Sidhu demands withdrawal of export duty on Basmati

CHANDIGARH: Demanding the immediate withdrawal of export duty of Rs 800 per quintal on the export of rice imposed by the Centre, BJP MP Navjot Singh Sidhu on Monday alleged it was harming the interests of the farmers, labourers, traders and industry.

The duty of Rs 800 per quintal on the export of Basmati rice would cut down the profits of farmers, he told a press conference here this afternoon.

Sidhu said the total rice production in the country was about 95.6 million tonnes, out of which basmati varieties constituted only two million tonnes- about two per cent of the total production.

In order to curb inflation, the Centre has already banned the export of non-basmati rice, he said, adding the basmati variety was a premium farm produce having no effect on inflation.

He said that during the last two years farmers have been able to get excellent results ranging from Rs 2,000 per quintal to Rs 2,800 quintal for basmati rice.

The duty has put an annual burden of Rs 800 crore on the basmati rice growers, Sidhu said.