Firm demand supports Thai rice rates, while India prices remain steady in Asia
Published on: November 10, 2023.
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Rice Prices Increase in Thailand on Improved Demand
Prices of rice exported from Thailand rose this week on improved demand, while India rates remained steady amid muted activity and rising supplies from the new season crop.
Thailand’s 5% broken rice prices rose to $562-$570 per metric ton from $562 last week. The increase was attributed to strong demand as the year-end approaches, with more orders coming from Asian countries, including Indonesia and the Philippines. However, orders from Africa were still muted due to high prices. A new sizable supply is expected in mid-November because of favorable rainfall.
On the other hand, in India, 5% broken-parboiled rice prices were quoted at $490-$500 per ton, unchanged from last week. Demand remained slow with recent price corrections, and buyers are taking a cautious approach to assess future price direction. Last month, India extended a 20% export duty on parboiled rice until March 2024. The country’s rice output is expected to drop this year for the first time in eight years, leading to speculation that the government will extend export curbs to control food prices ahead of the elections.
In Vietnam, 5% broken rice prices remained unchanged at $650-$655 per metric ton. Supplies are expected to remain flat until the harvest, and farmers in Vietnam’s Mekong Delta have started planting for the largest winter-spring crop, with peak harvest expected in February. Preliminary shipping data showed a significant amount of rice to be loaded at Ho Chi Minh City port in the coming days, with the majority of it heading to Africa, Cuba, Indonesia, and the Philippines. Vietnam has seen a nearly 16% jump in rice shipments in the first ten months of 2023 compared to the previous year.
