Saudi Arabia facing rice shortage

New Delhi -- India, the world's second-largest rice producer, may have to step in to relieve Saudi Arabia's rice shortage.

The Middle Eastern kingdom, the leading OPEC oil producer and one of the largest buyers of rice, has approached India to discuss the issue including the lifting of its rice export restrictions, the Press Trust of India reported.

The Council of Saudi Chambers of Commerce and Industry has been talking to Indian officials on the issue, Rajeev Shahare at the Indian Embassy in Riyadh, was quoted as saying.

Since March, India has stopped the export of all varieties of rice, except basmati, to rein in inflation.

Last year Saudi Arabia imported 960,000 tons of rice, with basmati accounting for 70 percent of the imports. India is the kingdom's main basmati supplier.

Copyright 2008 by United Press International.