India has banned wheat exports with instant impact as a part of measures to regulate rising home costs, in accordance with official notification.However, the export shipments for which irrevocable letters of credit score (LoC) have been issued on or earlier than the date of this notification shall be allowed, the Directorate General of Foreign Trade (DGFT) mentioned in a notification dated May 13.
“The export policy of wheat … is prohibited with immediate effect…,” the DGFT mentioned.It additionally clarified that wheat exports shall be allowed on the idea of permission granted by the Government of India to different international locations to satisfy their meals safety wants and based mostly on the request of their governments. In a separate notification, the DGFT introduced the easing of export situations for onion seeds. “The export policy of onion seeds has been put under the restricted category, with immediate fact,” it mentioned.
The export of onion seeds was earlier prohibited.Official information launched this week confirmed that retail inflation surged to an eight-year excessive in April as a result of excessive costs of gas and meals objects.The ban on exports additionally comes amid disruption in world wheat provides as a result of ongoing conflict between Russia and Ukraine that are main exporters of the foodgrain.
India’s wheat exports surged to 7 million tonnes, value USD 2.05 billion, in 2021-22 as a result of robust world demand. Of the entire wheat exports, round 50 per cent of shipments had been exported to Bangladesh within the final fiscal, in accordance with the DGFT information.The nation exported round 963,000 tonnes of wheat this yr towards 130,000 tonnes in the identical interval final yr.
India was seeking to export 10 million tonnes of wheat in 2022-23. The commerce ministry just lately said that India would ship commerce delegations to 9 international locations – Morocco, Tunisia, Indonesia, the Philippines, Thailand, Vietnam, Turkey, Algeria and Lebanon – to discover prospects of boosting wheat shipments.India’s wheat buy have additionally declined sharply by 44 per cent to 16.2 million tonnes as of May 1 within the present Rabi advertising season as a result of heavy lifting by non-public merchants and low arrivals in Punjab and Haryana.
The authorities had procured 28.8 million tonnes of wheat within the year-ago interval. The rabi advertising season runs from April to March.Private gamers have purchased wheat at a worth increased than the minimal assist worth amid elevated demand for the grain for export.The Centre has set a goal to acquire a document 44.4 million tonnes of wheat within the 2022-23 advertising yr as towards an all-time excessive of 43.34 million tonnes within the earlier advertising yr.
Amid decrease buy for the central pool, the Centre has stopped the sale of wheat underneath the Open Market Sale Scheme (OMSS) to bulk shoppers and requested them to not await recommencement of the scheme for purchasing the grain.Wheat manufacturing is pegged at a document 111.32 million tonnes within the 2021-22 crop yr (July-June), as per the second advance estimate of the agriculture ministry.
Source: www.financialexpress.com”