The Indian government has announced that it would allow duty-free import of rice as part of its efforts to check a rise in food prices, which have fuelled inflation in the country.

Finance ministry sources have revealed that Duty-free rice imports would be allowed for a year, cutting down the earlier imposed duty of 70 %.

India had earlier raised the minimum price for non-basmati rice exports to $650 PMT, FOB from $500, in a move to slow down sales overseas.

India produces 90 million MT of rice annually.