Mumbai (PTI): Pakistani farmers will be the gainers thanks to the imposition of Rs 8,000 export duty per tonne on basmati rice by the Indian government, a top industry official said.

It is estimated that the export duty on basmati exports will transfer Rs 3,000-crore worth of Indian farm income to Pakistani farmers.

Last week, the government imposed an export duty of Rs 8,000 a tonne on basmati rice exports with a view to discourage exports. It also lowered the minimum export price (MEP) on export from USD 1,200 to USD 1,000 a tonne.

In March, the government withdrew the duty entitlement passbook (DEPB) scheme benefits on basmati rice export apart from raising the MEP from USD 1,100 to USD 1,200 a tonne.

The country exports over 80 per cent of the 1.6-million tonnes basmati rice that it grows. Export of the commodity stood at 1.045-million tonnes worth Rs 2,792-crore in 2006-07. In the April-November period of 2007-08, 6,48,231 tonnes of basmati rice, valued at Rs 2,028-crore, were exported.

Export demand of basmati rice has already come down by 4.5 lakh MT (31 per cent) in view of various recent past policies and market changes in the last six months.

"Lowering MEP does not make fiscal sense as Pakistan MEP on basmati (USD 1,300) which would help Pakistani farmers to gain the Gulf market," said Anil Mittal, Chairman and Managing Director of KRBL, which sells basmati under the `India Gate' brand.