India’s rice consign curbs to recommendation competitors
India’s decision to curb the rice export due to lower acreage driven by weak monsoon have helped other competitors such as Vietnam and Thailand, in marking record exports this year with bumper crop.
An expected fall in rice production due to prevalent drought has pushed India out of the rice export market. Meanwhile, the rice prices in the international market are expected to dip as the higher stockpiles that have been accumulated in Vietnam and Thailand would bring down the prices.
Following a government program to support domestic prices and keep farmers in the business, Thailand -the biggest rice exporter in the world - has accumulated record stocks of about 7 million tons of milled rice this year.
But the absence of key rice exporters India in overseas markets will help Thailand find enough demand for its produce and avoid a supply glut. Despite a record harvest of 99.15 million tons last year, India has banned the export of rice, except in the case of premium varieties such as Basmati rice costing $900/ton and above.
“We will exceed our previous export target for this year of 5 million tons, on increasing demand from Africa, Malaysia and the Philippines,” Huynh said. “Indonesia has been slow so far, as they have good stocks but there are expectations they may come back to the market later this year.”
An expected fall in rice production due to prevalent drought has pushed India out of the rice export market. Meanwhile, the rice prices in the international market are expected to dip as the higher stockpiles that have been accumulated in Vietnam and Thailand would bring down the prices.
Following a government program to support domestic prices and keep farmers in the business, Thailand -the biggest rice exporter in the world - has accumulated record stocks of about 7 million tons of milled rice this year.
But the absence of key rice exporters India in overseas markets will help Thailand find enough demand for its produce and avoid a supply glut. Despite a record harvest of 99.15 million tons last year, India has banned the export of rice, except in the case of premium varieties such as Basmati rice costing $900/ton and above.
“We will exceed our previous export target for this year of 5 million tons, on increasing demand from Africa, Malaysia and the Philippines,” Huynh said. “Indonesia has been slow so far, as they have good stocks but there are expectations they may come back to the market later this year.”
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