Govt bans export of non-basmati white rice

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The Union government on July 20 prohibited export of non-basmati white rice, according to a notification of the directorate general of foreign trade (DGFT).

"Export policy of non-basmati white rice (semi-milled or wholly milled rice, whether or not polished or glazed)…is amended from free to prohibited,” the DGFT said in a notification.

However, it said that the consignments of this rice are being allowed under four different conditions.

Exports will be allowed where the shipping bill is filed and vessels have already arrived and anchored in Indian ports and rotation number to them has been allotted before the notification.

They will also be allowed where non-basmati rice consignment has been handed over to customers before this notification and has already been registered in their system.

"Export will also be allowed on the basis of permission granted by the government to other countries to meet their food security needs and based on the request of their governments," it added.

India has been witnessing a continuing price rise of its food basket in the past few months.

Prices for wheat, rice, milk, vegetables as well as pulses have been seen firming up.

Rice and pulses have further been on risk, with spatial and deficient monsoon in several states of the country.

As of July 14, overall kharif sowing remains low registering a 2 percent fall.

The total sown area for rice and pulses stands to 6.1 percent and 13.3 percent, respectively.

The reason for the lag in sowing has been attributed to low rains in the major producer states like West Bengal, a major producer of rice, and Maharashtra and Karnataka, which together account for over 50 percent of pulse production of the country.

For the sowing of pulses and rice, the next two weeks would be critical, economists have said.

“Looking at the trend, the fall in sown area is still a concern. While rains have picked up, at least 13 sub-divisions continue to be deficient. The country will only be able to match the sown area for the last year if these sub-divisions too get normal rainfall,” Jahnavi Prabhakar, Economist at Bank of Baroda, had told  Moneycontrol on July 18.