Last week, when India announced severe restrictions on rice exports to the world, Prabha Rao’s WhatsApp group in New York erupted with concern among the Indian diaspora. They worried that their access to this essential food staple from their home country might soon be disrupted.
Similar to past crisis situations involving items like bottled water and toilet paper, some individuals rushed to supermarkets to hoard bags of rice, leading to long lines and panic buying.
However, living near Syracuse, New York, Prabha Rao found comfort when the owner of her local Indian market sent out an email to assure customers that there was no need to worry. The market had sufficient rice supply to meet their needs.
An El Niño that arrived earlier than expected brought dry and warm weather to certain parts of Asia, posing a threat to rice production. Concurrently, some regions in India faced severe monsoon conditions, leading to floods that destroyed crops and exacerbated production challenges, causing rice prices to rise.
In an effort to counter inflationary pressures on this essential dietary staple, the Indian government took action by imposing export bans on non-Basmati white rice varieties. This move, announced on July 20 by India’s Ministry of Consumer Affairs, Food & Public Distribution, aimed to ensure sufficient availability of rice in the domestic market and to mitigate the surge in prices. The government cited a significant increase of more than 11% in rice prices over the past year, with a 3% rise in the past month alone.
Non-Basmati white rice accounts for approximately one-fourth of India’s total rice exports.
According to Rao, there was a lot of confusion initially on WhatsApp regarding the availability of rice after the news of the export ban. As rice holds significant importance for the Indian community, some people started panic buying, fearing a scarcity.
Rice comes in numerous varieties, and people have their preferences based on taste and texture. The export ban by India does not affect Basmati rice, which is a long-grain variety known for its aromatic properties.
The ban primarily applies to short-grain rice, which is starchier and has a more neutral flavor. Rao explains that this type of rice is preferred in certain dishes and is favored in specific regions of India, especially in the southern areas of the country.
However, at Little India, a grocery store in New York City’s Curry Hill neighborhood, there was no shortage of Basmati rice and other rice varieties, ensuring that customers could still find their preferred choices.
At various other Indian grocery stores, the situation was different. For instance, India Bazaar, an Indian grocery chain in the Dallas-Fort Worth area, reassured its customers on Facebook, urging them not to panic. They emphasized that they were making every effort to meet the demands of their shoppers despite the challenges.
However, despite the store’s message, customers at some locations still cleared the shelves and formed long lines, purchasing large quantities of rice to stockpile. Anand Pabari, the president of India Bazaar, described the situation as quite chaotic, with customers eager to buy ten, 12, or even 15 bags of rice each.
The Indian government’s decision to impose the export ban on non-Basmati white rice coincided with Russia’s backing out of an agreement to allow Ukrainian wheat to pass safely through the Black Sea. This move sparked concerns and warnings about potential surges in food prices.
The export ban on non-Basmati white rice has raised concerns among some economists, who fear that it could have negative implications for food supplies globally. Some governments have urged the Indian authorities to reconsider the ban to mitigate potential impacts on international food trade.
Currently, in the United States, the supply of imported rice from India might not be significantly affected, despite the recent panic buying. However, if the ban continues for an extended period, it could deplete the existing stock of imported rice.
In response to the situation, Rao and others in the Indian diaspora are prepared to adapt by exploring alternative sources of rice. They might consider purchasing rice grown within the United States or imported from other countries.
Rao acknowledges that she might have to substitute Basmati rice, which she finds more suitable for South Indian dishes, with other rice varieties. While it may not be the same, she is open to improvising and has already adjusted to using different brands of rice over the three decades she has been living in the United States.
Despite the challenges, Rao’s willingness to adapt and embrace alternatives reflects the resilience and flexibility of individuals in the face of changing circumstances.