Record High Rice Rates in India
Published on: January 27, 2024.
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Rates of parboiled rice exported from top hub India reached record highs this week due to limited supplies and steady demand from Asian and African buyers. While prices eased in Vietnam and Thailand, India’s 5% broken parboiled rice variety was quoted at a record $533-$542 per ton, up from last week’s $525-$535. The limited supplies in the market are a result of the government’s paddy buying, which leaves little for private players. Additionally, rice milling of the new season crop is currently underway, further reducing the availability of milled rice. As a result, India’s rice output is expected to drop this fiscal year for the first time in eight years. This raises the prospect of New Delhi extending curbs on exports of rice to control food prices in the lead-up to elections.
In Vietnam, the 5% broken rice was offered at $630 per metric ton, down from $653 per ton a week ago. Traders have noted that domestic supplies are accumulating and that the harvest has partially begun in the Mekong Delta, which is expected to peak in March. Buyers are currently waiting for prices to fall further in anticipation of stronger supplies from the upcoming winter-spring harvest.
Meanwhile, Thailand’s 5% broken rice prices were quoted at $663-$665 per ton, slightly lower than $665 last week. The softening of prices is due to a weakening baht. However, there is still domestic activity and a fresh order for 0.5 million tonnes from Indonesia, which has helped buoy prices.
Rice prices in Bangladesh have remained elevated despite good yields and record reserves. This prompted Prime Minister Sheikh Hasina to issue orders for immediate action against rice hoarders.
Source: [ARY News](https://arynews.tv)
