CM urged to remove MEP on basmati
Parveen Arora
Tribune News Service
Karnal, August 16
Days after raising their concerns before Union Power Minister Manohar Lal Khattar, exporters have now urged Chief Minister Nayab Singh Saini to remove the Minimum Export Price (MEP) condition on basmati exports, which they claim, is hampering the exports and making it difficult for them to compete in the international market. They said the removal of MEP will help in boosting exports.
A delegation led by Vijay Setia, former president, All India Rice Exporters’ Association, met Chief Minister Saini recently and highlighted the challenges being faced by the exporters and farmers.
Setia emphasised that the MEP at $950 per tonne set by the Union government is too high, particularly when compared to Pakistan’’s MEP, which stands at just $700 per tonne.
“Several basmati varieties cannot be sold above $750 per tonne, making it difficult for Indian exporters to remain competitive. The current MEP of $950 per tonne is especially detrimental to exports of the 1509 variety. If the MEP is removed, the farmers will also get good prices. The prices could increase from the current Rs 2,300 per quintal to Rs 2,700-2,800 per quintal,” Setia explained.
Setia suggested that the market fee, which is a state subject, can be reduced from 4 per cent to 1 per cent, benefitting the farmers.
