India’s ban on non-Basmati white rice causes panic-buying among people of Indian origin living abroad

THERE are reports of panic-buying of Indian rice by people of Indian origin living outside of Indian on social media that have been picked up by mainstream media around the globe.

Many Indian stores in Canada, the U.S. and elsewhere have limited sales to one bag of Indian rice per customer.

Last week, the Indian government in order to ensure adequate availability of non-Basmati white rice in domestic markets and prevent its prices rising, prohibited its export with immediate effect.

However, there was no change in the export policy of non-Basmati rice (parboiled rice) and Basmati rice, which forms the bulk of rice exports.

Non-Basmati white rice constitutes about 25 per cent of the total rice exported from India. The prohibition on its export was expected to lead to the lowering of prices for consumers in India.