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Rice Exporting Countries UPSC NOTE

 


Rice Export Ban In India

  • Panic-stricken Non-Resident Indians (NRIs) in the United States rushed to grocery stores and supermarkets to hoard bags of sona masuri rice (a medium-grain rice), leading to long queues and chaos.

  • The panic buying followed the Indian government's decision to ban the export of non-basmati white rice on July 20, 2023, to ensure sufficient availability and control rising prices in the domestic market.

  • Chart 1 shows that the exported share of non-basmati white rice surpassed basmati rice in the last two fiscal years, and over 140 countries bought non-basmati white rice from India in FY23.

  • The ban on non-basmati white rice will impact several countries, especially the neighbouring countries of Nepal and Bangladesh, African countries like Madagascar, Benin, Kenya, and Ivory Coast, and Asian countries like Malaysia, Vietnam, and the UAE, which are significant buyers of this rice type.

  • The U.S. ranks 34th on the list of importers of non-basmati white rice from India, with Nepal being a much larger buyer in the considered period.

  • U.S. also imports semi/wholly milled rice from India, but its dependency on India for rice is relatively lower compared to countries like Nepal.

  • The decision to ban non-basmati white rice exports may bring relief to Indian consumers, particularly in the southern states, where rice prices had increased significantly due to climate change-related disasters affecting rice sowing.

  • The overall rice sowing has decreased, with Chhattisgarh and Odisha facing high deficits, prompting the government to restrict rice exports.

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Learnerz IAS | Concept oriented UPSC Classes in Malayalam: Rice Exporting Countries UPSC NOTE
Rice Exporting Countries UPSC NOTE
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