India considers relaxing rice export limits for global buyers

India, the world’s largest rice exporter, plans to ease restrictions on exports of some varieties to avoid a glut in the country before the new crop reaches the market in October.

Indian media sources said that the government is considering allowing shipments of white rice at fixed fees. She added that the authorities may also remove the 20% tax on parboiled rice exports and impose a flat tax instead to discourage under-invoicing of shipments.

Any such move could help calm record Asian rice prices, which hit their highest levels in more than 15 years in January, following India’s move to start restricting sales of key varieties from 2023. That could be good news for some countries in the region. West Africa and the Middle East depend on India for most of their basic food needs.

India’s total rice exports fell by 21% from a year earlier to 2.9 million tons in the first two months of the fiscal year that began on April 1, according to government data. It said shipments of non-basmati rice fell by 32% to 1.93 million tons during the same period.