High shipping expenses negatively impact Indian rice prices in Asia.
Published on: June 28, 2024.
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Indian rice exporters are facing a decline in demand and falling prices due to increased freight charges. This comes as buyers are forced to shift from container shipments to break bulk due to a surge in container freight rates. Even break bulk rates have increased, causing buyers to hesitate.
Thailand’s rice market is also experiencing a drop in prices, primarily due to the exchange rate and slower demand. Vietnam, a major rice exporter, is offering more competitive pricing, making it challenging for Thailand to sell rice at higher prices.
Vietnam’s rice prices, on the other hand, have seen a slight increase. This can be attributed to the decision by the Philippine president to cut import tariffs on rice. However, prices are not expected to rise significantly due to ample supplies and a good harvest.
It is important for Indian rice exporters to adapt to the changing market conditions and find ways to remain competitive. This could involve streamlining logistics and exploring new markets for their products.
Overall, the rice export market is experiencing fluctuations in prices and demand, with various factors such as freight charges, exchange rates, and competition from other countries influencing the dynamics. It will be crucial for exporters to carefully manage these factors to maintain profitability and stability in the industry.
Source: [BRecorder](https://www.brecorder.com)
