Chandigarh, Sept. 12 -- In a major setback to Punjab's premium aromatic basmati grain farmers, floods triggered by the release of excess water from the three dams - Bhakra, Beas, and Ranjit Sagar Dam- have damaged at least 1.20 lakh acres of aromatic basmati crop in the districts of Pathankot, Gurdaspur, and Amritsar. Floods have affected crops over 4.72 lakh acres in the state.

The losses, according to experts and industry insiders, could easily exceed Rs.1,000 crore, with no chances of crop recovery.

"The loss to export price of the grain may be much higher," said Ashok Sethi, director of the basmati exporters association.

The affected basmati crop was in its final stage of growth, a critical time when grains form and the crop nears ...