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 Home>>>Business 

Ban on export of agri commodities short term measure: Montek 

Agencies

New Delhi, April 22: The Planning Commission today said ban on exports of some commodities is not intended to be a long term measure, but a short term step to check soaring prices.

"I don't think the government intends to use ban on exports as a long term strategy for management (of prices)," Planning Commission Deputy Chairman Montek Singh Ahluwalia told reporters here on the sidelines of a seminar.

He said ban on exports became necessary as the country faces "truly exceptional set of circumstances".

"We never had a situation where you had a 100 per cent increase in prices of wheat and rice. As a result several countries have done the same thing (ban).

"In the long run I would not favour managing agricultural trade by imposing ban. I don't expect it to continue for long," Ahluwalia said.

The government has banned export of non-Basmati rice, wheat, pulses and edible oils to control rise in their domestic prices.

He denied that the trade restriction would reduce the agricultural growth rate. "The growth rate is the consequence of a lot of actions taken on increasing production," he said.

Although the government has imposed a ban, the price that farmers are getting is much better than they got last year, he said, adding the price is very good.

However, the Planning Commission also said, had there been no ban on export, farmers would have got a far better price.

"You have to look at consumers' interests. We are balancing the interests of both producers and consumers," he said.

 

 
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