India becomes more competitive in the global rice markets. Two Indian firms win Bangladesh rice import tenders for one lakh tonne non-Basmati rice.
Two Indian firms have bagged tenders for importing non-basmati rice floated by the government of Bangladesh. One of the firms has agreed to sell 50,000 tonnes of rice at $405 a tonne. The other firm will offer another 50,000 tonnes at $416. The rice will have to be delivered in 40 days from the day of signing the contract. Rice Exporters Association (REA) President B V Krishna Rao said that Bangladesh had got rice at such rates due to immense competition within India. Further, he added that while white rice is available at USD 375-385 a tonne, par-boiled rice prices are around USD400.
The neighbouring nation plans to import at least three lakh tonnes of rice. It floated two separate tenders on November 16 and 25 to import 50,000 tonnes each of par-boiled rice. The tenders also included insurance, freight terms, and unloading costs.
China Buys Indian Rice for the First Time in Three Decades
India has shipped around one lakh tonnes of rice to China till now. The East Asian nation is buying 100% broken white rice which is priced lower at $300-320 a tonne. Also, a trader-exporter stated that the Chinese COSCO Group (like FCI in India) has not made its intentions clear on making further purchases.
India’s Edge in Non-Basmati Exports
India always had an edge in exports of non-basmati rice. Data released by the Agricultural and Processed Food Exports Development Authority reveals that non-basmati rice exports from India increased to 50.79 lakh tonnes during April-September this year as against 24.96 lakh tonnes of last year. Further, rice exporters also claim that non-Basmati exports topped last fiscal’s exports, making India the largest rice exporter in the world. Besides, the US Department of Agriculture’s World Agricultural Supply and Demand Estimate (WASDE) has predicted that India can export 13.50 million tonnes in the season-ending June next year.
In all, the surplus of rice has made India very competitive in the global rice market.