Rice industry players in West Bengal breathed a sigh of relief on Saturday after the Center lifted the ban on overseas shipment of non-basmati white rice.
Sushil Kumar Chaudhary, president of the Bengal Rice Mills Association, said the government’s move is expected to help reopen 500-600 rice mills in the state that were shut down for the past year due to low demand due to export restrictions. spoke.
He said the lifting of export ban would help farmers get better prices than the minimum support price (MSP).
“Lifting of the export ban will not only boost the operation of rice mills but also improve the average income of farmers, which has been stagnant for the past one year. ~600 were closed due to weak export demand and mounting losses,” Chaudhary told PTI.
He said on average each factory employs about 500 people directly and indirectly.
Earlier in the day, the government lifted a total ban on overseas shipments of non-basmati white rice and imposed a minimum export price (MEP) of $490 per tonne.
To increase domestic supply, exports of non-basmati white rice have been banned from July 20, 2023.
“The export policy for non-basmati white rice (semi-milled or fully milled, whether milled or milled) has been amended from prohibited to free, with an MEP of $490 per tonne effective immediately and will continue to apply. “Order,” the Directorate General of Foreign Trade (DGFT) said in a notification.
Highlighting the national scenario, Dev Garg, Vice-President, Federation of Indian Rice Exporters, said surplus stock of rice is likely to increase by 275 million tonnes by March 31, 2025 due to expected bumper harvest. , welcomed the move.
“Export closure could have been very difficult for the government to manage. Firstly, there was not enough storage space to store this surplus commodity and secondly, currently transporting around Rs 45,000 crore Because the cost could go up to Rs 5,000 crore due to excess inventory,” Garg said.
“India’s bold decision to lift export restrictions on non-basmati white rice is a game-changer for the agriculture sector,” said Suraj Agarwal, CEO of Ricevira Foods.
This strategic step will not only increase the income of exporters but also empower farmers who can expect higher returns with the introduction of new kharif crops, he added.
Somen Kundu, a paddy trader in Burdwan, said the move would improve the business of factories in the area, which had halved, with 50 to 60 factories processing ‘Gobind Bhog’ rice. He said he was deaf.
West Bengal Agriculture Marketing Minister Becharam Manna said the lifting of the ban would bring relief and give better hope as “farmers endured severe flooding in several districts due to uncontrolled water release by DVC”. It is hoped that this will come true.
