Selected varieties of non-basmati rice may be exported

NEW DELHI: Almost 10,000 tonnes of selected varieties of non-basmati rice may finally be exported after lying in ports for around two months.

An empowered group of ministers on food (EGoM) had allowed export of up to 1.5 lakh tonnes of selected, premium non-basmati rice as far back as February 9, lifting a restriction that lasted almost two years. Though the EGoM cleared exports, no clear specifications on the variety of rice were communicated to the various arms of the government, which held up exports.

"We've approached the DGFT, Customs and the food and agriculture ministry the issue. We hope that the consignments stuck at ports will finally be cleared now," a south-based exporter told ET.

The Food, PDS and Civil Supplies ministry is considered the core ministry on the issue of grain exports.

While the Customs department falls under the finance ministry, DGFT is governed by the Commerce ministry.

Confusion emerged when the Customs said they could not identify the Rose Matta, Ponni and Sona Masuri (all allowed for exports) rice varieties and, consequently, could not clear the consignments for export.

Unwilling to lose price advantage and benefit from rising Asian demand for these varieties, anxious traders then approached the DGFT directly on the issue.

Late last week, finally, the DGFT is understood to have communicated grain specifications for the select varieties to the Customs for quick clearing of consignments stuck at ports. Traders said the Centre should have opened up exports of all non-basmati premium varieties conditional to an MEP of $1200/tonne. "At that level, exports would have naturally been limited, with no impact on PDS varieties at home, open market demand for these varieties," an official said.