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Rice Export Ban

India exempts Bangladesh

Deal today for 4 lakh MT rice import

Star report
India yesterday exempted Bangladesh from its decisions to ban export of non-Basmati rice and increase the minimum export price of Basmati rice.
A notification of the decision was issued yesterday after a key committee of the Indian cabinet announced a few measures to contain inflation, reported our correspondent in New Delhi.
Meanwhile. Bangladesh will sign an agreement with India today regarding import of the rest 4 lakh tonnes of rice out of 5 lakh tonnes that the neighbouring country had promised.
The exemption to Bangladesh and a few other countries from the ban on export of non-Basmati rice was provided under the Food Aid Programme.
According to the notification of the Director General of Foreign Trade, the ban on non-Basmati rice will not be applicable to the 5,51,010 tonnes of rice exported to Bangladesh.
Thirty-five consignments of rice which have already been accepted for export until March at land customs stations in West Bengal as part of transitional arrangements will not be affected by the ban, the notification said.
On Basmati rice, it said exports would be permitted only if the freight-on-board price is $1,200 per tonne. The export will be restricted through six Indian ports. The minimum export price of Basmati rice was $1,100 per tonne.
THEAGREEMENT
Wasiuddin Ahmed, commercial minister of Bangladesh High Commission in Delhi, will sign the agreement on behalf of Bangladesh.
Sources said the government will import the 4 lakh tonnes of rice from four state-owned Indian organisations through river routes.
A top official of the Food Department said they received confirmation regarding signing of the agreement from India at 4:00pm yesterday.
The sources said according to the agreement, at least 1 lakh tonne of rice will reach Bangladesh within 30 days of signing the agreement while the total 4 lakh tonnes of rice will have to reach Bangladesh within 75 days of signing of the agreement or 60 days of opening LCs--whichever happens first.
However, none in the Food Department or the food ministry could say when the consignments will start arriving in Bangladesh.
A food ministry source said Bangladesh docs not have any more time to wait for rice arriving from India and the government will start collecting Boro rice from April 21-22. The imported rice will be stored at government warehouses to increase the reserve.