Kathmandu —
U.S. President Donald Trump has announced a 25 percent tariff on any country that maintains trade relations with Iran, a move that is expected to increase uncertainty in global trade.
Industry experts have warned that the policy could indirectly but significantly affect agricultural exports from countries like India, particularly basmati rice. Iran is one of the major destinations for Indian basmati rice exports, and Trump’s proposed policy, which penalizes even third-party countries trading with Iran, may complicate payment processes, increase transaction risks, and weaken buyer confidence. With markets already under pressure, this decision could pose additional challenges for exporters.
The tariff announcement could also prompt international banking channels and insurance companies to distance themselves from Iran-related transactions, potentially affecting trade in essential commodities such as food grains. Exporters may be forced to reassess shipments based on uncertain or delayed payments.
The Indian Rice Exporters Federation (IREF) has advised exporters to adopt secure payment systems and diversify into alternative markets in West Asia, Africa, and Europe to mitigate potential risks. The federation emphasized that prolonged uncertainty could put pressure on farmers’ gate prices and increase storage costs, making it crucial to activate alternative markets in a timely manner.
— ANI
