India raises rice export price
Monday, 31 December 2007
India in a surprised move has raised the export price of rice to Bangladesh to $500 per tonne, equivalent to Tk 35 per kg, rendering the import from the neighbouring country uncertain, reports UNB.
An Indian Commerce Ministry notification, that came into force on Sunday said, no rice can be exported to Bangladesh at prices less than $500 per tonne.
Customs officials at the Benapole land-port said, India jacked up the rice export price for the third time during this year - first in February to $315 per tonne, the second in October to $425, and now to $500.
No consignment of rice, purchased under L/Cs at previous prices, was allowed to pass through the Petrapole land-port. Barely 1,000 tonnes, for which L/C was opened before October and the Indian authorities agreed to release, arrived at Benapole port Sunday.
Importers declined to open fresh L/Cs for importing rice at the abnormal high price. They estimated that the landing cost of Indian rice at the enhanced price would come to around Tk 38 or 39 per kg.
A rice importer at Jessore viewed the Indian action as "an indirect pressure upon Bangladesh." He said, the exporters in Burdwan, West Bengal, informed him that they could easily sell quality rice to Bangladesh at $450 per tonne.
A senior customs official said, no consignment of 0.5 million tonnes of rice that India pledged to sell has arrived until Sunday. Indian External Affairs Minister Pranob Mukherjee, while visiting Bangladesh in the wake of November 15 cyclone, had committed that his government would sell 0.5 million tonnes of rice to Bangladesh as a gesture of goodwill.
An Indian Commerce Ministry notification, that came into force on Sunday said, no rice can be exported to Bangladesh at prices less than $500 per tonne.
Customs officials at the Benapole land-port said, India jacked up the rice export price for the third time during this year - first in February to $315 per tonne, the second in October to $425, and now to $500.
No consignment of rice, purchased under L/Cs at previous prices, was allowed to pass through the Petrapole land-port. Barely 1,000 tonnes, for which L/C was opened before October and the Indian authorities agreed to release, arrived at Benapole port Sunday.
Importers declined to open fresh L/Cs for importing rice at the abnormal high price. They estimated that the landing cost of Indian rice at the enhanced price would come to around Tk 38 or 39 per kg.
A rice importer at Jessore viewed the Indian action as "an indirect pressure upon Bangladesh." He said, the exporters in Burdwan, West Bengal, informed him that they could easily sell quality rice to Bangladesh at $450 per tonne.
A senior customs official said, no consignment of 0.5 million tonnes of rice that India pledged to sell has arrived until Sunday. Indian External Affairs Minister Pranob Mukherjee, while visiting Bangladesh in the wake of November 15 cyclone, had committed that his government would sell 0.5 million tonnes of rice to Bangladesh as a gesture of goodwill.