India signs deal with China for export of rice

India on Saturday signed a protocol with China for export of both Basmati and nonBasmati rice varieties in the presence of Prime Minister Narendra Modi.

Under the protocol, rice exported to China will have to comply with Chinese quarantine laws and regulations. The Indian department of agriculture will ensure the rice exported is free of six identified pests that are of concern to China. Each batch of rice being exported has to be accompanied by a certificate issued by the agriculture ministry, stating that it complies with the phytosanitary requirements of China.

The certificate will also state the place of origin of the rice in India. The department of agriculture, cooperation and farmer welfare under the ministry of agriculture will ensure the required phytosanitary conditions are met, during storage and processing. Such conditions will also be ensured during plantation.

The protocol will remain in force for three years, with automatic extension for another three, unless one side decides to terminate or amend it two months before expiry.

In March, China had given a commitment to accelerate market access for Indian non-basmati rice, rapeseed meals, soya meals, pomegranate and pomegranate arils, okra, banana¸ and other fruits and vegetables, as well as bovine meat.

China had also agreed to resolve issues relating to export of Indian pharma products. Over 240 pharmaceutical applications from Indian exporters were pending with China.

India, in turn, had agreed to accelerate the provision of market access to Chinese pears, tagetes (marigold) seeds, and apples. It had, in May 2017, put restraints on import of these products after sanitary and phytosanitary (SPS) concerns. Prior to this, India had been importing about $70 million worth apples and $30 million pears.

The two countries are the largest emerging economies of the world, with 35 per cent of the world’s population and around 20 per cent of the world’s GDP, but the relative volume of bilateral trade is less than 1 per cent of global trade.