MUMBAI, BANGKOK, HANOI, DHAKA AND BENGALURU: Indian rice export prices extended gains this week on stronger demand and a rebound in the rupee from a record low, while Thai rice demand firmed as buying interest emerged from the Philippines and Africa.
India’s 5percent broken parboiled variety was quoted this week at USD337-USD345 per ton, up from the last week’s USD336-USD343. Indian 5percent broken white rice was priced at USD338-USD344 per ton.
“Demand from African buyers is improving as supplies from other origins are more expensive than those from India,” said a Kolkata-based trader.
Thailand’s 5percent broken rice was quoted at USD450-USD460 per ton from a range of USD440-USD465 last week, traders in Bangkok said.
There was demand coming out of the Philippines, a Bangkok-based trader said, adding that higher cost such as pesticides, fertilizer and transportation may cause farmers to plant less rice.
Another trader said that strong demand from the Philippines and Africa pushed up domestic prices. The rainy season ended fast, but rice had already been harvested and was with millers, the trader said, adding that exporters were still buying rice at all levels and so prices are expected to remain strong for some time.
Vietnam’s 5percent broken rice was offered at USD405-USD410 per metric ton on Thursday, compared with a range of USD410-USD415 a week ago. “We are hearing that the Philippines might throttle the inflows of Vietnamese rice into its market in June and July,” a trader based in Ho Chi Minh City said.
Traders said they are not excited about the deal announced by the Philippines’ agriculture department early this month in which Vietnam would export 1.5 million tons of rice to the Philippines through April next year.
They cited the Philippines’ ceiling price on imported rice and fluctuation in domestic prices in Vietnam as the concern.
Meanwhile, rice prices in Bangladesh stayed elevated after heavy pre-monsoon rains damaged crops, heightening the risk of further increases in the staple grain’s cost.
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