Rising tensions between Iran and Israel have already started to impact global trade flows and India's rice export industry is one of the sectors where operations are now impacted. The drop in cargo volume, freight rates and the grounding of ships on major shipping routes have led to issues for exporters in terms of delivery schedules and trade pledges.

Data from ExportersIndia.com indicates that presently, thousands of tonnes of rice shipments from India are stuck, highlighting the volatile geopolitical scenario that exporters are encountering. Industry concerns have been growing, especially with regard to exporters in markets such as the Middle East and neighboring areas that are dependent on well-established marine trade routes and have been affected by the delays.