Date:12/11/2007 URL: http://www.thehindubusinessline.com/2007/11/12/stories/2007111250841500.htm
Back Fresh hurdle to rice exports from Kakinada

Our Bureau

Kakinada, Nov. 11

The travails of the rice exporters here are far from over. Though the way has been cleared for resumption of rice exports from Kakinada anchorage (old) port, with the Union Government allowing the export of rice stocks stored in the warehouses till October 10 for export purposes subject to the State Government’s permission, still some hurdles persist.

The Director-General of Foreign Trade has laid down the condition that the State Government should certify the rice stocks and clear the rice shipments. The Civil Supplies authorities here are insisting that the exporters who have bought the rice from the millers should prove that the rice is of the non-levy quota.

(Every miller has to supply the FCI a stipulated quantity as levy for the buffer stock and then is given the permit to sell the rest in the open market (domestic) or sell it for export purposes.)

The exasperated exporters contend that it is not their duty to find out whether the miller is selling them rice after fulfilling the statutory obligation of providing the levy and it is for the Civil Supplies authorities to find it out. “We are the end receivers and it is not for us to obtain documentary evidence from the miller that he is meeting the levy target,” says an exporter.

Mr D. Bhaskara Reddy, president of the Andhra Pradesh Rice Millers’ Association, is also critical of the Civil Supplies authorities for holding up rice shipments on the ground. “If any miller is at fault, the authorities can act against him. The exporters should not be made to suffer, after obtaining the clearance from the Union Government,” he said.

At present, seven vessels are being loaded with rice at the anchorage port and loading into a ship is held up for want of clearance. The exporters here are hopeful that the State Government will soon clear the hurdle and speed up the process, as they are incurring heavy demurrages.

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