Competitiveness of Indian rice increased due to removal of MAP and export duty

08-Nov-2024 12:14 PM

New Delhi. With the removal of minimum export price (MAP) of $ 490 per tonne on white rice of Basmati category and 20 percent export duty on Sella rice by the Central Government, the competitiveness of Indian rice in the global export market has increased significantly and its export offer price has become the most attractive. The minimum price of $ 950 per tonne fixed for Basmati rice has also been removed. As a result, heavy rice has now become completely duty free and free from control.

Indian companies offered the lowest price in the tender issued by the Bangladesh government for the import of 50 thousand tonnes of non-Basmati Sella rice. The export offer price of an Indian company was $ 477 per tonne which also included the cost of reaching Chittagong and Mongla ports. It is expected that this company will get this tender.

The Bangladesh government has decided to import more than 5 lakh tonnes of rice in several phases. Meanwhile, the Food Ministry issued another tender on November 4 for the supply of 50 thousand tonnes of rice, which will be opened on November 18.

The company that submitted an offer price of $ 499.77 per tonne in the previous tender says that it had offered to supply rice from any of the four countries - India, Myanmar, Thailand, and Vietnam. But the competition is so tough that a leading exporting firm from Raipur (Chhattisgarh) quoted $ 477.45, another $ 490.56 and a third $ 479.50 per tonne.

It is worth mentioning that on October 20, the Food Ministry of Bangladesh issued a global tender for the purchase of 50 thousand tonnes of Sela rice, out of which the condition was to ship 30 thousand tonnes at Chittagong port and 20 thousand tonnes at Mongla port.