:. Food Industry News


India Frees Exports of Rice and Corn Seed

Source: Reuters
20/08/2008

New DelhiI, Aug 20 - India has allowed exports of seeds of two commodities, non-basmati rice and corn, reversing earlier restrictions on such shipments.

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The seeds being exported should not be fit for human consumption, a statement from the commerce ministry said.

"Export packets will be labeled that seeds are treated with chemical insecticides and cannot be used for food or feed purposes," it said.

India, facing double-digit inflation, has banned exports of corn and non-basmati rice to ensure steady domestic supplies.

A record harvest of wheat and expectations of a bumper rice crop have raised hopes that the government may relax some controls.

Traders said it was too early to say if the step signalled that the government would lift the ban on non-basmati rice.

"The government is undecided on lifting of the ban," said Vijay Setia, president of the All India Rice Exporters Association.

The farm minister has said the ban on non-basmati rice exports would stay at least until November, by which time the government would have a clear picture of the summer-sown crop.



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