NEW DELHI: The government is yet to take a decision over the extension and the relaxation of curbs on non basmati rice export through the state run trading firms.
“There is no proposal at present,” Minister of State for Commerce and Industry Jyotiraditya Scindia said in a statement that was tabled in the lower house of Parliament Monday.
The government enforces ban on non-basmati rice exports to contain domestic rice price rise, although it allowed this year export of 2 million tonnes of rice through state-run trade firms MMTC Ltd, PEC Ltd and STC Ltd.
Private traders have been urging the government to remove the curb saying India has bulging grain stock. The government has harvested a bumper 99.37 million tonnes of rice in the 2008-09 (Jul-Jun) agriculture season, compared with 96.96 million tonnes produced a season earlier.
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Bumper output for two consecutive seasons enabled state-run procurement agencies to buy 30.25 million tonnes of rice as on late June, fuelling speculation the government will allow exports if the southwest monsoon rain is normal in calendar 2009.
However, the monsoon rains have thus far been deficient, hurting rice and other summer crops. The crop and monsoon status would be known in another 1 or 2 weeks.
The government may lift ban on export of non-basmati rice in September if the monsoon rain is good, leading to bumper output. Currently, the government allows the export superior quality basmati rice.
Source : commodityonline.com