New Delhi: The government on Wednesday lifted the curbs on rice exports and removed the floor price for shipments of non-basmati rice. Also, it has exempted husked (brown) rice and parboiled rice from export duty.
The minimum export price (MEP) of $490 per tonne on non-basmati white rice’s overseas shipments has been removed. The Directorate General of Foreign Trade (DGFT) announced the removal of MEP through a notification. Earlier, on September 28, the government withdrew a blanket ban on non-basmati white rice’s overseas shipments and imposed the floor price. On July 20, 2023, the government banned exports of non-basmati rice.
Moreover, the Finance Ministry, in a late-night notification on Tuesday said that the export duty has been reduced from 10 per cent to ‘nil’ on husked (brown) rice, parboiled rice and rice in the husk (paddy or rough). The duty cuts have come into effect from October 22.
The government has implemented these measures at a time when there is enough stock of rice at its godowns and there is control on the retail prices. Earlier, the government removed basmati rice’s minimum export price to increase the income of farmers and boost outbound shipments.
According to sources, the Election Commission of India has given its clearance on this duty cut, subject to the condition that nobody takes political advantage of it. Notably, polls are scheduled to be held in Jharkhand and Maharashtra next month.
During April-August this fiscal, India exported non-basmati white rice worth $201 million. In 2023-24, the worth of export was $852.52 million. The government allowed the shipments to friendly nations like the UAE, Maldives, Mauritius, and African countries despite the ban on exports. In India, this variety of rice is widely consumed and there is a demand for it in global markets as well, especially in countries where large Indian diaspora is present. The ongoing Russia-Ukraine war has disrupted the supply chain of food grains.
The government has implemented these measures at a time when there is enough stock of rice at its godowns and there is control on the retail prices. Biz News Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
