India will lower the basmati floor price to $850 a metric ton, down from $1,200 a ton, to help millers and traders ship out the rice grade, said the sources, who didn't wish to be identified as they are not authorised to talk to media. Last month, India fixed the floor price, or the minimum...
m.economictimes.com
Basmati export floor price may be lowered to counter Pakistan move
India will lower the basmati floor price to $850 a metric ton, down from $1,200 a ton, to help millers and traders ship out the rice grade, said the sources, who didn't wish to be identified as they are not authorised to talk to media. Last month, India fixed the floor price, or the minimum export price (MEP), for basmati rice shipments at $1,200 a metric ton.
Suraj Agarwal, chief executive of RiceVilla, a rice marketing and exporting company, said: “Current MEP of $1,200 per tonne (Rs 100/kg) is comparatively higher than the average export price of $950 tonne (`80/kg). The new crop of basmati, which is known as 1509 variety, has started to arrive and if we don't book export orders at this point, our only competitor in basmati rice — Pakistan, who has set its MEP at around $1,050 — would improve their share in the global markets.