Thai rice rates in Asia reach highest levels in 15 years
Published on: December 29, 2023.
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Prices of rice exported from Asian countries have seen an increase due to supply constraints. Thai rice prices have reached a fifteen-year high, with the 5% broken variety quoted at $655-$660 per metric ton, the highest since October 2008. This year, Thailand’s rice prices are projected to have their biggest annual gain since the early 2000s, up around 41% so far. Demand from Indonesia and the Philippines has contributed to the surge in prices.
India’s parboiled rice prices have also risen to a two-month peak due to limited supplies and increased prices offered by other countries. India’s 5% broken parboiled rice was quoted at $508 to $515 per metric ton, the highest level since 2004. India’s rice output is expected to decrease this year, potentially leading to export curbs to manage food prices ahead of elections.
Vietnam’s 5% broken rice prices have seen a slight decrease, with prices offered at $653 per metric ton. Vietnam is projected to have the highest yearly gains at 44% so far. Traders are waiting for new supplies from the Winter-Spring crop, leading to a tepid market.
In terms of export destinations, Vietnam’s rice is expected to be in demand in the first half of 2024 from countries such as the Philippines, China, and Indonesia. However, exports to Ghana and Egypt may see a slight decline.
Overall, rice prices in Asian countries have seen an upward trend due to supply constraints and increased demand from overseas. These price increases have implications for international rice trade and highlight the need for careful management of exports to ensure food security.
