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The FIEO (Federation of Indian Export Organisations), Southern Region, has asked the Union Government to formulate a long-term policy for rice exports instead of allowing them with restrictions.
Mr Walter D'Souza, Chairman of FIEO Southern Region, said here on Wednesday that a long-term policy will encourage farmers in the region to cultivate paddy, and achieve a quantum jump in production.
Monsoon woes
Welcoming the recent decision of the Group of Ministers to allow export of up to 10 lakh tonnes of non-basmati rice, Mr D'Souza said such decisionsshould be takenwell in advancein consultation with stakeholders. It is very difficult for the exporters to transport the goods due to monsoon as the inclement weather will affect the quality of rice.
Mr D'Souza urged the Government to allow export of rice without any conditions, as huge stocks have piled up which may lead to deterioration in qualityif immediate action is not taken.
Overflowing granaries
Stating that there is no justification for restriction on export of non-basmati rice in the present circumstances, he said due to restrictive export policy for rice, Indian suppliers have been treated as not reliable in the international market.
“There is acute shortage of storage facilities, and presently, the country's godowns are full with bumper crop. The Agriculture Ministry has forecast foodgrains output at 245 million tonnes for 2011-12 as against 235.88 million tonnes during 2010-11. Against this projection, the Commerce Ministry should come up with Export Policy for Rice for 2011-12 immediately, instead of allowing one million tonnes with restrictions,” Mr D'Souza said.
Sona Masoori
Referring to the export potential of rice from the southern region, Mr D'Souza said exporters in the region have already risen higher in the value chain. Stating that ‘Sona Masoori' variety of rice became favourite rice in a very short span of time, he said the ban on export of non-basmati rice since more than three years put exporters in a spot as they had spent time and energy for marketing this variety, creating a niche market abroad.
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