India starts supplying rice to Sri Lanka in first major food aid
A Navy officer stands in front of India's and Sri Lanka's national flags as Indian Coast Guard Ship (ICGS) Shoor is in the Colombo port during its visit in Colombo, Sri Lanka April 2, 2018. REUTERS/Dinuka Liyanawatte/File Photo
Highlights:
- Traders start loading 40,000 T rice from southern India
- Rice shipments will reach Sri Lanka before key festival
- India to ship at least 300,000 T rice to Sri Lanka in 2022
- Shipments could augment supplies, ease prices in Sri Lanka
Indian traders have started loading 40,000 tonnes of rice for prompt shipment to Sri Lanka in the first major food aid since Colombo secured credit line from New Delhi, two officials told Reuters on Saturday.
The Indian Ocean island nation of 22 million people is struggling to pay for essential imports after a 70% drop in foreign exchange reserves in two years led to a currency devaluation and efforts to seek help from global lenders.
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The shipment of the staple comes before a key festival in Sri Lanka.
