Dwindling rice stores, steady appetite push India prices to record highs

The surge in parboiled rice prices from India comes amid concerns over the country’s rice output. With the first expected decline in eight years, there’s heightened attention on New Delhi’s potential extension of export curbs to stabilize food prices. The evolving situation underscores the delicate balance between meeting international demand and ensuring domestic food security, especially as political considerations become increasingly relevant in the lead-up to elections.

In Vietnam, the decrease in 5% broken rice prices is influenced by the anticipation of a stronger supply from the upcoming winter-spring harvest. Traders are closely monitoring the situation, with the Mekong Delta’s harvest expected to peak in March. The slower trading activity reflects buyers’ cautious approach, waiting for potential further price adjustments before engaging in significant transactions.

Thailand’s 5% broken rice prices saw a modest decline, driven by a weakening baht. However, the market saw a boost from domestic activity and a substantial order from Indonesia, showcasing the delicate interplay between currency fluctuations and external demand. As Thailand navigates economic dynamics, these factors will continue to shape its rice export landscape in the coming weeks.