The Pusa-1122 variety of rice has been given the 'basmati' status, which means a boost in exports as well as an increase in its price .However, some exporters are worried about the hindrances this may cause in India's efforts to get a geographical indication, or GI, status for the marquee rice variety.

Vijay Setia, President of All India Rice Exporters Association welcomed the government move by saying, "This has been long awaited. Some 60% of basmati area under cultivation is for Pusa-1121 and 80% of this is exported to more than 50 countries. A large number of farmers in Haryana and Panjab are switching to Pusa-1121 due to better yield compared to other traditional varieties."

Meanwhile, opposing the move, the chairman of Rice Exporters Association of Pakistan, Syed Najaf Hussein from Islamabad said, "We will not allow this new definition (including Pusa-1121 in basmati category) to be an application for a GI... We just don't understand the reasoning behind this move. India has already diluted the definition enough by including evolved varieties in the list, to which we were opposed."

Scientists have declared that Pusa-1121 has all the qualities of basmati in terms of aroma, length, non-stickiness and softness. Furthermore, Asit Tripathy, chairman, Agricultural and Processed Food Products Export Development Authority (Apeda) said, "Pusa 1121 was selling in the international market as a high-quality premium rice for the last few months." 

Exports from India rose to Rs 3,548 crore during 2007-08 from Rs 2,482 crore achieved last year.