India export rice firming

India’s export rice prices moved higher in the week ended Thursday, with stronger demand and a firmer rupee lifting offers from the world’s biggest shipper. (economictimes.indiatimes.com) Indian 5% broken parboiled rice was quoted at $344 to $350 a metric ton, up from $341 to $348 a week earlier, while 5% broken white rice was offered at $338 to $344 a ton. A Kolkata-based exporter told Reuters demand was “gradually recovering” as the rupee’s appreciation pushed traders to raise prices. (economictimes.indiatimes.com) The move was not limited to India. Vietnamese 5% broken rice was offered at $375 to $380 a metric ton on Thursday, versus about $375 a week earlier, and Thai prices also rose as freight and fuel costs increased. (economictimes.indiatimes.com) Traders in Vietnam said buyers had stepped up stockpiling because they expected higher prices tied to the Iran war, including costlier shipping and fertiliser. Reuters reported those war-linked costs were also pushing up rates in Thailand and India. (brecorder.com) India’s pricing matters well beyond its own ports because it accounts for more than 40% of global rice exports, a share large enough to move import bills across Asia and Africa when offers change. The International Food Policy Research Institute used that 40% estimate in its analysis of India’s export restrictions. (ifpri.org) The market is also adjusting after New Delhi unwound most of the rice export curbs it had imposed in 2023. In late September 2024, the government exempted non-basmati white rice from export duty and cut the levy on parboiled rice to 10%, then later removed the remaining curbs on white and parboiled rice exports while keeping the broken-rice ban. (economictimes.indiatimes.com) (thehindubusinessline.com) That rollback helped India keep total rice exports broadly steady in 2024 even after the earlier restrictions. Reuters reported shipments at 17.8 million metric tons for the year, just below 17.86 million tons in 2023, with basmati exports rising 16.3% to a record 5.7 million tons. (economictimes.indiatimes.com) Middle East tensions had already started disrupting the trade before this week’s price move. In a March 12 Reuters report, exporters said freight and insurance costs were rising and new shipments were slowing as vessel availability tightened. (ricenewstoday.com) For now, the signal from the export market is narrow but clear: buyers are returning, costs are rising, and India’s offers are no longer drifting lower. (economictimes.indiatimes.com)