India’s brown rice exports to UK set to rise after free trade pact

Following the India-UK free trade agreement (FTA), India’s brown rice exports to the United Kingdom are expected to rise, potentially pushing its market share beyond the current 45 per cent. However, this growth hinges on Indian exporters’ ability to adhere to the UK’s stricter Maximum Residue Limit (MRL) standards, as the country is preparing to adopt quality norms similar to those of the European Union (EU).

“The India-UK FTA is a strategic milestone for India’s husked or brown rice (HS code 100620), as it offers a significant edge in expanding its share in the high-value UK market,” a senior official stated. Trade sources predict that India’s market share could exceed 50 per cent over the next 3-4 years.

Market potential

India, the world’s fourth-largest exporter of brown rice, shipped $152.13 million worth of the variety to the UK in 2024, securing a 45.46 per cent market share. This was followed by Pakistan at 36.6 per cent and Uruguay at 10.59 per cent. The UK, the world’s second-largest brown rice importer, purchased $334.95 million in 2024, highlighting the market’s potential for India.

An exporter noted that India’s market share in the UK’s brown rice imports grew by nearly 8 per cent in four years, from 37.56 per cent in 2020, despite a consistent 15 per cent Most Favored Nation (MFN) tariff.

Under the new FTA, the 15 per cent MFN tariff on brown rice, which was also applicable to competitors like Pakistan and Uruguay, will be eliminated for India. This will give Indian exporters a decisive price advantage and a significant competitive edge over other major suppliers.

SPs rule change

However, as the UK and EU move toward an agreement on sanitary and phytosanitary (SPS) rules to facilitate trade, Indian agricultural produce may have to comply with stricter MRL norms in the UK. This is a change from the period after Brexit in 2020, when the UK adopted the more liberal Codex standards.

In the fiscal year 2024-25, India’s agricultural exports to the UK jumped to 5.23 lakh tonnes (valued at $997 million) from 4.58 lakh tonnes ($686 million) in 2019-20. The total rice exports to the UK in 2024-25 were 2.09 lakh tonnes (worth $210.25 million), which included 1.81 lakh tonnes of Basmati rice and 28,254 tonnes of non-Basmati rice.

Published on August 8, 2025