KRBL surges 17% in two days on heavy volumes; stock hits over 3-year high
Shares of KRBL hit over three-year high of Rs 355.60 on the BSE, as the stock soared 11 per cent in Tuesday’s intra-day trade, amid heavy volumes.
The stock surpassed its previous high of Rs 337.45 that it had touched on October 14, 2021. It traded at its highest level since June 2019. Earlier, the stock had hit a record high of Rs 673 on December 21, 2017.
In the past two trading days, the stock of the world’s leading basmati rice producer surged 17 per cent. On the other hand, the stock price of KRBL zoomed nearly 70 per cent in three months, as against 14 per cent rise in the S&P BSE Sensex.
At 11:50 am; KRBL traded 10 per cent higher at Rs 353.45, as compared to 0.67 per cent rise in the Sensex. The average trading volumes on the counter doubled as a combined 3.6 million equity shares changed hands on the NSE and BSE.
KRBL is one of the largest exporters of Basmati rice from India. The company is known for globally renowned brands – ‘India Gate’, ‘Unity’ and ‘Nur Jahan’, which has marked its presence across the entire value-chain of the rice industry. Currently, KRBL’s flagship brand ‘India Gate’ is synonymous with the best quality Basmati rice in domestic as well as international market. Over the years, ‘India Gate’ has emerged as the most preferred packaged rice brand in many countries, including India.
Last week, the government imposed 20 per cent export duties on various grades of rice like non-basmati, unmilled, semi-milled or totally milled, and husked brown. A blanket ban on broken rice, too, was imposed as domestic supplies dwindled, after below-average monsoon season. However, parboiled and basmati rice were exempted from export duties. CLICK HERE FOR FULL REPORT
According to data published by the Directorate General of Commercial Intelligence and Statistics (DGCIS), India registered 27 per cent growth in export of non-basmati rice to touch $6.12 billion in 2021-22, compared to $4.8 billion in 2020- 21, and $2.01 billion in 2019-20. Since 2013-14, India’s non-basmati rice exports have gone up by 109 per cent from $2.92 billion.
However, the exports of Basmati rice saw fall over the previous year in value terms for the third consecutive year. In 2021-22, India exported $3.53 billion worth of Basmati rice, the lowest seen since 2019-20. According to experts, one of the key reasons for the decline is the loss of the traditional market of Iran because of the US sanctions.
India is the main exporter of basmati rice to the international markets. India exports basmati rice across the world – Iran, Saudi Arabia, Iraq, UAE, Kuwait, Iraq, the UK, Yemen Republic, USA, Canada, and Oman.
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.
Comments are closed.