Traders sign contracts to export 3.5-4 lakh tonne of rice

The country is estimated to have contracted exports of 3.5-4 lakh tonnes of non-basmati rice, mostly to Bangladesh and African countries, and shipments are expected to start this month, a top official of rice firm KRBL said today.

Last week, the government had allowed non-basmati rice exports under Open General Licence (OGL).

"Sales are happening. Contracts have been signed and shipments would also starts in next 10-15 days," KRBL Chairman and Managing Director Anil Mittal told PTI.

According to trade estimates, the contracts of about 3.5-4 lakh tonnes have been signed so far, he added.

"About 90% of the contracts are for exports to Bangladesh and African continent," Mittal said, adding that contracts have been signed between USD 425-460 per tonne depending on the quality.

He noted that the country could easily export about three million tonnes of non-basmati rice in next eight-nine months.

Asked about his company, Mittal said, "We hope to export 1.5-2 lakh tonnes".

KRBL, which sells basmati rice under 'India Gate' brand, had posted a net profit of Rs 23.41 crore over a turnover of Rs 314.85 crore for the quarter ended June.

When asked about drop in pulses production, Pawar said the states have been asked to encourage farmers to put more area under pulses during rabi season to compensate losses.

The minister highlighted that the farm sector grew by 6.6% in last fiscal and said that "the strategies for rejuvenating agriculture sector have been working well and we will now be able to achieve targeted 4% growth".

Pawar said he was hopeful of surpassing the foodgrains production target of 245 million tonne for 2011-12 crop year.