Chandigarh: The Food Corporation of India (FCI) will procure 5 lakh metric tonnes of parboiled rice from rice millers in Punjab during the kharif marketing season 2024-25 for the Targeted Public Distribution System (TPDS) and Other Welfare Schemes (OWS).
While the Centre already approved 8 LMT each of parboiled rice to be procured from Chhattisgarh, Odisha, and Telangana, it has been decided to procure additional parboiled rice from Punjab. On March 7, the Centre lifted the ban on 100% broken rice exports to address "record-high stockpiles," enabling exporters to reclaim lost markets, revive businesses and strengthen India's foreign exchange reserves.
Earlier, the Centre announced changes to its rice export policy in Sept last year by reducing duty on parboiled rice from 20% to 10%, while semi-milled or wholly milled rice was exempted from any duty. The move followed the Centre imposing duties on white rice and later banning its export altogether, citing domestic price control measures, low rainfall, and inflation concerns. At the same time, a 20% duty was imposed on parboiled rice.
Parboiled rice refers to rice that is partially boiled at the paddy stage before milling. Parboiling of rice is not a new practice, but there is no specific definition of parboiled rice by the Food Corporation of India or the food ministry.
Apart from heavy reliance on groundwater in the cultivation of paddy, the natural resource is also used in processing paddy into parboiled rice in the rice mills. Parboiled rice production generally requires a large amount of water for soaking the paddy.
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