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India may prohibit exports of most rice grades, Bloomberg reports

It is noted that if the ban actually takes effect, Indian rice exports would plummet by about 80%

MOSCOW, July 13. /TASS/. India, which enjoys a 40% share of global rice exports, may move to ban supplies of all rice grades, except Basmati, due to rising domestic prices, the Bloomberg news agency reports, citing sources.

Sources say that the planned restrictions are being driven by inflation and rising food prices, along with the El Nino phenomenon, which is highly likely to appear in the second half of this year and adversely affect the rice yield, according to World Meteorological Organization forecasts.

If the ban actually takes effect, Indian rice exports would plummet by about 80%, the news agency said.

Stocks of Indian rice producers plunged amid news reports on the potential ban. Stocks fell by 3.7% for India’s largest rice producer, KRBL Ltd., as well as by 4.4% for LT Foods Ltd., 2.9% for Kohinoor Foods Ltd., and 2.9% for Chaman Lal Setia Exports Ltd.

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