Lack of rains in Tamil Nadu drive up rice prices by over Rs 20/per kg

CHENNAI: Traders have called for a ban on rice exports as prices across the state have risen sharply by Rs 20 to Rs 27 per kg.

Poor weather conditions have affected paddy farmers over the past few months, driving prices up during the same period. With reduced paddy yields leading to a shortage, the price of 26-kg bags of rice has increased by Rs 300 to Rs 600, depending on the variety.

Rice required in Tamil Nadu is sourced from the Cauvery delta districts, including Thanjavur, and Madurai, Villupuram, Vikravandi, Salem and Kallakurichi. Supplies also come from neighbouring states Andhra Pradesh and Karnataka, and West Bengal.

Ponni surges

Traders stated that prices have risen particularly sharply for boiled Ponni rice, raw rice, and parboiled rice processed using steam, commonly known as steam rice. In July, a 26-kg bag of boiled Ponni rice was priced at Rs 1,400. In October, it saw a jump of Rs 500, costing Rs 1,900. Similarly, a 26-kg bag of RNR Ponni rice was priced at Rs 1,700 in July. Today it costs Rs 1,700.

Increase of Rs 20 to Rs 27 per kg

Based on the prices of the rice bags mentioned above, the price of rice has increased by Rs 20 to Rs 27 per kg.

Commenting on the rise in rice prices, Sankaralinga Nathan, owner of Nathan Traders in Chennai's Kothwal Chavadi, said, "Paddy yields have declined due to inadequate rainfall in Tamil Nadu, West Bengal and neighbouring states such as Andhra Pradesh and Karnataka, pushing up rice prices."

"Similarly, rice exports from India to foreign countries are currently continuing without restrictions. As a result, traders buy rice here using rupees and sell it in dollars, earning substantial profits. This has also contributed to the rise in rice prices. Therefore, a ban on rice exports could be expected to bring prices down," the trader suggested.