Govt. prohibits export of non-basmati white rice

To curb domestic prices, the government has imposed a ban on the export of non-basmati white rice with immediate effect. 

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To tackle soaring domestic prices, the government has enforced an immediate ban on the export of non-basmati white rice. While this move may help control cereal inflation, it could impact global grain supplies.

According to the Directorate-General of Foreign Trade (DGFT) order, white rice exports will now be categorized as “prohibited” instead of “free,” encompassing semi-milled or wholly milled grains as well.

India has been the world’s largest rice exporter, holding more than 40% of the global rice trade, with non-basmati rice accounting for 80% of total rice exports. Key markets for Indian rice include Bangladesh, China, Nepal, Iran, and various African countries.

The ban on white rice exports is expected to alleviate domestic prices within the country. Retail rice prices have surged by 11.78% in June and continued to rise in double digits since the beginning of the year, with a recent increase of 3%.

The ongoing kharif season has seen a 6.3% deficiency in paddy transplanting. However, there will be no changes in the export policy for non-basmati parboiled rice and basmati rice, ensuring farmers benefit from remunerative prices in the international market, as stated by the food ministry.

According to the DGFT notification, the exports of that consignment of white rice which have been loaded and anchored in Indian ports will be exempted from this ban.