Vietnamese Rice Market Hits Record High
Surge in Vietnamese Rice Prices: Highest Rates Since 2008 Amid Limited Supply
This week saw a significant rise in the prices of parboiled rice from major global suppliers, primarily due to a scarcity of supplies. This increase has propelled Vietnamese rice rates to their highest point in over 15 years, subsequently causing a surge in the prices of the more affordable Indian rice, which reached a two-month peak.
On Thursday, the price for Vietnam’s 5% broken rice ranged between $660 and $665 per metric ton, marking the highest rate since mid-July 2008, and showing a notable increase from last week’s $655 to $660.
A trader in Ho Chi Minh City attributed the price hike to the constrained supply of rice. Recent shipping data revealed that from December 1 to 20, approximately 162,800 tons of rice are scheduled for shipment from Ho Chi Minh City port, primarily destined for Indonesia, the Philippines, and Cuba.
Indian Rice Market Responds to Global Trends
Indian Rice Prices Follow Global Upward Trend, Peak Prices in Two Months Influenced by International Market
In tandem with the global trend and concerns over production, Indian rice export prices also escalated. The 5% broken parboiled variety from India was priced between $505-$512 or €458-€465 per metric ton this week, the highest in two months, rising from $499 to $506 the previous week.
The increase in Indian rice prices is reportedly driven by a spike in orders from the Philippines. Indonesia has expressed interest in purchasing 2 million metric tons of rice from Thailand, as conveyed in a letter to the Thai Prime Minister Srettha Thavisin on Monday.
With the current reduction in supply and the anticipation of more rice entering the market in the early part of the next year, traders are closely monitoring the situation.
Conclusion
The global rice market is currently experiencing a notable shift, highlighted by the significant price increases in both Vietnamese and Indian rice. The Vietnamese market, seeing its highest rates in over 15 years, reflects a tight supply situation that is influencing prices globally. Concurrently, the Indian rice market is responding to these international trends, with prices reaching their highest in two months. This situation is further compounded by increased demand from countries like the Philippines and Indonesia’s intent to purchase a substantial amount from Thailand. As the market anticipates more rice entering early next year, traders and countries alike remain watchful of these evolving dynamics, understanding that these trends have significant implications for global food security and trade.
Import/Export Statistics
Please click to reach our marketplace