India, the world’s largest rice exporter, is considering banning exports of most rice varieties, a move that could push up already high global rice prices as El Niño weather reappears.
The Indian government is discussing a plan to ban the export of all non-basmati rice, which would affect about 80% of India’s rice exports, according to people familiar with the matter. While the move is likely to lower domestic prices in India, it also has the potential to drive up global costs.
Benchmark rice prices have soared to a two-year high. India accounts for about 40 percent of the global rice trade and has sought to tighten trade in certain varieties.
Last year, India banned broken rice exports and imposed a 20 percent tariff on white and brown rice after the Russia-Ukraine conflict sent prices for staples such as wheat and corn soaring. The country also restricted exports of wheat and sugar.
