Government India on Saturday lifted the complete ban on export of non-Basmati white rice. Along with this, a minimum price of $ 490 per tonne has been fixed on it and it has also been exempted from export duty. Export of non-Basmati white rice was banned from July 20, 2023, to boost domestic supply. The export policy for non-Basmati white rice (semi-milled or fully milled rice, whether polished or not) has been revised from restricted to free, the Directorate General of Foreign Trade (DGFT) said in the notification. With immediate effect and will remain in force until further orders. This is subject to MEP (minimum export price) of US$490 per tonne.
Adequate stock of rice in warehouses
This step has been taken at a time when there is sufficient stock of rice in government warehouses in the country and retail prices are also under control. The government has exempted non-Basmati white rice from export duty, while reducing the duty on white rice to 10 percent. The Department of Revenue, under the Finance Ministry, in a notification issued on Friday said it has also reduced the export duty on ‘brown rice’ and paddy to 10 percent. The export duty on these varieties of rice as well as non-Basmati white rice was till now 20 percent. The notification said that the new rates have become effective from September 27, 2024. In the same month, the government had abolished the minimum export price of Basmati rice to promote exports and increase the income of farmers. The country has exported non-Basmati white rice worth $189 million during April-July in the current financial year. In the last financial year (2023-24) it was $852.5 million.
Exports were taking place in these countries
Despite the ban, the government was allowing exports to friendly countries like Maldives, Mauritius, United Arab Emirates (UAE) and African countries. The Government of India allowed exports to other countries to meet their food security needs and based on the requests of their governments. This variety of rice is widely consumed in India. It is also in demand in global markets. Especially in countries where there is a large number of Indian expatriates.
500-600 mills will run again with export permission
West Bengal’s rice industry has welcomed the Centre’s decision to lift the ban on export of non-Basmati white rice. She said the move is expected to help reopen 500-600 rice mills in the state. Sushil Kumar Choudhary, president of Bengal Rice Mills Association, said the government’s move is expected to help reopen 500-600 rice mills in the state. These mills have been closed for the last one year due to lack of demand following export restrictions. He said that with the removal of ban on exports, farmers will be able to get better prices at Minimum Support Price (MSP).
