India bans export of wheat with immediate effect
India has banned the export of wheat with immediate effect. The central government had issued a notification in this regard late on Friday night. This step has been taken to control the local prices.
India is the second largest producer of wheat in the world. The government has said that export of wheat will be allowed under the letter of credit that has already been issued. Global buyers turned to India for wheat supplies as exports from the Black Sea region declined after Russia’s invasion of Ukraine in late February.
A statement issued by the Indian Ministry of Commerce said, “In order to manage the country’s overall food security and to meet the needs of neighboring and other vulnerable countries, the Central Government has banned the export of wheat with immediate effect. “
Exports to other countries will be allowed on the basis of permission granted by the Government of India to meet their food security requirements and at the request of the Government. The Government of India is committed to meet the food security needs of neighboring and other vulnerable developing countries, which are adversely affected due to sudden changes in the global wheat market and are unable to obtain adequate supply of wheat.
The international price of wheat has increased by almost 40 percent due to the ongoing war between Russia and Ukraine. This has increased the export of wheat from India. The increase in demand has led to a sharp jump in the prices of wheat and flour at the local level.
In a separate notification, the Directorate General of Foreign Trade announced easing of export conditions for onion seeds. Food prices across the country have been rising rapidly for a long time, adding to the economic burden on the people. The prices of flour have increased by about 13 per cent as compared to last year.