KRBL Basmati Rice

Shares of LT Foods hit a record high of Rs 446.30, as they rallied 10% and KRBL soared 7% to Rs 324.30, after the government lifted the minimum export price on basmati rice.

The fall in the stock price came after the company reported a weak set of June quarter results.

World's biggest rice exporter imposed various curbs on exports in July last year and continued them in 2024 in an effort to keep local prices in check ahead of the general elections held in April-May

KRBL mainly sells packaged basmati rice domestically and in the export market, with 'India Gate' being its flagship brand

Consolidated net profit was 1.34 billion rupees ($16.1 million) for the quarter ended Dec. 31, compared with 2.05 billion rupees a year earlier

Consolidated net profit at the 'India Gate' basmati rice maker fell to 1.53 billion rupees ($18.37 million) for the quarter, from 2.13 billion rupees a year ago.

The impact of El Nino on Basmati production is minimal due to the irrigation methods employed, utilizing both canal and groundwater sources

Basmati rice prices up 10-15% this year; may rise further as crop is 7-8% down

According to Mehul Kothari of Anand Rathi, traders can buy KRBL near the 260-mark with a stop loss of 250 for upside target of 275 in 1 - 2 weeks.

Thus far in December the promoters of KRBL have purchased 4,48,500 equity shares or 0.43 per cent stake in the company

Kohinoor Foods, KRBL and LT Foods were up 8% to 15% on BSE in intra-day trade.