No wheat product export so far; mills say subsidy only way out

Two months after easing a ban on export, India has not yet found a taker for its wheat products and millers fear they would not be able to ship abroad the entire 6.5 lakh tonnes of the items, permitted by the Centre for overseas sale till March next year, without subsidy.

Worse still, the ban on the export of wheat and its products for about two years has snatched away traditional markets of Indian wheat products, as importing countries looked for alternative avenues for uninterrupted purchase of such items, according to the millers.

Adding to the worry, drought across the country and fears of a dip in the production of farm items have contributed to uncertainties over government policies on exports, they said.

 

"We have not been able to export wheat products as we have lost our markets during the period of ban. We are trying to work out a strategy to revive our old markets and then probably we will be able to ship abroad something," Roller Flour Millers Federation of India President M K Dattaraj said.

India had imposed a ban on the export of wheat products about two years ago but permitted the export of up to 6.5 lakh tonnes of the items in June this year. Prior to the curbs, India used to export wheat products, mainly 'chakki atta', to hubs like Sharjah, Dubai and some other places in West Asia.

Moreover, Dattaraj said wheat prices in global markets have fallen while rates have not crashed accordingly in India, making it difficult for domestic millers to compete in the global markets without some kind of subsidy.