India bans wheat exports after low output estimate...

India bans wheat exports after low output estimate

 International Desk daily-bangladesh.com

 Published: 02:49 PM, 14 May 2022   Updated: 06:21 PM, 14 May 2022

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India has announced a ban on wheat exports in the international market, said the Directorate General of Foreign Trade (DGFT), India’s foreign trade authority, in a statement on Saturday.   

The statement said invoices for trade agreements already signed could be sent; However, from Saturday, no international buyer’s order will be taken regarding wheat export.

Besides, if a country specifically requests the Indian government to send wheat, the DGFT notification states that “the export will be waived”.

Russia and Ukraine are the top two wheat exporters in the international market. However, due to the war between the two countries, the shipment of wheat from the Black Sea region has almost stopped. This has been the case since the onset of the Russian military operation in Ukraine in February.

China is the top producer of wheat in the world, followed by India. As a result, the pressure on India from the side of international buyers has been increasing since the shipment of wheat from the Black Sea stopped.

However, due to last March’s heatwave, wheat yields in India have been severely affected this season. At the same time, inflation is rising at an alarming rate in the country. In April, the rate was 7.79 percent.

In such a situation, the country’s central government imposed a ban on wheat exports, forcing the domestic market to remain stable.

DailyBangladesh/AS