India’s rice exporters body has welcomed the Centre’s decision to make registration of non-Basmati rice mandatory, saying it brings the rice variety on par with Basmati rice which require registration for export.
On Wednesday, the government notified that exports of non-basmati rice will be permitted only after registration with the Agricultural and Processed Food Products Export Development Authority (APEDA) – the commerce ministry's arm that deals with agri exports-related issues.
Prem Garg, the national president of the Indian Exporters Federation (IREF) called it a “landmark decision” that brings non-Basmati rice under the same framework as Basmati rice, which for years has required registration of export contracts.
By introducing mandatory registration of contracts with APEDA, Garg said the government will now have better visibility into export commitments, enabling more transparent monitoring.
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“The move will result in introducing uniformity, transparency, and accountability in India's rice export policy,” he said.
A nominal fee of ₹8 per tonne has also been introduced for contract registration.
"Non-Basmati rice has historically been a politically sensitive commodity, subject to frequent restrictions and sudden policy changes. In the past, these abrupt interventions disrupted trade and caused major losses for exporters who had already signed contracts with overseas buyers, as transitional relaxations were seldom sufficient to cover the entire industry," the association said in a statement, adding that the interests of exporters will be protected and domestic priorities safeguarded.
The country's rice exports rose 6.4 per cent to USD 4.7 billion during the April-August period of this fiscal year.
"Export policy of non-Basmati Rice has been amended by incorporating an additional policy condition to the extent that export of non-Basmati Rice shall be permitted only upon registration of contracts with the APEDA," the Directorate General of Foreign Trade (DGFT) also clarified in a notification.