New Delhi has banned export of non-Basmati rice “with immediate effect” as the price of rice continues to soar in international and domestic markets.
The notification issued by the Directorate of Foreign Trade on Thursday said it imposed a ban on non-basmati white rice after retail rice prices climbed three percent in a month after monsoon rains caused damage to crops.
As non-Basmati rice comes under India’s largest rice export category, the move is expected to trigger fears of further inflation on global food markets.
The non-Basmati rice is mainly exported to countries in Asia and Africa, such as Benin, Bangladesh, Angola, Cameroon, Djibouti, Guinea, Ivory Coast, Kenya and Nepal.
Meanwhile, the late arrival of the monsoon led to a large rain deficit up to mid-June. Though heavy rains since the last week of June have erased the shortfall, they have caused significant damage to crops.