Translated by:TokyoSakura

(resource: Bing)

May 14 CCTV news reported that on the evening of May 13, local time, in order to control the country’s domestic market commodity prices, to ensure adequate domestic food supply, the Indian government announced an immediate ban on wheat exports.

India’s Directorate General of Foreign Trade issued a notice stating that the immediate implementation of the wheat export ban. The notice also said that in order to ensure food security needs, those countries that request and obtain authorization permits from the Indian government will be able to continue to obtain India’s exports of wheat. India is the world’s second largest wheat producer. According to “Hindustan Times” report on the 10th, in the fiscal year 2021 to 2022, which ended in March, India’s total wheat exports hit a record high of 7.85 million tons, an increase of 275%.

Russia and Ukraine are both major wheat exporters, with their combined wheat exports accounting for nearly 30% of total global wheat exports. After Russia’s invasion of Ukraine, the global food supply chain was tightened and food prices went up. India is the only major supplier of wheat during this period of the year. However, domestic wheat prices in India have been rising recently due to unfavorable weather and international markets. On one hand, India suffered rare hot weather in mid-March, affecting wheat production. The Indian government has lowered this year’s expected wheat production to 105 million tons, down 5.7% from the expected figure made in February. On the other hand, in anticipation of strong export demand, private grain traders bought a lot of wheat. A variety of factors led to India’s domestic wheat prices climbing to the highest level in 10 years in April, up 6.95% year-on-year..

About 50 countries currently rely on imports from Russia and Ukraine to secure 30 percent or more of their wheat supply, mostly LDCs or low-income food-deficit countries in North Africa, Asia and the Near East. For these countries, the food security situation is particularly critical. Before that, Indian Foreign Minister Su Jaisheng said India could act as a wheat exporter to make up for the global shortage due to the situation in Ukraine, according to an April 26 report by the satellite news agency New Delhi cited by Reference News.

Buyers of Indian wheat are usually concentrated in South Asia, Southeast Asia, the Middle East, Europe and North Africa. Egypt, the world’s largest wheat importer, also began buying wheat from India for the first time last month due to a sharp drop in wheat supplies from Eastern Europe as a result of the conflict between Russia and Ukraine. Traders said India also began exporting wheat to other new markets such as Israel, Turkey, Indonesia, Mozambique and Tanzania this year.

The U.S. Department of Agriculture’s (USDA) recently released Global Agricultural Supply and Demand Report estimates that in 2022/23, global wheat production will total 774.8 million tons, 4.5 million tons less than in 2021/22, and will be the first decline since 2018/19. In the 2021-2022 fiscal year, which ended in March, India’s total wheat exports hit a record high of 7.85 million tons, up 275 percent year-on-year, the Hindustan Times reported on 10 March.

After Russia and Ukraine left a wheat supply gap, other countries failed to fill the market gap in time, and only a few countries such as Canada increased production. In 2022/2023, the wheat production of EU, India, Australia and Argentina may be 136 million tons, 109 million tons, 30 million tons and 20 million tons, all less than last year’s. The sudden announcement of India to immediately ban wheat exports will definitely have a huge impact on the international food supply, which will be catastrophic for the Chinese Communist Party, which has long relied on importing various kinds of food. The food shortage is imminent and cannot be avoided.

resource【突发!印度禁止小麦出口,立即生效,全球粮价飙涨又被“火上浇油”?】

Edited by:TokyoSakura
Posted by:TokyoSakura/yuxingcao01