India Eases Rice Export Curbs to Boost Global Supply

India has lifted most of its export restrictions on rice shipments as favorable monsoon rains are expected to increase crop yields. India, which accounted for 40% of global rice exports in 2022, saw its rice exports drop by 20% in 2023 due to these restrictions. However, the easing is expected to stabilize global rice prices.

India has lifted the majority of its rice export restrictions, a change that takes effect immediately. This decision comes as projections suggest above-average monsoon rains will boost crop yields, leading to overflowing state granaries.

In 2022, India accounted for more than 40% of global rice exports, shipping a record 22.2 million metric tons out of the global total of 55.4 million. India's rice exports exceeded the combined shipments of Thailand, Vietnam, Pakistan, and the United States.

The easing of restrictions is expected to stabilize global rice prices, which had surged to their highest in over 15 years due to the constraints. Key importers of Indian rice, such as Iran, Iraq, and Saudi Arabia, as well as numerous countries in Africa and Asia, are likely to benefit from this policy change.

(With inputs from agencies.)