CAIRO: Egypt will ban rice exports again as of Sept. 1. to satisfy domestic consumption, the ministry of trade and industry said on Thursday.
Egypt is expected to produce 2.7 million tonnes of white rice in the 2015-2016 season while its annual consumption is estimated at 3.6 million tonnes.
The 750,000-tonne gap will be filled by stocks, the ministry said in a statement.
Egypt had allowed the export of its medium-grain rice last October with a tariff payable to the government for every tonne exported.
Thursday’s statement said any export licenses granted according to the 2014 allowance could still be used.
In October Egypt said it would allow the export of rice on condition that traders sell the government one tonne of rice at 2,000 Egyptian pounds ($255.43)for every tonne of rice they export. Exporters also had to pay a tariff of $280 on every tonne exported.
Egypt produced around 4.3 million tonnes of rice in the 2014 season.
Egyptian medium grain rice mainly competes with U.S., Russian and Italian rice on the international market.
Traders had argued the tariff imposed made exports non-profitable.
