Rice Export Prices Rise in Top Exporter India Amidst Duty Hike: India’s rice export prices rose this week to $550-$558 per ton for the 5% broken parboiled variety, up from last week’s $543-$550. The increase is attributed to the government’s decision to calculate the 20% export duty based on the total transaction value rather than the Free on Board (FOB) value. This duty, imposed in August 2023 to control domestic rice prices, has led to customs department notices demanding duty differentials on rice exported in the last 18 months, potentially impacting rice shipments from India.
In Thailand, 5% broken rice prices softened to $585-$590 per ton due to a weakening baht and decreased demand. However, Indonesian buyers supported prices. Vietnamese rice prices remained stable at $590-$595 per ton, with exporters slowing purchases following a U.S. forecast indicating reduced Philippine imports this year due to rising domestic supplies. The Philippines is Vietnam’s largest rice export market.
Bangladesh’s rice prices remained high despite good yields and reserves. Officials consider allowing private traders to import up to 200,000 tonnes of rice to alleviate domestic price pressures. The dynamics in the global rice market highlight the influence of government policies, demand-supply balance, and regional trade relationships on rice export prices and trade volumes.
Source: EconomicsTimes