India lifts export ban on broken rice

India lifts export ban on broken rice

CONTEXT:

• THE GOVERNMENT HAS LIFTED THE EXPORT BAN ON BROKEN RICE TO PROMOTE ITS SHIPMENTS.

DETAILS:

• THE BAN WAS IMPOSED IN SEPTEMBER 2022.

• "EXPORT POLICY OF BROKEN RICE HAS BEEN AMENDED FROM PROHIBITED TO FREE WITH IMMEDIATE EFFECT," THE DIRECTORATE GENERAL OF FOREIGN TRADE HAS SAID IN A NOTIFICATION.

• EXPORTERS HAVE EARLIER URGED THE GOVERNMENT TO PERMIT THE SHIPMENTS DUE TO THE RISE IN INVENTORIES.

• LAST YEAR, THE GOVERNMENT REMOVED THE MINIMUM EXPORT PRICE (MEP) OF USD 490 PER TONNE ON OVERSEAS SHIPMENTS OF NON-BASMATI WHITE RICE AND WITH-DREW A BLANKET BAN ON THE SHIPMENTS OF THIS VARIETY.

• THESE MEASURES CAME AT A TIME WHEN THE COUNTRY HAS AMPLE RICE STOCK AT GOVERNMENT GODOWNS AND RETAIL PRICES ARE ALSO UNDER CONTROL.

• THE EXPORT RESTRICTION WAS IMPOSED AS THE RUSSIA-UKRAINE WAR HAD DISRUPT-ED THE FOODGRAIN SUPPLY CHAIN.

• THOUGH THERE WAS A BAN ON EXPORTS, THE GOVERNMENT ALLOWED THE SHIP-MENTS TO FRIENDLY AND NEEDY COUNTRIES ON A REQUEST BASIS.

• IN 2023-24, INDIA EXPORTED BROKEN RICE WORTH USD 194.58 MILLION TO COUNTRIES LIKE GAMBIA, BENIN, SENEGAL AND INDONESIA. IT WAS USD 983.46 MILLION IN 2022-23 AND USD 1.13 BILLION IN 2021-22.