India, until now, has remained firm on restricting entry of GM crops into the country’s food chain. However, with US President Donald Trump’s push for greater market access for farm products, India could look into allowing GM soya and corn for industrial purposes only—a potential loophole in the country’s policy of a strong ban on GM crops in the food chain.
India is likely to allow increased imports of energy products, edible oils, automobiles, and defence equipment, among others, in order to slash the looming Trump tariffs.
Allowing imports of corn could also prove beneficial to India as the country plans to increase ethanol blending in petrol with the government pushing for grain-based ethanol production.
Bumper harvests in wheat, corn and soybeans mean food prices are falling
Grains to avoid: A weakened immune system and reduced physical activity due to the rainy weather contribute to digestive issues. To prevent indigestion, it is advisable to consume lighter, easily digestible foods, stay hydrated, and practice good hygiene to avoid infections. Here are seven grains you might want to avoid for controlling indigestion.
Biggest short bet in 20 years in corn, wheat and soy futures suggests market slump could continue
Food prices are expected to stay elevated even if the grain deal is restored by some miraculous development, because the Odesa port will be out of operation for a while
Metal, corn and wheat prices are sharply higher as both Russia and Ukraine are big exporters. A hit to the supply chain would make many other commodities also expensive.
The premium for commodities that can be delivered now versus later into the future is the highest since 2007, signalling just how strong is the demand for raw materials and how tight supplies are.
Between Friday and June 1, farmers planted a greater acreage of every single summer crop than last year, the data showed.
India, the world's seventh-biggest corn producer, normally imposes a 60% import tax on the grain.
The tender closes on December 3 with offers having to remain valid up to December 24.
The additional 400,000 tonnes of imports were permitted at the same rate following a request from the poultry industry, the government said in a statement.
The IGC forecast a US corn crop of 333.5 million tonnes, down from a previous forecast of 362.4 million and the prior season's 366.3 million.
State-run MMTC and NAFED were each allowed to import 50,000 tonnes of corn for poultry firms in the 2019-20 financial year starting on April 1, it said in a statement.
India, which used to be a major exporter of corn to southeast Asia until a few years ago, has turned into an importer, thanks to falling output and rising demand from the country's poultry producers and corn starch manufacturers.
The volume purchased will be decided by MMTC later, depending on the level of prices received, but minimum offers are 20,000 tonnes.
India, the world's seventh-biggest corn producer otherwise imposes a 60 percent import tax on the grain.
Below-normal monsoon rains and an infestation of the fall armyworm, which devastated African corn crops in 2017, have slashed India's corn output and boosted prices, increasing the chances the government will grant duty-free corn imports for the first time since 2016.
India imposes 60 percent tax on overseas buying of corn but under the tariff rate quota it can allow imports at lower or zero duty.
The March sugar contract rose as much as 1.2 percent to 3,946 Indian rupees (USD 58.72) on the National Commodity & Derivatives Exchange Ltd (NCDEX). The contract had risen nearly 200 rupees in the last 30 days, up to Friday's close.
India on Thursday scrapped its 10 percent import duty on wheat after droughts in the past two years depleted stocks and raised prices, a move traders said could lift overseas purchases to their highest in a decade.
The United States alleges that China doled out USD 100 billion in "market price support" for the grains, above levels agreed at the Geneva-based WTO.
India is traditionally a major corn exporter to Southeast Asia, but higher local prices because of the drought and rising domestic demand have halted exports and forced it to import.
According to Motilal Oswal, margins are likely to improve to 25 percent in FY18 from from 19.9 percent in FY16, given that there are multiple levers for margin expansion.