Inter-state trading of Rakhine rice banned

Thursday, 21 January 2010 20:07 Khain Suu

New Delhi (Mizzima) - Trading in rice grown in Rakhine State to other States has been banned since the second week of January, an official of the Rice Traders’ Association said.

“The authorities banned inter-state trading in rice last week and started checking rice being transported to other States at checkpoints. Rice can be transported to other States for consumption, but not for trading,” the official of the State Rice Traders’ Association told Mizzima.

Normally, the rice grown in Rakhine (Arakan) State is more than enough for the State, so surplus rice is transported to other States in Burma such as Magwe, Rangoon and even Bangladesh. Now it stands banned.

The ban has surprised rice traders as there is no price hike and no rice shortage in the region.

“Usually the authorities ban transportation of rice to other areas when the rice price soars in Rakhine State and relaxes the ban when the rice price dips. One wonders why it is banned when rice price is stable in Rakhine State,” said a rice trader and member of Rice Traders’ Association in Sittwe.

After the junta assumed power in 1988, it occasionally imposes restriction on rice trading in the country.

Junta delegates its powers to impose restriction on rice trading and transportation to the military regional command commanders taking into consideration the stability in their administrative regions, a military source said.

The current rice prices in Sittwe are Kyat 12,000 (US $12) per bag for Emetha, Kyat 13,000 per bag for San Gyi, Kyat 14,000 per bag for Shwe Wah Tun, Kyat 17,000 per bag for Paw San Hmwe, Kyat 9,000 per bag for Nga Sein and Kyat 15,000 per bag for Mee Done.

Consequent to the ban order, the price of rice in Rakhine State may decrease, rice traders speculated.

The rice output in Rakhine State with a population of three million was about 36 million baskets last year and the consumption in the State is about 21 million baskets, according to statistics of the Rice Traders’ Association.