NEW DELHI, INDIA — India is requiring traders to secure permission before exporting wheat flour and related products, Reuters reported, citing a published government notice.
In May, India banned wheat exports amid falling output due to a scorching heat wave and a surge in domestic prices. After the ban, demand for wheat flour jumped from neighboring countries struggling to secure wheat at lower prices from other suppliers.
The government has restricted the export of wheat flour and other related products, such as maida, rava (samolina), wholemeal atta and resultant atta. All exporters will need to seek prior permission from an inter-ministerial committee on wheat exports before any outbound shipment is made. According to a Directorate General of Foreign Trade notification issued on July 6, the curbs will begin July 12.
Russia’s invasion of Ukraine on Feb. 24 and subsequent blockade have caused the world’s wheat prices to skyrocket and led to grave concerns about food shortages, particularly in poorer countries that rely on the Black Sea countries for the commodity. Russia and Ukraine account for roughly 30% of the world’s wheat supplies.
India had been expecting a bumper wheat crop until abnormally high temperatures put a dent in yield projections and dashed hopes for greater exports to meet world demand.
Unlike wheat, India has not outright banned the export of wheat flour and related products. Wheat flour prices have actually stabilized since May 13, when the wheat export ban was initiated.