India Resumes Broken Rice Exports

Quick Summary

• India has lifted the export ban on broken rice, which was imposed in September 2022.
• The Directorate General of Foreign Trade announced that the export policy for broken rice has been changed from “prohibited” to “free.”
• Exporters had requested this change due to a rise in inventories.
• Previously, the minimum export price for non-basmati white rice was removed, and a ban on its shipment was withdrawn.
• Ample rice stock and controlled retail prices influenced these decisions.
• The initial export restriction resulted from supply chain disruptions due to the Russia-Ukraine war.
• Despite the ban,shipments were allowed for pleasant and needy countries upon request.
• In 2023-24, India exported broken rice worth $194.58 million; figures were higher in previous years: $983.46 million (2022–23) and $1.13 billion (2021–22).

!India lifts export ban on broken rice

Indian Opinion Analysis

India’s decision to lift the export ban on broken rice is a strategic move with multiple implications.First, it aligns with India’s economic objectives by enabling exporters to capitalize on existing inventory surpluses. This could potentially boost foreign exchange earnings amid fluctuating global market conditions.

The early lifting of restrictions suggests a return to stability within India’s domestic grain supply chains—originally disrupted by geopolitical tensions like the Russia–Ukraine conflict. By freeing up exports specifically of broken rice—a less premium variety—India can support international food security while maintaining its own stock levels securely.

Furthermore, being able to selectively supply friendly nations during times of global crisis can enhance diplomatic ties and solidify India’s role as a reliable trading partner.

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