Haryana is the biggest exporter of Basmati rice in the country. The Karnal and Kurukshetra districts belt is known for Basmati rice production.
Hooda pointed out that the scanty rainfall this year had already increased the production cost of rice and now the reduction in purchase price of Basmati rice is affecting farmers.
Hooda said that the loss being suffered by farmers due to fall in prices is up to Rs 1,500 per quintal.
"If necessary steps are not taken soon, not only will the farmers suffer, the country too will lose foreign exchange as a result of fall in export of Basmati rice to other countries," Hooda said in his letter.