The export price of Indian rice has been falling for three consecutive weeks, reaching the lowest level in the past 17 months. This decline is attributed to two primary factors: weaker demand from importing countries and a depreciating Indian rupee.

Currently, the export offer price of 5 percent broken Indian Sela rice is between $436 and $442 per tonne, down from $439 to $445 per tonne the previous week. Similarly, the price for 5 percent broken white rice is now reported at $440 to $449 per tonne.

Trade analysts point to the New Year holiday, which led to reduced purchasing interest from importers in Asia and Africa. However, a rebound in demand is expected in the coming week.

Additionally, the Indian rupee's depreciation against the US dollar, which has reached over Rs 85 per dollar, is benefiting Indian exporters, as it increases their profit margins.

In contrast, Thai rice exporters are facing challenges as Indian rice is becoming more competitive, potentially taking over markets that Thailand had previously dominated.

Thai exporters predict that their rice exports could fall by 25-30 percent, with the current export offer price of Thai 5 percent broken rice ranging between $490 and $502 per tonne, which is significantly higher than India's prices.

Meanwhile, Vietnamese rice exports are also slowing due to a holiday season and the upcoming Lunar New Year, with their export prices falling slightly from $485 to $481 per tonne.