Govt Allows Export Of Over 10 lakh Tonnes Of Non-Basmati White Rice To 7 Countries

The Directorate General of Foreign Trade (DGFT) in a notification said that the export is permitted through National Cooperative Exports Limited

The central government on Wednesday said it has permitted exports of 10,34,800 tonnes of non-basmati white rice to seven countries, including Nepal, Cameroon, and Malaysia. The Directorate General of Foreign Trade (DGFT) in a notification said that the export is permitted through National Cooperative Exports Limited (NCEL). 

Accoridng to PTI report, though exports of non-basmati white rice were banned on July 20 to boost domestic supply, exports are allowed on the basis of permission granted by the government to certain countries to meet their food security needs and on request. "Export of non-basmati white rice... to Nepal, Cameroon, Cote D' Ivore, Guinea, Malaysia, Philippines, and Seychelles is notified," it said.

The quantity notified for Nepal is 95,000 tonnes, Cameroon (1,90,000 tonnes), Cote D' Ivore (1,42,000 tonnes), Guinea (1,42,000 tonnes), Malaysia (1,70,000 tonnes), Philippines (2,95,000 tonnes), and Seychelles (800 tonnes). 

The government on Tuesday said that it is actively considering review of the minimum export price of $1,200 per tonne of basmati rice. Rice exporters associations have been demanding that this rate should be brought down to around $850 per tonne. The Centre in late August had decided not to allow exports of basmati rice below $1,200 per tonne to restrict possible "illegal" shipment of white non-basmati rice in the garb of premium basmati rice. On August 27, the commerce ministry directed trade promotion body APEDA not to register export contracts below $1,200 per tonne.

Meanwhile, wheat prices in India rose to an eight-month high on Tuesday, propelled by strong demand for big festivals, limited supplies, and as import duty makes overseas buying unfeasible for domestic flour mills, as reported by Reuters. The increasing wheat prices likely to prompt the government to release more stocks from inventories and eliminate import duties on wheat to bolster supplies and control prices ahead of state polls and a general elections next year.

According to the report, surging wheat prices could contribute to food inflation. Wheat prices jumped by 1.6 per cent on Tuesday to Rs 27,390 ($329) per metric ton, the highest since February 10. Prices have risen by about 22 per cent over the past six months.