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Vietnam, India curb rice exports as prices double
Web posted at: 3/29/2008 4:15:10
Source ::: Reuters
Hanoi/new delhi • Major rice exporters Vietnam and India yesterday said they will curb overseas sales more in an effort to combat food inflation, threatening to heighten the world's anxiety over staple food supplies.
Hanoi confirmed it will cut rice exports by 22 percent this year from last. India raised the minimum sale price for rice exports by more than 50 percent, effectively ending overseas sales of all but the highest quality grades.
These are the latest measures by governments from Manila to Cairo to ensure sufficient supplies for their populations at a time when global stockpiles have halved and prices have doubled to multi-year highs.
While consumer nations like the Phillippines fret over food security, big producers are aiming to tame inflation by keeping more supplies at home to drive down domestic prices.
In Vietnam, consumer prices rose by nearly 20 percent in March, the highest in more than 12 years, while India's wholesale price inflation has surged to a near-14 month high, posing a major policy challenge.
Vietnam, the world's second-biggest exporter, will limit rice shipments to 3.5 milliion tonnes, down from 4.5 million last year.
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