Global Economy

US, EU flay India's rice export curbs


A group of countries including the US, the EU and Canada have criticised India’s export ban on non-basmati white rice, terming it an unnecessary trade barrier that hinders the flow of food to areas where it is most needed.

At a Committee on Agriculture meeting at the World Trade Organization (WTO) on Wednesday, Japan, Australia, Brazil, the EU, the UK and the US, among others, raised concerns over the impact of the ban on the global food market, highlighting its significance as the world’s largest rice exporter, accounting for over 40% of global exports.

India had prohibited non-basmati white rice exports in July.

“These members argued that such measures have a detrimental impact on countries heavily reliant on imports, particularly during times of crisis,” said a Geneva-based official.

Washington claimed, based on information from the US Department of Agriculture, that India is poised for a record-breaking harvest, with an estimated rice production of 134 million tonnes and stocks of 36 million tonnes for 2023-24.

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“It believes that under such conditions, the new measure creates unnecessary trade barriers and hinder the flow of food to areas where it is most needed,” the official said, adding that the US has asked India to lift this export ban with immediate effect.

India said the new ban on rice is a regulation rather than a restriction, which is crucial for securing the food security of 1.4 billion people.

On the US and other members’ request for advance notification of such measures, India argued that, in order to prevent private players from manipulating market conditions, advance notifications were not provided.

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