Date:17/10/2007 URL: http://www.thehindubusinessline.com/2007/10/17/stories/2007101752021000.htm

Back Rice ships stranded at Kakinada

Our Bureau

Kakinada, Oct. 16

Twelve ships are now stranded at the anchorage port, awaiting customs clearance for more than a week, following the decision of the Union Government to impose ban on export of non-basmati rice. Kakinada old port is badly hit because of the ban, as rice accounts for the bulk of the cargo.

Of the 12 ships, loading of rice has not commenced in four and the work has been stopped midway in the rest, following instructions from the customs authorities. Several steel barges used for carrying rice to the ship at the anchorage are idle and, at present, only rice bran extractions and maize are being loaded.

It is expected that at least 15-20 ships may come calling at the old port in the next few days. The decision of the Union Government to give effect to the ban from October 9, unmindful of the long-term contractual obligations of the exporters, has come in for widespread criticism.

A leading rice exporter Mr Vinod Agarwal, said the decision of the Union Government was too drastic and sudden and it would affect the image of India as a rice exporter in the international market, besides causing immense damage to the trade. He appealed to the Union Government to review the decision and at least give sometime for the trade to cope with it.