Govt extends 20% export tax on parboiled rice until further order.

The Indian government decided on Wednesday to keep the 20% export tax on parboiled rice in effect past March 31. In August of last year, the government levied a 20 percent tariff on the export of parboiled rice with the intention of preserving a sufficient supply locally and controlling domestic prices. Later, it was extended to March 31, 2024. The finance ministry announced in a statement that the 20 percent export tariff will remain in effect after March 31 without a deadline.¬†Additionally, the period for the duty-free import of yellow peas has been extended until March 31 as long as the bill of landing is provided by April 30, 2024, at the latest. The Ministry of Statistics & Programme Implementation issued statistics earlier this month showing that India’s retail inflation fell to 5.10 per cent on an annual basis, down from a four-month high of 5.69 percent in December. Due to rising market supply and government initiatives, the cost of rice has decreased by up to 10% over the previous month, making the basic food grain more accessible to Indian households. Prices for basmati rice have dropped by 10%, whilst non-basmati rice has decreased by up to 7%. Ahead of the general elections, the government should benefit from the price decrease of the most popular grain.

Source: Economic times