With a 40% market share in the world’s rice trade, India exports broken rice to more than 76 nations. China is the biggest consumer of broken rice, which it uses as animal feed while other African nations need it for human consumption.Â
With $418.29 million in FY23, China was the top importer of Indian broken rice, followed by Senegal, Indonesia, and Vietnam.Â
Indiaâs Broken Rice Export PolicyÂ
On 8th September , 2022, the Directorate General of Foreign Trade, Union Ministry of Commerce, India, changed the export policy for broken rice from “free” to “prohibited.” The new policy took effect on 9th September, but some exports were allowed to go through until September 15th (later changed to 30th September).Â
Despite the fact that the export of broken rice is generally prohibited, the government on 24th May ’23, permitted shipments of broken rice to other nations in order to meet their needs for food security.Â
The Directorate General of Foreign Trade (DGFT) mentioned in a notification, âThe export policy of broken rice is prohibited, however, export will be permitted on the basis of permission granted by the Government of India to other countries to meet their food security needs and based on the request of their government.âÂ
Indiaâs Rice Export PoliciesÂ
In September, India prohibited the export of broken rice and imposed a 20% duty on exports of various other grades.Â
It permitted the export of organic non-Basmati rice, including organic non-Basmati broken rice, in December of last year.Â
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