India imposes 20% export duty on non-basmati, broken rice export ban

The Government has banned the export of broken rice with an aim to increase domestic availability. The Directorate General of Foreign Trade DGFT in a notification said, export policy of broken rice is revised from free to prohibited.The notification came into effect from Friday, September, 9, 2022.. It added that provisions under the Foreign Trade Policy 2015-2020 regarding the transitional arrangement shall not be applicable to the notification. The total export of Broken Rice rose to 38.90 lakh MT which is an abnormal increase of more than 200 percent in last four years.In 2018-19, the total Broken Rice export was 12.21 lakh MT.

The Government has also imposed a 20 percent export duty on non-basmati rice except for parboiled rice to boost domestic supplies. A Revenue Department notification said, an export duty of 20 percent has been imposed on rice in husk paddy or rough and husked brown rice. The export of semi-milled or wholly-milled rice, whether or not polished or glazed (other than Parboiled rice and Basmati rice) will also attract a customs duty of 20 percent.