Rice prices soften in domestic markets after ban; exports may shrink by 25%

India, which commands 40% share in the global rice trade, exported 21.23 mt of rice in 2021-22, against 17.78 mt in the previous year

On a day when food inflation — measured by the wholesale price index — for August continued to remain high despite overall decline, there is some more good news on the cereal front.
 

Trade and market sources said that rice prices across major mandis in the country have softened by around Rs 100-200 per quintal ever since the world’s biggest exporter of the grain late last week banned shipments of broken rice and imposed a 20 per cent duty on exports of various other grades as the country tries to boost supplies and calm prices after below-average monsoon curtailed planting.