India defends its ban on rice & wheat exports

In response to criticism from a number of nations, including the US, the EU, Geneva, and Senegal, India has defended its decision to limit the export of wheat and rice at a WTO meeting. India halted the export of wheat in order to increase domestic availability, claiming that these actions, which were prompted by concerns about domestic food security, were only “temporary.”

To increase domestic supply in light of a decline in the area planted to paddy during the current kharif season, it also barred the export of broken rice and placed a 20% export levy on all non-basmati rice, with the exception of parboiled rice, in May. India stated that the restriction on the export of broken rice, which is used in chicken feed, came as a result of a recent increase in the exportation of the grain, which put pressure on the domestic market.

WTO regulations limit farm/food subsidies in developing countries to no more than 10% of the value of a commodity’s production. The official noted that “India has also clarified that the measures are temporary in nature and under continual review.” The US, Australia, Canada, Brazil, New Zealand, Paraguay, Thailand, Australia, Uruguay, the United States, Australia, Canada, Brazil, and Japan requested consultations with India regarding the use of the peace clause to protect its food programmes from action resulting from trade disputes at the meeting.

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