Amid the hike in the price of rice, the Union government on Wednesday extended the 20 percent export duty on parboiled rice beyond March 31. It has also been decided to continue the zero-duty import regime on yellow peas. This export duty was imposed on parboiled rice last year on August 25 and is said to continue until October 16, 2023.
The government initiated this measure to maintain adequate local stock and keep domestic prices under control, although there was only a marginal rise in the retail price of rice in the last year. But it was later extended until March 31, 2024. As per the latest notification from the finance ministry, the 20% export duty will continue beyond March 31 and the duty-free import of yellow peas is subject to the condition of the bill of lading, which will be issued on or before April 30.
In regard to the bill, stakeholders involved in the export of parboiled rice or the import of yellow peas are suggested to take note of these changes and manage their operations accordingly to adhere to the most recent customs duty regulations.
According to the data released earlier this month by the Ministry of Statistics and Programme Implementation, India's retail inflation was reduced by up to 5.10 percent on a yearly basis as compared to a four-month high of 5.69 percent in December.
The prices of all varieties of rice have been reduced by up to 10% in the last month due to increasing supplies in the domestic market. With the help of these measures, the government is making this food grain more affordable to Indian households. Apart from this, non-basmati rice has also become cheaper by up to 7%, while basmati prices have seen a drop of 10%.
Official data reveals that there is a decline in India's parboiled non-basmati rice exports too, as compared to the previous year. Exports reached 58 lakh metric tonnes between April 2023 and January 2024, marking a drop from 62 lakh metric tonnes in the same period of 2022-23. This shows a decrease of approximately 6%.