India examining allowing some rice export cargoes trapped at ports - govt source

NEW DELHI (Reuters) -India is considerallowing the overseas shipment of some rice cargoes stuck at ports after the world's biggest exporter of the grain imposed restrictions earlier this month, a government official said on Wednesday on the condition of anonymity.

To boost local supplies and calm prices after below-average monsoon rainfall curtailed planting, India banned exports of broken rice and imposed a 20% duty on exports of various other types on Sept. 8.

At least 20 ships are waiting to load around 600,000 tonnes of rice at the ports after being trapped for nearly a fortnight, forcing sellers to pay demurrage charges, industry officials told Reuters this week.

Another 400,000 tonnes of rice are stuck at port warehouses and container freight stations even though contracts are backed by letters of credit, an industry leader said.

The stuck broken rice shipments were heading to China, Senegal, Senegal and Djibouti, while other grades of white rice were bought by buyers in Benin, Sri Lanka, Turkey and the United Arab Emirates.

(Reporting by Mayank Bhardwaj, Editing by Louise Heavens)