’s rice exports have been on a strong recovery path. According to government and industry officials cited by Reuters, India’s rice exports jumped 19.4% last year, reaching the second-highest level on record, after New Delhi lifted all export curbs.
This removal of restrictions made Indian rice shipments more competitive globally, pushing demand from major markets, including West Asia.
Rice Stocks: How Shares Reacted Today
After the announcements of the news, rice exporter stocks saw volatility in early trade, though some recovered as the session progressed.
LT Foods’ share price today fell nearly 3% in early trade but recovered later and was trading at Rs. 364.65, up 0.25% at the time of writing.
KRBL share price today also saw early losses but rebounded, trading at Rs. 360.45, up 1.02% during the session.
Kohinoor Foods’ share price today declined about 1%, trading at Rs. 24.90, down 0.92% on the day and over 6% lower in the past five sessions.
