India is one of the biggest producers of rice and thus various nations across the globe imports rice from India. If you are looking to trade with the USA on rice supply from India, then you need to understand the process and the procedures as there are various rules and regulations on export of rice from India to the USA by the government of both the countries.
What are the general requirements you need to fulfill?
There are various requirements that one needs to fulfill to export rice from India to the USA, within that criterion, the basic ones are as follows:
- The rice which will be exported to the USA from India can only be produced in the processing units which are registered under the NPPO or the National Plant Protection Organization, and they follow the procedures of the SOP.
- If you are a merchant exporter of rice from India and exporting the rice to the USA, you need the declaration form duly producing the proof of the rice being processed and procured from the mills which are registered. There should not be even a kilogram of rice from any mills which are not registered by the NPPO.
- For each consignment to the USA of rice from India, there should be a certificate of origin furnished by the exporter to proof the originality of the rice procured. The certificated has to be duly authorized by the government of India.
- The rice which is procured and authorized as original by the government and other regulatory bodies mentioned above will have to be exported according to the standards of USNOP.
Registration of the Mills
The mills of rice who wants to export their production to the USA have to apply to the DPPQS which is Directorate of Plant Protection, Quarantine, and Storage for the registration purposes of the unit/s (both processing and milling).
After the application, there will be a joint inspection of the units where the rice is produced, or milling is carried on. The representatives from DPPQS and the APEDA will continue the investigation to find out if the standards prescribed by them are followed by these mills and the processing units or not.
If the mills/processing units have certificates of Internationally Accepted Quality System and that also includes the HACCP/ISO 22000/SQF/BRC or the IPQC which is the In-Process Quality Control System by the EIC will be considered for the process of registration because of the fulfillment of the requirements pertaining to the Phytosanitary and the Sanitary needs according to the Form I.
These are the bodies which are stipulated by the USA to inspect the units and its quality of procured or the processed rice. After the inspection team provides the clearance report and submit their recommendation, the units will be registered.
Even after the registration of the mill’s units and the processing units, there will be continuous monitoring of them to keep the quality in check. When you export rice to the USA, the quality has to be according to their standards, and thus this continuous inspection of your products will go on.
Finding the suppliers in the USA
Once you are done with the regulatory measures of exporting rice to the USA from India, the next is to find the right suppliers in the USA. As your units are registered, you can also get easy access to export rice with the government’s intervention. You as a merchant trader might have to find a little harder to reach the right suppliers. Try to make the list of all the big suppliers and then try to understand their requirements. Once you have in talking terms with them, you can follow which kind of rice they want, etc. Try to get the detail information so that you can produce or/and procure the same quantity and quality of the rice.
Producing or Procuring Rice in India
To remain on the list of registered mills and the processing units, you need to –
- The hygiene of the storage place for the rice as well as the processing area.
- There should not be any infestation while exporting the rice.
- The packaging should be done in clean and good
- There should not be any other commodities mixed in the containers/rice.
- As a merchant trader, your responsibility will be to procure rice only from the NPPO registered mills.
- Prevent contamination of the rice by pilferage or mixing of other commodities.
- The merchant traders have to obtain the certificate of origin of the rice from the PSC issuing authority before shipping the consignment.
For shipping the rice to the USA from India, you need clearing agents in both the countries. Always ship rice with the reliable carriers so that the product doesn’t get destroyed or no pilferage can happen. There are charges and tax payments that you need to make before every consignment you send to the USA.
If you want to trade on the online platform, then there are such sites as well. The process includes contacting the online giants and shipping the rice through them as well as supplying to the customers as well.
Usually, the transit time by shipping of rice to the USA takes around seven days, but it depends on various factors and thus can fluctuate.
Rice from India is liked by most of the people across the globe because of its quality and the taste. With the globalization and rapid development, exporting rice from India to the USA has become less complicated, and thus you can quickly start an exporting business of rice to the USA from India. The profit percentage is noteworthy if you can manage to communicate with the right clients/customers or the wholes sellers in the USA. As mentioned above, always procure the rice from the registered mills/units of processing, and this is the way you can make your business expand by supplying the best quality rice within the possible price.