As quoted by the Ministry of Trade and Industry, the government of Egypt has planned to ban rice exports from September 1, 2015 in order to fulfill its domestic demand. It is expected that the country may produce around 2.7 million tons of white rice in 2015-16, while, its annual consumption demand is estimated to be around 3.6 million tons. Thus, the demand gap in rice would be fulfilled from the existing stocks, as stated by the Ministry.

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Further, it was informed that in October 2014, the government removed the ban on rice exports, which was imposed first in 2008 to save rice for local consumption. However, the exporters were to sell one ton of medium-grain rice at about 2,000 Egyptian pounds (around $255) to the General Authority for Supply Commodities (GASC) for every ton of rice they export, as well as pay an export tariff of around $280 per ton of rice exported. But, the rice exporters were complaining that the high tariff rates resulted in little scope for profits and also an increase in illegal trading with the neighboring countries.

In addition, it has also been stated that any export licenses granted according to the 2014 rules and regulations would be valid in the future too. It has been reported that Egypt produced around 4.3 million tons of rice in the 2014 season and the country is expected to have around 70,000 tons of rice stocks. However, according to the USDA estimates, the Egypt has to produce 4.5 million tons of milled rice and to export around 250,000 tons in MY 2014-15 (October – September).

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