Huge drop in rice exports due to long-term restrictions

12-Aug-2024 06:23 PM

New Delhi. Due to the ban imposed by the Central Government on the commercial export of 100 percent broken rice in September 2022 and non-Basmati white rice in July 2023 and 20 percent export duty on Sela rice in August 2023, the total export of non-Basmati rice in the financial year 2023-24 (April-March) declined to 111.10 lakh tonnes,

which was 67.50 lakh tonnes less than the export of 178.60 lakh tonnes in the financial year 2022-23. However, during this period, the export of Basmati rice jumped from 45.60 lakh tonnes to a new record level of 52.40 lakh tonnes.

It is noteworthy that last year there was a lack of monsoon rainfall in seven meteorological subdivisions (18 percent geographical area) of the country, which also included the Gangetic region of West Bengal, Jharkhand, Bihar, Eastern Uttar Pradesh, Southern Interior Karnataka and Kerala.

Paddy-rice is produced on a large scale in these provinces. But despite this, the Union Agriculture Ministry, for unknown reasons, said that rice production was not affected and it improved from 1357.50 lakh tonnes in 2022-23 to 1367 lakh tonnes in 2023-24. Not only this,

but the Agriculture Ministry has also estimated the average productivity rate of rice to improve somewhat. This was considered a surprising figure.

On the other hand, the government procurement of rice could reach only 520 lakh tonnes by June 2024, which was 46 lakh tonnes less than its procurement of 566 lakh tonnes by June 2023. On 1 August 2024,

the government had a huge stock of 454.80 lakh tonnes of rice which included direct stock of 327.50 lakh tonnes of rice and stock of paddy equivalent to 127.30 lakh tonnes of rice. As per the rules,

there should be a stock of at least 102.50 lakh tonnes of rice in the central pool on 1 October 2024, whereas this time the actual stock will be much more than this minimum required quantity.