New Year's gift to rice exporters in Chhattisgarh - exemption from Mandi fee

04-Jan-2025 12:19 PM

The Chhattisgarh government has made a significant move to promote the rice industry by granting a one-year exemption from Mandi and Krishak Kalyan fees for non-Basmati rice exporters.

This move is aimed at boosting rice exports, as Chhattisgarh has become one of the largest contributors of rice to India's central pool, second only to Punjab.

By removing these fees, the government is ensuring that exporters can offer more competitive prices on their rice, which could lead to an increase in shipments abroad.

This is particularly important for rice prepared from paddy purchased from Chhattisgarh's local rice millers or mandis.

This exemption will benefit not only the exporters but also paddy producers and rice millers in Chhattisgarh, as they will be able to sell rice at better prices due to reduced fees.

Additionally, the state's government provides an extra subsidy to paddy producers, which further encourages increased rice production.

Chhattisgarh's surplus paddy production, with government procurement of over 50 lakh tonnes, is a testament to the growing scale of its rice industry.

The decision to provide this duty exemption will likely help maintain this upward trend in production and exports. The exemption is initially granted for one year but could be extended if needed to ensure continued growth.