Non-basmati white rice and broken rice, which make up nearly half of all Indian rice exports, were banned from export on July 20. Ships that were loaded could still depart from ports. Only basmati rice may then be exported after that.India has surpassed Thailand and Vietnam to become the world’s greatest exporter of rice in the past 15 years, with an estimated 20 million tonnes in 2022.
More than three billion people depend on rice as a staple food, therefore the ban has further impacted the global rice market. Since September 2022, rice prices have already increased by 15-20% owing to the conflict between Russia and Ukraine, which has also increased the price of other grains. The market is significantly impacted if the top two rice kinds are no longer exported.
After India imposed additional restrictions on parboiled and basmati rice over the previous weekend, rice prices in Asia spiked back up to their highest point in nearly 15 years on Wednesday. They were the final types still exempt from export limitations, capping a recent campaign of tightening that began with a prohibition on the shipment of some grains on July 20.
An additional worry is that a lack of monsoon rains could lead to further price increases on the world rice market. Rice exports from India have either seen tariff increases or a complete standstill. The average price of rice on the world market is currently $646 per tonne, but prices may rise further as a result of crop damage from less rainfall.Rice, a staple in the diets of billions of people worldwide, is consumed in many regions of Southeast Asia and Africa, accounting for up to 60% of daily caloric intake. A drought warning has already been issued for Thailand, prompting worries about potential price increases.
We are sorry that this post was not useful for you!
Let us improve this post!
Tell us how we can improve this post?