Policy brief criticizes India's knee-jerk food export bans, calls for more balanced trade policy to curb inflation

The Indian government has taken measures like export bans and stock limits to curb food inflation, but a policy brief argues this is a "knee-jerk" approach and calls for a more rational trade policy.
Wheat and rice inflation remained high despite export bans; wheat farmers bore the brunt of the sudden wheat export ban.
Non-basmati rice exports grew over 350% from FY20 to FY23; the export ban caused panic among the Indian diaspora abroad.
The policy brief analyzed trends showing increased offtake of wheat and rice under government schemes and higher exports amidst rising inflation.
The brief argues for considering both consumers and producers in formulating trade policies to contain inflation, rather than sudden export bans.

thehindu.com

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Posted 9/20/2023, 9:02:00 AM