Vietnam’s Price Decline
Vietnam’s export rice prices declined in Asian trade over the past week, reaching a one-year low, according to traders and analysts. Vietnam’s 5 percent broken rice was priced at $0,55-$0,56 per kg during the review week, down from $0,57 per kg a week earlier. A trader based in Ho Chi Minh City noted that trading activity remained sluggish due to rains affecting the harvesting in the Mekong Delta. However, prices are expected to rise next week as exporters anticipate that Indonesia’s state-run procurement agency, Bulog, will purchase 320,000 tonnes of rice in early August.
India’s Rice Export Prices See Slight Increase
In contrast, India’s rice export prices rose as demand improved slightly. India’s 5 percent parboiled rice is quoted at $0,55 per kg, up from $0,54 per kg the previous week, which was a four-week high. A trader mentioned that African buyers are gradually returning to the market as transportation costs have decreased. Additionally, government sources indicated that India might reduce the floor price for basmati rice exports and convert the 20% tax on parboiled rice exports into a fixed duty, as the country’s rice stock has reached a record high.
Thailand’s Stable Prices and Bangladesh’s Improving Supply
Thailand’s 5 percent parboiled rice is quoted at $0,57 per kg, compared to $0,58 per kg a week ago. A Bangkok-based trader explained that the recent price stability resulted from changes in the exchange rate, although demand remains sluggish. Reports suggest potential orders from Indonesia. The market is awaiting the second crop, which may influence prices further.
In Bangladesh, a shortage of vehicles due to student protests and an imposed curfew recently affected rice supply. However, the situation has started improving as authorities relax the curfew, allowing for better supply conditions.
Overall, Vietnam’s rice export prices have hit a one-year low due to sluggish trade and adverse weather conditions, while India’s prices have slightly increased amid improving demand and high stock levels. Thailand’s prices remain stable, influenced by changes in the exchange rate, and Bangladesh is seeing improvements in rice supply as authorities relax curfews. The coming weeks will be crucial in determining future price trends across these key markets.