Rice exports to Bangladesh may not have a significant impact on prices in W. Bengal

The predicted surge in need for non-basmati rice from the neighbouring Bangladesh notwithstanding, rice charges in West Bengal is likely to continue to be array sure this calendar year on the again of an approximated rise in output and distribution of absolutely free rice by government.

According to business insiders, rate of the widespread wide range non-basmati rice in Bengal is down by all over 8 for every cent at ₹2,two hundred-2,250 a quintal this calendar year as as opposed with ₹2,400-2,500 a quintal identical period very last calendar year. Price tag of paddy has been constant at very last years’ concentrations at all over ₹1,500-one,seven-hundred a quintal this calendar year.

Bangladesh lately floated a tender to get 50,000 tonnes of non-basmati rice from India. This apart, there is also a excellent need for non-basmati rice from India in countries this kind of as Vietnam and Africa.

In 2019-20, Bangladesh imported near to nine lakh tonne of non-basmati rice approximated at all over ₹2,600 crore. Though precise figures for 2020-21 ended up not readily offered, business estimates recommend that exports to Bangladesh would be near to 10-15 lakh tonne.

A significant chunk of the rice exported to Bangladesh usually goes from West Bengal and the majority of the export occurs amongst September and February.

“The non-basmati rice exports to Bangladesh may perhaps not have a major effect on charges as government – each centre and state – has been distributing absolutely free rice in a major way and this has brought down charges in open up current market to some extent,” Sushil Kumar Choudhury, President, Bengal Rice Mills Association, advised BusinessLine.

Bigger Production

Production of kharif paddy, which is the common crop of West Bengal, is expected to be increased this calendar year backed by favourable temperature conditions and enough rains, business resources reported.

The Condition produces near to 10.five-11 million tonne of paddy for the duration of the kharif time accounting for practically 70 for every cent of the overall output which is approximated to be near to 15-sixteen million tonnes a calendar year and practically 14 for every cent of the country’s overall output.

As for every formal estimates, West Bengal has five.8 million hectares below rice cultivation. Though formal estimates are nonetheless not offered, even so, the Condition is likely to register a increased crop this calendar year. Sowing of paddy is currently underway in Bengal and harvesting is expected to commence by mid-October.

“There have been enough rains and the temperature conditions seem quite favourable so we are anticipating a quite excellent output this calendar year. We also have an enough inventory from very last calendar year so we do not expect any major rise in charges of paddy and rice this calendar year,” reported Suraj Agarwal, CEO, Tirupati Agri Trade.

Rice charges may perhaps inch up marginally by about two-to-3 for every cent backed by need from export marketplaces, he added.