Iraq's decision comes as farmers struggle with rising production costs, dropping prices and a shrinking export market. Crops have also been harmed by drought and unusual heat.
Rice farmer Ray Stoesser says Iraq should "pay a premium" for U.S. rice "because this is the country that freed them."
An Iraqi official says the country will be buying cheaper basmati rice from India because it is widely accepted. He declined to comment on the farmers' anger.
Iraq imports most of its rice. In the past decade, about 10 percent to 15 percent of total imports came from the United States. Iraq hasn't bought any U.S. rice since 2010.
