UAE Bans Rice Exports for 4 Months
The UAE has placed a ban on the export and re-exporting of rice. The temporary suspension, which is effective from today, will last for four months. The suspension will automatically renew unless a decision is announced to cancel it. The announcement was made by the Ministry of Economy in an effort to keep supply levels high in the UAE.
The rice export and re-export ban was made following Ministerial Resolution No. (120) of 2023. Rice entering the UAE from India after July 20 may not be exported or re-exported. The ban includes all types of rice, including:
- Husked white rice
- Husked brown rice
- Broken rice
- Parboiled rice
Free zones are included in the rice export ban.
Any business looking to re-export rice from the UAE must request a special export permit from the Ministry of Economy. They will also need to supply paperwork, including shipment data, point of origin, transaction date and more.
Export permits, if permitted, will be valid for 30 days and must be submitted to customs electronically, before exports can be processed. The ban also applies to rice originating from countries other than India.
The news follows attempts by India to control the supply of rice from the country. India announced a ban on the export of non-basmati rice in a bid to control its domestic prices. Analysts, however, said the move could trigger fears of further inflation on global food markets, as the South Asian country accounts for roughly half of the shipments of global exports of grain.
Saudi Arabia and the UAE are among the countries in the Middle East to which India exports non-basmati rice. The government said it was imposing a ban on non-basmati white rice after retail rice prices climbed three per cent in a month after late but heavy monsoon rains caused significant damage to crops.
India accounts for more than 40 per cent of world rice exports, and low inventories with other exporters mean any cut in shipments could inflate food prices already driven up by Russia’s invasion of Ukraine last year and erratic weather.
