Amid export restrictions, the government has decided to sell 12 lakh metric tonnes of non-Basmati white rice to 11 countries through National Co-operative Exports Limited.
Main point
- The Directorate General of Foreign Trade (DGFT) had banned the export of non-Basmati white rice on July 20, 2023, following a surge in domestic prices.
- Since then, in three separate instructions, it has approved the export of 12.52 LMT rice through NCEL to UAE, Bhutan, Mauritius, Singapore, Nepal, Cameroon, Côte d’Ivoire, Republic of Guinea, Malaysia, Philippines and Seychelles. Notification dated July 20, 2023 was issued for this.
- Paragraph 2 (iv) of the notification dated July 20, 2023, said, “Exports to other countries will be permitted by the Government of India depending on their food security needs and as per the request of their Government.”
- DGFT instructions show that export of the rice variety to Bhutan, Mauritius and Singapore was allowed on August 30, 2023, while the notification for UAE was issued on September 25, 2023.
- On October 18, 2023, the DGFT, in another directive, allowed export of rice to seven countries – Nepal, Cameroon, Côte d’Ivoire, Republic of Guinea, Malaysia, Philippines and Seychelles.
Rice export from india
- India’s rice exports are broadly classified into two categories – Basmati and non-Basmati.
- The non-Basmati category includes 6 subcategories – hulled rice, other hulled rice, brown rice, parboiled rice, non-Basmati white rice and broken rice.
- From April,2023 to August,2023, including the period of export ban, India exported 19.74 lakh metric tonnes of non-Basmati white rice; Which is 9.6 percent less than 21.86 LMT of the same period of the year 2022.
- In FY 2022-23 (April–June), India exported 177.86 LMT non-Basmati rice, of which 63.98 LMT was non-Basmati white rice. It was shipped to Benin (5.82 LMT), Madagascar (5.55 LMT), and Kenya (5.46 LMT).
- The top 10 buyers of non-Basmati white rice from India include Côte d’Ivoire, Mozambique, Vietnam, Angola, Togo and Nepal.
National Cooperative Exports Limited
- NCEL, an umbrella body for the export cooperative sector registered under the Multi-State Cooperative Societies Act, 2002, was established on January 25, 2023.
- Its authorized share capital is Rs 2,000 crore, of which Rs 500 crore is initial paid-up share capital.
- Its main promoter is Gujarat Cooperative Milk Marketing Federation Limited (GCMMF). The other promoters are: Indian Farmers Fertilizer Cooperative Limited (IFFCO), Krishak Bharti Cooperative Limited (KRIBHCO), National Agricultural Cooperative Marketing Federation of India Limited (NAFED) and National Cooperative Development Corporation (NCDC).
- Cooperation Minister Amit Shah is scheduled to launch the NCEL logo, website and brochure and distribute membership certificates to NCEL members on October 23, 2023.
- The Ministry of Cooperation has described the establishment of NCEL as “an important step towards realizing the Modi government’s vision of ‘Sahkar Se Samridhi’ (Prosperity through Collaboration)”.
- It (NECL) covers agriculture and allied activities as well as handloom and handicraft items by covering a large number of co-operative societies with a target of doubling its revenue from the current Rs 2,160 crore by 2025.