Global Rice News

Pakistan’s rice exports are set to reach record levels in the coming months due to India’s decision to restrict its own shipments. This has prompted buyers to turn to Pakistan, which is offering rice at near 16-year high prices. The surge in exports is helping to address tight supplies caused by India’s restrictions and will also boost Pakistan’s foreign exchange reserves. Pakistan’s Rice Exporters Association has reported strong demand for rice in recent months, primarily due to India’s ban on exports. The country’s exports are predicted to reach 5 million metric tons in the 2023/24 financial year, up from 3.7 million tons the previous year. Some industry experts are even more optimistic, forecasting exports of 5.2 million tons due to improved production. Basmati rice exports are expected to rise by 60% this year to 950,000 tons, while non-basmati exports could surge by 36% to 4.25 million tons. In terms of value, Pakistan’s rice exports could exceed $3 billion this year compared to $2.1 billion the previous year. Pakistan is now offering non-basmati rice at a higher price than India, leading buyers to switch to Pakistan. Despite increased production, local prices are gradually rising. Pakistan currently exports non-basmati rice to Indonesia, Senegal, Mali, Ivory Coast, and Kenya, and basmati rice to the European Union, Qatar, and Saudi Arabia. Vietnam, Thailand, and Pakistan are attempting to fill the gap left by India in the global rice market, but Pakistan has the advantage of being closer to buying countries in the Middle East, Europe, and Africa. It is expected that India will review its export restrictions after the upcoming elections in May, but Pakistani exporters have already sold the majority of this year’s shipments and are expected to complete sales by the end of May. Pakistani farmers have been receiving record prices for their paddy, which is likely to encourage them to increase planting in the next season, leading to a further surplus for exports if weather conditions permit.