India has allowed export-oriented units and firms set up in special economic zones to export flour made from imported wheat, a government order said on Friday, acknowledging the demands of food processors allowing shipment of value-added products. Gave.
India will allow food processors to import duty free wheat Against the commitment to export flour, the order said.
As the wheat crop shrank after a sudden rise in temperatures in mid-March, India, the world’s second largest grain producer, banned overseas sales of the staple to secure supplies for its 1.4 billion people.
Wheat exports from India, the world’s second largest consumer, have increased after Russia’s invasion of Ukraine affected supplies from the Black Sea region, resulting in a jump in global prices.
After banning wheat exports in May, Prime Minister Narendra Modi’s government restricted the export of wheat flour in August to keep a lid on local prices.
Restrictions on wheat exports boosted Indian wheat flour demand and the country’s flour exports grew by 200 per cent during April-July 2022 from a year earlier, raising prices in the local market.
Following a ban on overseas sales of wheat, India restricted rice exports as deficient rains in the east affected the sowing of the most water-thirsty crop.
India’s protectionist measures have raised fears of food shortages in some of the world’s most needy and vulnerable countries in Asia and Africa.
This story has been published without modification in text from a wire agency feed.
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