Centre may lift ban on export of non-basmati rice

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Gurgaon, New Delhi, Sep 22 : Amid prospects of good kharif output, finance minister P Chidambaram on Monday expressed the hope that the ban on export of non-basmati rice, which was imposed as a temporary measure, would be lifted soon.

“I know that we were forced to put temporary constraints on certain kinds of rice... hopefully these restrictions can be removed as early as possible,” he said after inaugurating the new facility of rice exporting firm Tilda Riceland here. The government has banned export of non-basmati rice in April as part of initiatives to check rising inflation that touched the 13-year high mark of about 12%.

“I am not giving you any date or I am not promising you any thing but things will ease and we will be able to remove these temporary restrictions,” the minister said. In view of record procurement of over 27 million tonne rice during 2007-08 season ending September, the government permitted export of Pusa 1121, a non-basmati variety of rice.

Meanwhile, a senior commerce ministry official said that corps have been destroyed in certain areas on account of flood and the government will take a view on the availability position around mid-October, when the bulk of rice will arrive in markets, before deciding on lifting of export curb.

Based on initial reports, the official pointed out that rice production is likely to exceed 96.43 million tonne output recorded in the previous year and some more varieties in addition to Pusa 1121 may be allowed for export. The area under rice has gone up by three per cent at 373.51 lakh hectares during the current year. “We know that these restrictions hurt farmers, traders, millers, exporters and consumers. But these restrictions are indeed temporary,” Chidambaram said.