July 9, 2025 | 16:49 GMT +7

  • Click to copy
Friday- 10:53, 14/03/2025

Indian rice prices drop amid increased competition and declining demand

(VAN) Indian rice prices have plunged to a 21-month low, shaking up global rice dynamics as key players like Vietnam and Thailand adjust their pricing strategies.
ASIA RICE-Stiff competition pushes India prices to 21-month low.

ASIA RICE-Stiff competition pushes India prices to 21-month low.

What’s going on here?

Indian rice prices have plunged to a 21-month low, shaking up global rice dynamics as key players like Vietnam and Thailand adjust their pricing strategies.

What does this mean?

India's 5% broken parboiled rice is now priced at $403-$410 per tonne, dropping noticeably from last week's $409-$415 range. This fall, driven by dwindling demand and increased competition, aligns with India's recent decision to lift the September 2022 export ban on 100% broken rice. Meanwhile, Vietnam has raised its prices to $392 per metric ton due to harvests from the Mekong Delta, without reporting government stockpiling. Thailand's similar rice now costs $405-$408 per tonne, down from $415, affected by currency fluctuations. These pricing shifts show the competitive tension as Thailand and Vietnam navigate supply challenges and economic adjustments. Conversely, Bangladesh is boosting imports from Vietnam, Myanmar, and Pakistan through strategic deals due to high domestic rice prices.

Why should I care?

The current price drop in India's rice sector and pricing adjustments by Vietnam and Thailand spotlight an ongoing battle for global market share. Indian exporters, facing lower demand, may find that reduced prices attract new buyers, potentially disrupting established market positions. Meanwhile, Thailand's exporters might struggle against competitively priced rice from India and Vietnam amid currency volatility. Investors should keep an eye on how these dynamics affect the profitability of rice-exporting firms and trade balances in Asia.

The realignment of rice export strategies in India, Vietnam, and Thailand carries broader implications for global food security and economic partnerships. With Bangladesh increasing imports to stabilize its high domestic prices, it underscores the interdependence of nations in securing staple food supplies. These shifts could lead to trade deal renegotiations, strengthen regional alliances, and prompt other nations to reevaluate their rice import strategies.

H.D

finimize

Squid and octopus exports rebound: Aiming to surpass USD 700 million

Squid and octopus exports rebound: Aiming to surpass USD 700 million

(VAN) Squid and octopus exports have accelerated since the beginning of the year, with expectations to reach the USD 700 million milestone, driven by recovering demand and positive signals from both traditional and emerging markets.

Shrimp exports show strong growth but may slow down

Shrimp exports show strong growth but may slow down

(VAN) Shrimp export growth in May was positive, but businesses are concerned that the recovery momentum in the second half of the year may stall due to uncertainty surrounding U.S. tax policy.

For Vietnamese fruits to access export opportunities

For Vietnamese fruits to access export opportunities

(VAN) To enable Vietnamese fruits to reach further and enter more markets beyond China, specific solutions in production and market development are needed.

Vietnam EUDR-compliant rubber sees strong market demand

Vietnam EUDR-compliant rubber sees strong market demand

(VAN) Vietnamese rubber products that comply with the EU Deforestation Regulation (EUDR) are currently enjoying favorable market demand.

GlobalGAP dragon fruit: The key to conquer any market

GlobalGAP dragon fruit: The key to conquer any market

(VAN) Many farmers in Lam Dong province have gained the confidence to tap into even the most demanding markets by growing dragon fruit in accordance with GlobalGAP standards.

Enhancing market access for Italian agricultural exports to Vietnam

Enhancing market access for Italian agricultural exports to Vietnam

(VAN) Minister Do Duc Duy affirmed that Ministry of Agriculture and Environment will coordinate with the Italian side to resolve technical obstacles and promote bilateral trade.

China tightens safety rules amid dip in Thai durian exports

China tightens safety rules amid dip in Thai durian exports

(VAN) Thailand's durian exports to China fell by approximately 3% from January to June 2025 compared to the same period last year, according to data from Thailand's Department of Agriculture as reported by Bangkokbiznews.

Read more