Bangladesh to buy as much as 50,000 tons of rice from India

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The Bangladesh government has given its approval for buying as much as 50,000 metric tons of non-basmati rice from India following a domestic shortage, according to the Dhaka Tribune.

Bangladesh will join other countries including China and swathes of Africa who are buying Indian rice this year as the country is set to reap a record harvest. The world’s No. 1 rice exporter received abundant monsoon rainfall this year which has helped its output.

Briefing reporters after a meeting, Cabinet Division Additional Secretary told reporters that the rice would be imported from the supplier M/S Rika Global Impext Limited at a cost of $20,217,500. The price per tonne of rice would be $404.35.

These 50,000 tons of rice will be imported through Mongla and Chittagong ports on a 60:40 ratio.

Despite having a relatively good domestic cereal year during the covid-19 pandemic, the government has been forced to import because of the food directorate’s failure to buy rice from farmers in time and replenish the country’s grain reserves.

The demand for Indian rice has also increased this year with many countries stocking up in order to avoid any supply disruptions due to covid. India’s non-basmati rice exports this year are expected to double from last year.

Biman Mukherji is a columnist and consulting editor at Indoasiancommodities.com. He has worked for international news organisations such as Reuters, The Wall Street Journal as well as for newspapers like The Times of India. He can be reached at biman.mukherji@indoasiancommodities.in

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