Government Prolongs Parboiled Rice Export Duty By 20% Through March 31 Of Following Year

The government prolonged the tariff on parboiled rice exports by more than five months till March 31, 2024.

The 20 percent export levy on parboiled rice was imposed on August 25 and will remain in effect until October 16 in order to preserve appropriate local stock and keep domestic prices under control.

The finance ministry, in a notification, extended the duty until March 31, 2024.

With these restrictions, India has now imposed curbs on all non-basmati rice varietals.

Non-basmati white rice accounts for roughly 25 percent of overall rice exports from the country.

In July, the government prohibited the export of non-basmati white rice in order to increase domestic supplies and keep retail prices under control check during the upcoming festive season.

Exports of broken rice were forbidden in September of last year. This fiscal year, around 15.54 lakh tonnes of non-basmati white rice was exported compared to only 11.55 lakh tonnes the previous year.

The prohibition on non-basmati white rice exports was enacted when foodgrain prices rose and exports increased.

In September, annual retail or consumer price inflation fell to a three-month low of 5.02 percent. In 2022-23, India’s total basmati rice exports were USD 4.8 billion, with a volume of 45.6 lakh tonnes.

Non-basmati exports totaled USD 6.36 billion in the previous fiscal year. It was 177.9 lakh tonnes in volume.

According to the agriculture ministry data, India’s rice production is expected to increase to 135.54 million tonnes in the 2022-23 crop year (July-June) from 129.47 million tonnes in the previous year.

Also read: Thousands Of Indians Waiting For Green Cards Will Benefit From United States Move