India anticipates a decline in rice production for the first time in eight years during the 2023/24 season due to below-average rainfall, as stated by the government.
The dip in rice production in the world’s largest exporter holds significant global implications, especially following India’s decision to ban exports of non-basmati white rice in July, which resulted in a surge in global rice prices. The Ministry of Agriculture and Farmers Welfare forecasts rice production to reach 123.8 million metric tons, while wheat production could rise to 112 million tons, up from 110.6 million tons in the previous year.
The possibility of extending export restrictions on rice emerges as a measure to stabilize food prices, particularly in light of the upcoming general election. Prime Minister Narendra Modi’s administration faces the challenge of balancing agricultural policies to ensure food security while addressing economic and political considerations amidst fluctuating production patterns.
Source: Reuters