Navsari: The war situation in West Asia has begun to affect the flattened rice (poha) industry in Navsari district of South Gujarat. Due to the international crisis, exports of poha to Gulf countries have declined by more than 15 %, creating concern among local mill owners and traders.

More than 50 poha mills located in the Navsari GIDC produce nearly 150,000 tonnes of poha annually. The annual turnover of this industry is around ₹500 crore, while the total trade including by-products is estimated at ₹1,000 crore. These units regularly export large quantities to countries such as Dubai, Muscat, and Saudi Arabia. However, the ongoing war has disrupted logistics and transportation, leading to delays and cancellations in export shipments. Not only have new exports been affected, but payments for previously shipped consignments have also been delayed, putting financial pressure on traders.

After struggling through nearly five years of slowdown, the industry had just begun to recover, but the current situation has once again raised concerns about its economic stability. With exports stalled, nearly 15 % excess stock has accumulated in the mills. Traders are now trying to sell this stock in markets across different states of India. Although demand for poha in other states is gradually increasing and may prevent heavy long-term losses, the present cash-flow crisis is causing serious difficulties for mill operators.

Farmers May Also Be Affected if Crisis Continues

Traders in Navsari procure large quantities of paddy from Ahmedabad, Kheda, and Surat districts. If the slowdown in the poha industry continues for a long time, farmers cultivating paddy may also face a fall in prices in the coming months.

For now, traders are adopting a wait-and-watch approach, but if the war continues for long, this thriving industry of South Gujarat may face a major setback. DeshGujarat