GOI May Relax Rice Export Ban Post-Harvest

1. GOI May Relax Rice Export Ban Post-Harvest Commanding a mammoth 40% share in the global rice trade, India is the leading rice exporter in the world and the Asian nation enjoys bumper paddy harvest every year which help it to ship different varieties of rice to over 150 countries after meeting its domestic needs. However, since last year, the largest Rice Exporter have been implementing a series of measures to manage its rice exports including a blanket ban on broken rice exports and imposition of 20% duty on all other varieties of rice and in the latest move, the Government of India has banned exports of non-basmati white rice to calm domestic price of the staple amid crop damage. Positive Crop Outlook and Lifting of Non-Basmati White Rice Export Ban An optimistic outlook emerges as concerns regarding the status of the crop have begun to ease, potentially paving the way for the reversal of the ban on non-basmati white rice exports. Mr. Anil Kumar Mittal, hon’ble Chairman and Managing Director of Khushi Ram Behari Lal Limited (KRBL), a prominent rice export company, articulates this sentiment. Mittal highlights that the monsoon rains so far have been satisfactory, contributing to robust kharif paddy sowing that has surpassed the levels of the previous year. He further anticipates that the government might soon consider lifting the embargo on white rice exports in light of these improved conditions. Perspectives of International Entities International entities such as the International Monetary Fund (IMF) and the Food and Agriculture Organisation (FAO) have reportedly urged India to reconsider its restrictions on white rice exports.

2. According to a report in the Financial Express (FE), these organizations contend that the export constraints have led to an escalation in global rice prices. Industry Insights and Future Considerations Mr. V Krishna Rao, the President of the Rice Exporters Association, a collective representing non- basmati rice exporters, offers additional insights. He points out that the GOI’s evaluation of the supply situation is expected to occur after the commencement of paddy procurement, with a tentative timeline around December. It is during this assessment that the viability of lifting the white rice export ban would be determined. Rao emphasizes the pivotal role of these evaluations in shaping the regulatory landscape for rice exports. The Bottom Line To sum it up, the Indian government's stringent measures to manage rice exports, including the ban on non-basmati white rice exports is aimed to bolster domestic supplies and calm soaring prices. Recent positive developments, such as favorable monsoon rains and robust paddy sowing, have sparked discussions regarding the potential lift of the ban on non-basmati white rice exports. The impact on regional markets like Vietnam and Thailand further underscores the intricate interplay of global rice trade dynamics. If you are a Rice Exporter looking to export bulk rice or are a rice importer looking to import bulk rice, then Tradologie.com is the platform for you. Tradologie has over 600,000 verified buyers and 70,000+ verified suppliers in its network and through the platform, you can connect and conduct bulk trade of food and agro-commodities with ease. To register as a seller, click here. To register as a buyer, click here. To stay updated with the recent happenings of the agro-trade industry, do follow Tradologie across all social media channels.