Flour Becomes Costlier in Singapore Due to Ban on Wheat Export in India
According to the recent news, Singapore’s restaurants are experiencing the effects of the prohibition on wheat shipments to India. Also, the Punjabi community, particularly the community that enjoys roti, is suffering. Due to an increase in demand over the previous few weeks, according to supermarket chain Fair price, there has been a shortage of wheat flour. Possible causes for this situation include limitations on the export of wheat and flour from India. Let’s explain the notification in detail.
Flour Becomes Costlier In Singapore Due to Ban on Wheat
As per the recent notification, Singapore’s restaurants are experiencing the effects of the prohibition on wheat shipments to India. A story in the media that was published recently claims that the Punjabi community is in trouble, especially the roti-eating community. According to grocery chain Fair price, there has been a shortage of wheat flour because of an increase in demand during the preceding several weeks. Limitations on the export of wheat and flour from India are one possible reason for this issue.
The Straits Times reported that Fair price suppliers are now obtaining wheat flour from a number of nations, including Sri Lanka, Australia, Canada, and the US. The lack of (wheat) flour would negatively impact our business, according to Mathavan Adi Balakrishnan, managing director of Shakuntala, a well-known restaurant here. We are unable to fully pass on the cost to our customers. The prices must be kept as low as possible.
The restaurant used to purchase wheat flour from India for five Singapore dollars (US$ 3.48) per kg, but now the cost of the flour from Dubai is 15 Singapore dollars (US$ 10.45) per kg.Singapore imports 2-2.5 lakh tonnes of wheat and 1-1.2 lakh tonnes of wheat flour annually, according to data from the UN.
According to the Global Import Export Data, Singapore accounted for 5.8% of all wheat flour imported from India in 2020.
Major Effects of the Ban on Wheat Export in India
Singapore’s restaurants can already see the impact of India’s restriction on wheat exports starting in May. According to a media article that was released on Tuesday, the Punjabi community, particularly the community that enjoys roti, is suffering. According to supermarket chain Fair price, there has been a shortage of wheat flour recently because of rising demand. Possible causes for this predicament include limitations on the export of wheat and flour from India. The Straits Times reported that Fair price suppliers are now obtaining wheat flour from a number of nations, including Sri Lanka, Australia, Canada, and the US.
The lack of (wheat) flour would negatively impact our business, according to Mathavan Adi Balakrishnan, managing director of Shakuntala, a well-known restaurant here. We are unable to fully pass on the financial burden to our clients. The pricing must be kept as low as possible. For wheat flour from India, the restaurant used to pay five Singapore dollars (US$3.48) per kg, but now it must spend 15 Singapore dollars for flour from Dubai. ($10.45) per kilogramme.
According to the Singapore Import Data, Singapore imports 2-2.5 lakh tonnes of wheat and 1-1.2 lakh tonnes of wheat flour yearly, according to figures from the UN. According to The Business Times, Singapore accounted for 5.8% of all wheat flour imported from India in 2020.
According to a media report, the cost of importing comparable in quality staple north Indian basic food material from other countries has increased by three times as a result of India’s ban on wheat exports since May, which has hurt Singapore eateries serving soft chewy chapati, mostly for Punjabis.
According to S. Mahenthiran, director of Gayatri, a well-known eatery in Singapore’s Little India district, “it will be a major adjustment, especially for people like Punjabi labourers who consume up to six chapatis per meal every day.”
The majority of Mahenthiran’s clients are employees from Punjab. Alternatives are being sought after by local retailers that mostly import wheat flour from India. The Serangoon Road megastore Mustafa Centre is looking to import wheat flour from the British Isles and the Middle East.
According to information from the UN, Singapore imports between 200,000 and 250,000 tonnes of wheat and between 100,000 and 120,000 tonnes of wheat flour every year. According to The Business Times, 5.8% of Singapore’s total imports of wheat flour came from India in 2020.Australia, the United States, and Canada supply the majority of the city-imports states of wheat flour.
Further, it only makes up a small part of all imports; wheat flour from India is sought after by Indian restaurants in our country because it creates soft and chewy chapati, an Indian staple.
After a heat wave dried up crops and reduced the supply of wheat, India, the second-largest producer of wheat in the world, stopped exporting train and its flour in May. This was done in an effort to control the rapidly rising domestic prices.
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