Kakinada All Set to Double its Rice Exports

Andhra Pradesh allows deep water port for shipping the foodgrains out. As a result, Kakinada’s rice exports will double in the coming days.

AP Permits APEDA to Use Kakinada Deep-Water Port

With an intent to free the congestion at Kakinada anchorage port, Andhra Pradesh government allows APEDA to use Kakinada deep water port for the export of rice. Also, with China and Vietnam buying food grains from India, the export traffic is high. Thus, with respect to an order issued from the AP government on 3 February, APEDA uses the deepwater port for handling high shipments traffic. However, this decision is temporary as the anchorage port is being renovated to drive higher traffic.

Ministry of Commerce’s Decision to Use the Deep- Water Port

Following the visit to Kakinada port, Pawan Agarwal, Secretary of Logistics, Ministry of Commerce and Industry, observed large rice shipments waiting to be loaded at anchorage port. However, at the same time, the deepwater port’s vacant state. Considering that it takes only 20 days for rice loading in deep water port, the same takes 30 days in the anchorage port. Further, he highlighted that the deepwater port would increase the rice export to 6 lakh tons per month.

Increase in Rice Export

India’s rice production estimate this year is 102.36 million tonnes. Thereby, FCI holds 18.66 million tonnes of rice as of today. Owing to the surplus, countries are looking to export from India. For instance, Thailand, after facing extreme drought, is looking to import rice. On the other hand, Vietnam rice production is on a down due to the floods. Thus, non-basmati rice exports have increased to 8.22 million tonnes. At the same time, basmati export is now at 3.38 million tonnes. Thereby, the total rice export is over 11.5 million tonnes.

In all, due to the increase in rice export, India is looking to increase its global rice export as well. Subsequently, the AP government’s move to use Kakinada deep water port is the right move to double rice exports.

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