Firm Indonesian Demand Supports Thai Rice Prices in Asia
Published on: April 11, 2024.
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Rice Export Prices Rise in Thailand
Prices of rice exported from Thailand rose this week, primarily due to strong demand from Indonesia. The price for Thailand’s 5% broken rice increased to $585-$590 per ton, up from last week’s $570. Demand from Indonesia played a key role in the price strengthening. Traders mentioned that new supply was still being harvested, and demand from Indonesia continued to support prices. Indonesian buyers have been sourcing rice from Thailand, Vietnam, and Pakistan.
Muted Demand Keeps Indian Rice Prices Low
Indian rice rates remained near a two-month low as demand remained subdued. The 5% broken parboiled variety from India was quoted at $540-$548 per ton. Last month, prices reached a record high of $560 after changes were made to the calculation method for the 20% export duty, resulting in a higher levy. A Mumbai-based exporter mentioned that while supplies in the local market were sufficient, demand from Asian and African buyers had slowed in recent days. Additionally, Indian exporters have received tax demands from the customs department, potentially impacting rice shipments.
Vietnam Rice Prices Stable with Rising Domestic Paddy Prices
Meanwhile, in Vietnam, prices for 5% broken rice remained stable at $580 per metric ton. Traders noted that domestic paddy prices had slightly increased as supplies showed signs of shrinking. Furthermore, rice production in some Mekong Delta provinces was under threat due to the intrusion of saltwater. Despite these challenges, Vietnam’s rice exports in the first quarter of this year increased by 17.8% compared to the previous year.
Bangladesh Allows Rice Imports to Control Prices
In Bangladesh, rice prices remained elevated despite good yields and record reserves. To control prices, the government has decided to allow private traders to import nearly 100,000 tonnes of rice. This measure aims to stabilize the market and ensure an adequate supply of rice.
