India denies information about taxing rice exports

Bloomberg news agency reported on August 22 that India is considering introducing new restrictions on rice exports to deal with the situation of escalating food prices.

The world's largest rice exporter is considering imposing tariffs on non-basmati parboiled rice shipments, but no decision has been made yet, Bloomberg reported.

However, Indian Food Minister Sanjeev Chopra immediately denied this information. “Currently, India is not considering imposing any restrictions on the export of parboiled rice,” Mr. Chopra said.

Parboiled rice accounts for about one-third of India's total rice exports. The country produces about 135 million tonnes of rice a year and exports about 21 million tonnes a year.

In July, Prime Minister Narendra Modi's government surprised everyone by imposing a ban on exports of broken rice and non-basmati white rice.

The decision has pushed prices to a 15-year high amid supply concerns. Thai 5% broken white rice rose to $648 a tonne, the most expensive since October 2008, according to data from the Thai Rice Exporters Association.

Inflation in India has risen to a 15-month high, prompting the government to take urgent measures to rein in soaring food prices. A recent 40% tax on onion exports has also helped.

The South Asian nation has also restricted wheat and sugar exports and limited stockpiling of some agricultural products. It is also considering scrapping a 40% import tax on wheat and selling tomatoes and grains from state reserves to improve domestic supplies .

Nguyen Tuyet (According to Bloomberg, India Times)

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