India, Bangladesh finalising first bilateral rice deal in 3 years
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Bangladesh is finalising a purchase order of 150,000 tonnes of rice from India’s NAFED, the NewDelhi-based state company advised Reuters, in what could be thefirst such bilateral deal in three years after floods in Bangladesh despatched native costs to a document excessive.
India, the world’s greatest rice exporter, is providing asteep low cost to provides from rivals Thailand and Vietnam tocut its surplus after a bumper harvest.
“We are negotiating with Bangladesh,” stated a spokesman for NAFED (the National Agricultural Cooperative MarketingFederation of India Ltd). “NAFED is in a position to supply upto 500,000 tonnes rice to Bangladesh.”
A senior official with Bangladesh’s meals ministry stated theycould purchase 100,000 tonnes of parboiled rice and 50,000 tonnes ofwhite rice underneath a government-to-government deal.
India may promote parboiled rice at round $407 and whiterice at round $417 per tonne on a value, insurance coverage and freight (CIF) liner out foundation, an Indian authorities supply stated. Therates are a couple of third cheaper than these from Thailand and Vietnam.
The whole cargo is prone to be made in the firstquarter of subsequent yr from the Haldia port in India’s easternstate of West Bengal, which borders Bangladesh, authorities official added.
Both the Indian and Bangladeshi authorities officers declined to be named as particulars are nonetheless being labored out.
Representatives for the commerce and meals ministries of India and Bangladesh didn’t instantly reply to requests forcomment.
Bangladesh, the world’s third-biggest rice producer with anoutput of virtually 35 million tonnes a yr, depends on importsfrom time to time to deal with shortages attributable to naturaldisasters equivalent to floods or drought.
Its state grains company issued its first rice purchasetender in three years in November to spice up native provides. Thecountry of greater than 160 million individuals may import as a lot as500,000 tonnes of rice in the yr to June.
“Bilateral deals will accelerate India’s rice exports,” stated B.V. Krishna Rao, president of the Indian Rice Exporters’Association. “The government should try to seal more such dealsas we have ample surplus for exports.”
