“India upholds basmati rice minimum price amid ongoing export restrictions”
Published on: October 14, 2023.
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Indian Government Retains Basmati Rice Export Prices
The Indian government announced on Saturday that it would keep the current base export price for basmati rice in effect indefinitely, according to an official government statement. As the leader in global rice exporters, India has been limiting its external grain sales.
India set a minimum export price (MEP) for basmati rice of $1,200 per ton in August in an attempt to stabilize local prices ahead of significant state elections. Rather than expiring on Sunday as originally planned, the government has now decided to extend this MEP until further notice, according to a decision made on Saturday.
Curbing Rice Exports
In July, the country also banned the exportation of non-basmati white broken rice. Furthermore, as of Friday, authorities imposed a 20% duty on the export of parboiled rice. Policymakers aim to regulate rice exports using the MEP, particularly ensuring that non-basmati rice is not exported under the guise of basmati rice.
India’s moves play a significant role in global pricing and demand dynamics, due to its status as the world’s largest rice exporter. Reporting by Mayank Bhardwaj; edited by William Mallard.
