960419

India to export wheat

NEW DELHI: Indian traders on Friday welcomed the decision of the government authorising export of one million tonnes of wheat in 1996/97 (April-March).

"It is a very positive measure. It will help exporters," said Rashmi Bhimjyani, a leading Bombay foodgrains trader.

A senior official of the Agricultural and Processed Food Products Export Development Authority (APEDA) said earlier on Friday that the government had authorised the export of one million tonnes of wheat in 1996/97.

"It is an interim order," APEDA director J.S. Raju told agency. Wheat exports must be cleared through state-owned APEDA.

Raju said all applications received from exporters through April 26 would be considered for issue of permits.

Last year India authorised the export of 2.5 million tonnes of non-durum wheat in 1995/96. The authorisation was extended through June 30, 1996.

Officials say most of the 2.5 million tonnes had been contracted for sale but actual shipments, estimated at 500,000 tonnes, had lagged because of congested ports.

Bhimjyani said Indian wheat was in demand in the Middle East and Africa.

"It is a question of selling and marketing," he said.

Traders said Indian semi-hard wheat was being quoted around $175 per tonne against an average international price of $220.

"There is a lot of demand for Indian wheat all over," Raju said.

The state Food Corporation of India (FCI) said this week it expected to procure a record 13 million tonnes of wheat from farmers during the 1996/97 rabi (summer) crop marketing season.

The rabi wheat crop, currently under harvest, is marketed between April 1 and mid-June.

In 1995/96, FCI procured 12.3 million tones of wheat.

The agriculture ministry said on Thursday India's foodgrains output in 1995/96 (July-June) was likely to reach a record 192.6 million tonnes, up from 191.1 million in 1994/95.

It said wheat production in 1995/96 was expected to be 66.21 million tonnes against a target of 60 million tonnes.-Reuter