Export Offer Prices for Rice Remain High

Hyderabad. Driven by strong demand from key importing nations, an improvement in the rupee exchange rate, and growing concerns over a potential decline in production, export offer prices for Indian rice have climbed to their highest level in over a year. Rice prices in other Asian exporting nations have also remained firm due to various factors. Supported by robust demand, export offer prices for Vietnamese rice have likewise strengthened.

The export offer price for Indian 5% broken parboiled (sela) rice has risen from $378–$384 per tonne last week to $384–$389 per tonne, while the price for 5% broken raw (white) rice has also improved to $385–$390 per tonne.

Exporters note that domestic paddy prices remain firm due to limited supply. Production is expected to decline in several states, as the area under cultivation has shrunk and rainfall has been deficient this season. Harvesting of the new paddy crop has already commenced.

The export offer price for Vietnamese 5% broken rice has reached $440–$450 per tonne—the highest level since August 21 and an increase of $20 per tonne from the $420–$430 per tonne quoted a week earlier. Imports of Vietnamese rice into the Philippines are expected to resume starting in November.