NEW DELHI, Oct 23 Reuters India has removed the floor price for the export of nonbasmati white rice, the government said in an official order on Wednesday, to help farmers and exporters sell various grades of rice on the world market.

Buoyed by forecasts of higher rice output, farmers and rice exporters recently urged the government to remove the floor price for nonbasmati white rice exports that was imposed partly to ensure security of supply.

Last month, India gave the go ahead for exports of nonbasmati white rice to resume. But New Delhi set a floor price for nonbasmati white rice exports at 490 a metric ton.

Higher rice shipments from India, the world39;s biggest rice exporter, would bolster global supplies and soften international prices by forcing other major exporters such as Pakistan, Thailand and Vietnam to reduce their rates, trade and industry officials said.

Because of the floor price, Indian farmers and exporters were prohibited from selling some relatively cheaper grades on the world market, said Dev Garg, vicepresident of the Indian Rice Exporters Federation.

With today39;s decision, there is no such restriction now, Garg said.

Indian supplies will be more competitive as India can offer its 5 broken white rice at around 460 per metric ton, said B.V. Krishna Rao, president of the Rice Exporters39; Association.

India will be able to sell 25 broken white rice, which is usually offered at a sharp discount to 5 broken rice and sought by some African…