Start Your Basmati Rice Export Business: A Step-by-Step Guide to DGFT & APEDA Compliance

Abhishek Jain
Oct 29
3 min read

India remains one of the largest agricultural product exporters globally, with rice—including high-value Basmati and non-Basmati varieties—leading the sector. While the market potential is immense (Basmati rice export is a high-volume search term) , success is gated by strict adherence to the country’s regulatory framework.

For new and established exporters, understanding the mandatory steps governed by the Directorate General of Foreign Trade (DGFT) and the Agricultural and Processed Food Products Export Development Authority (APEDA) is not optional—it is the foundation of a successful export business.

The Essential First Step: Obtaining Your DGFT Import Export Code (IEC)

The first mandatory requirement for any person or firm looking to make an import or export transaction is the Import-Exporter Code (IEC) . This identification number, granted by the DGFT, is mandatory for all trade activities .

What the IEC is and Why it's Mandatory ?

The IEC acts as the key business identifier for export transactions. Following the introduction of GST, the IEC number for a firm is typically the same as the firm's PAN number, but it is issued separately by the DGFT . It is required regardless of the nature of the firm (Proprietorship, LLP, Company, or Trust) .

Simplified Steps for Linking and Updating Your IEC

The DGFT platform requires existing IEC holders to link their codes to the new e-platform to maintain access to services. The streamlined procedure involves:

Registration: Register on the DGFT website using a valid email and mobile number .
Login and Linking: Log in and click the "Link IEC" button on the homepage .
Authentication: Authenticate the IEC by using an Aadhaar-based OTP or a Digital Signature .

Note: Linking your IEC is critical to avoid disruptions as modules for services like Advance Authorization and EPCG migrate to the new platform .

Mandatory APEDA Registration for Basmati Rice Export

After securing the IEC, all agricultural product exporters, especially those dealing in Basmati rice, must register with APEDA.

Understanding APEDA’s Role in Quality and Promotion

APEDA (Agricultural and Processed Food Products Export Development Authority) is the government body responsible for the promotion, development, and regulation of agricultural product exports. APEDA registration provides:

Promotional Support: Access to market intelligence and promotional schemes.
Quality Certification: Guidance on necessary quality certifications required for specific commodities like rice.
Trade Events: Access to international trade events and support from commodity-specific export councils.

Navigating Quality Benchmarks and Target Markets

India is a leading rice exporter, but competition, particularly in pricing, is significant in many destinations. Success hinges on matching quality assurance with high-demand market targeting.

Competitive Edge: Price Competition and Quality Assurance

While India faces considerable price competition from other exporting nations, the high quality of genuine Basmati rice provides a competitive advantage. B2B buyers prioritize suppliers who demonstrate commitment to:

International Standards: Compliance with global food safety (e.g., FSSAI, ISO) and packaging standards .
Perfect Grain Quality: Ensuring Basmati and non-Basmati varieties meet the specific quality and aroma profiles demanded by global clients .

Focusing on High-Demand Export Corridors

Targeting markets with high, sustained demand for Indian rice is crucial for maximizing volume:

The Middle East and Africa: These regions show consistently high demand, driven by growing populations and a reliance on Indian staples like rice and wheat.
ASEAN: India’s trade intensity, especially in products like rice, remains strong and is increasing with Association of South-East Asian Nations (ASEAN) markets. Promoting specific commodities that have a strong competitive advantage in this region is advised.