India Mandates Registration for Non-Basmati Rice Export Contracts

The Government of India has announced that exports of non-basmati rice will now require mandatory registration of contracts with the Agricultural and Processed Food Products Export Development Authority (APEDA). This decision, communicated on September 24, 2023, aims to streamline the export process and ensure better regulation of agricultural exports.

According to a notification from the Directorate General of Foreign Trade (DGFT), the export policy for non-basmati rice has been amended to include a new condition. This condition stipulates that no export of non-basmati rice will be permitted without prior registration with APEDA. As a key agency under the commerce ministry, APEDA focuses on issues related to agricultural exports and is responsible for implementing various export promotion activities.

The move comes as India experiences a notable increase in rice exports. During the April-August period of the current fiscal year, the country’s rice exports surged by 6.4%, reaching a total value of USD 4.7 billion. This growth reflects the rising global demand for rice, particularly as countries seek to secure food supplies amid fluctuating commodity markets.

Implications for Exporters and Trade

The requirement for contract registration is expected to impact exporters significantly. This regulatory change aims to enhance transparency and accountability in the rice export sector. Exporters must now navigate the additional step of securing registration before proceeding with shipments, which may alter operational timelines and logistics.

Officials from the commerce ministry have indicated that this policy adjustment is part of broader efforts to improve the governance of agricultural exports. By involving APEDA in the registration process, the government hopes to facilitate better tracking and monitoring of rice shipments, ensuring compliance with international standards.

While the registration process may introduce challenges for some exporters, it could also lead to a more organized export framework. By enforcing these regulations, the Indian government aims to strengthen its position in the global rice market and protect domestic interests.

As the rice export landscape evolves, stakeholders will need to adapt to these changes. The government’s decision highlights its commitment to enhancing the agricultural export sector, which plays a vital role in India’s economy.

This new policy marks a significant shift in how non-basmati rice exports will be conducted moving forward. Exporters are advised to stay informed about the registration process and comply with the new requirements to avoid disruptions in their operations.