South African importers hailed India’s decision to ease restrictions on rice exports, according to the Press Trust of India.
Global rice prices declined since the Indian government lifted a ban on non-basmati white rice exports last month. The measure would also allow re-export of short-grain white rice to neighbouring countries.
Pranav Thakkar of Dev International, one of the largest importers of Indian produce in South Africa, also welcomed the move. India was South Africa’s largest rice supplier after Thailand and Vietnam, which together accounted for 70 per cent of imports, he said.
Global rice prices dropped recently due to an expected global supply surplus, Wandile Sihlobo, chief economist at the South African Agricultural Business Chamber, noted. Restaurant owners specialising in Indian cuisine also cheered lower rice prices.
India is the world’s largest rice exporter and accounts for nearly 40 per cent of global rice trade with 65 per cent of the basmati market. New Delhi decided to waive the minimum export price of $950 per metric tonne for basmati rice.
