Asian rice: India rice export prices tumble, Vietnam broken rice rates unchanged

SINGAPORE: Indian rice export prices hit a nearly 16-month low this week as new supplies come into market but demand remains low, while coronavirus restrictions in Vietnam undercut sales of the staple grain.

Top exporter India’s 5% broken parboiled variety was quoted in the $364-$368 per tonne range this week, extending its slide from last week’s $367-$371.

“Export demand is weak. Rice supplies have risen after government started distributing rice to poor people,” said an exporter based at Kakinada in the southern state of Andhra Pradesh.

Indian farmers have planted rice on 11.5 million hectares as of July 9.

Vietnam’s 5% broken rice rates were unchanged from last week at $465-$470 per tonne- lowest level since July last year.

“Farmers have started harvesting their summer-autumn crop in most of the Mekong Delta area, but sales to traders are slow due to coronavirus movement curbs,” a trader based in Ho Chi Minh City said.

Traders said domestic unhusked paddy prices may fall over the coming weeks as supplies from the harvest build up, while movement curbs are expected to remain in place.

“Some of the traders have stopped buying rice from farmers due to coronavirus,” another trader in the city said.

Bangladesh has allowed private traders to import 1 million tonnes of rice to tame prices, according to the food ministry.