Consideration on relaxing rice controls

22-Jul-2024 03:45 PM

New Delhi. Due to availability of huge surplus stock of rice in the central pool and good increase in paddy production area in the current Kharif season, the government is considering giving some relief in export controls.

Under this, the quantity of rice exports can be increased under government level export contracts from the central pool and at the same time some relaxation can be given in the controls imposed on export last year.

The central government is considering allocating additional quota of rice for the states. According to informed sources, there is currently about 3.5 times more rice stock than the minimum required buffer quantity in the central pool and a meeting of the committee of ministers is going to be held soon to consider various measures to make good use of it.

It is known that at present there is a complete ban on commercial export of broken rice and non-basmati white rice, while 20 percent export duty is applicable on sella rice.

According to official sources, it has been proposed to reduce the stock of surplus rice available in the central pool because a huge amount is being spent on its storage and maintenance and the food subsidy bill is constantly increasing.

States need rice, so additional quota can be allocated to them. This rice will be made available to them at a subsidized price.

Regular supply of rice will also be continued under the Pradhan Mantri Garib Kalyan Anna Yojana. Exporters have urged the government to open the export of white rice, but there is little possibility of any major decision being taken on this immediately.

Food Corporation currently has a huge stock of 470.10 lakh tonnes of rice (including paddy equivalent quantity).