Chandigarh, Aug. 24 -- India's bid to secure exclusive recognition for Basmati in Australia through a certification trademark has suffered a setback, with the Australian Federal Court rejecting the Agricultural and Processed Food Products Export Development Authority's (APEDA) plea.

The ruling has dealt a blow to Punjab's Basmati exporters, who will now have to share the Australian market with their Pakistani counterparts. Punjab alone accounts for about 40% of the country's Basmati export basket, according to industry estimates.

APEDA had argued that Basmati grown in India enjoys Geographical Indication (GI) status and therefore sought recognition of "Basmati" as a certification trademark in Australia. However, the Australian court tur...