India has lifted its 14-month-long ban on the export of non-basmati rice. Simultaneously, the export duty has been reduced from 20 percent to 10 percent. Additionally, the minimum export price per ton of rice has been set at $490 (slightly over BDT 58,500 at the current exchange rate).

A notification from the Directorate General of Foreign Trade (DGFT) of India stated, “The export policy for non-basmati white rice (semi-milled or wholly milled rice, whether or not polished or gazed) ...is amended from prohibited to free, subject to MEP of $ 490 per tonne with immediate effect and until further orders.”

Commenting on the matter, a C&F agent on the Indian side of the Hili land port said that the Indian government has lifted the rice export ban and reduced the export duty from 20 percent to 10 percent. However, notification is yet to reached the Hili Customs. Once the official notification arrives, Hili land port officials will determine if rice exports is to resume.

In July last year, the Indian government imposed a ban on non-basmati rice exports to ensure domestic supply and control prices in the market. At the same time, a 20 percent export duty was introduced on rice.

Rice importers at the Hili land port mentioned that Bangladesh currently imposes a 62.5 percent duty on rice imports. As a result, even though India has lifted the ban, rice cannot be freely imported into Bangladesh. Mustafizur Rahman, a rice importer at the Hili land port, told Bonik Barta, “There is no option to freely import rice into the country at present. Government approval is required, and a 62.5 percent duty is imposed to discourage rice imports.”