Rice export prices from Vietnam fell to their lowest levels in a year, while Thai rates also dropped this week due to weak demand, as markets anticipated potential easing of restrictions by top exporter India.
Vietnam’s 5% broken rice was offered at $565-$570 per metric ton on Thursday, the lowest since July 27, 2023, and down from $575 a week ago, according to traders.
“Sales remain slow as buyers are expecting India to ease its restrictions on rice exports,” said a trader based in Ho Chi Minh City.
Vietnam’s rice shipments in June fell 40% from May to 513,409 tons, based on government customs data. However, exports for the first half of the year rose 7.4% year-over-year to 4.55 million tons.
Thailand’s 5% broken rice dropped to $570-$575 per ton on Thursday, the lowest level since early April, down from $585 last week.
“There were no big orders coming in and new supply was doing well,” said a Bangkok-based trader.
Another trader mentioned that there were no special orders, with sellers relying on regular customers.
“Additional supply is coming out, and it will be clearer in August how the yield was,” the trader added.
India’s 5% broken parboiled rice was quoted at $539-$545 per ton this week, down from $541-$548 last week, due to sluggish demand from higher freight rates and rupee depreciation.
“Demand has been weak for the past few weeks. Buyers are postponing purchases after aggressively buying in May,” said an exporter based in Kakinada, Andhra Pradesh.
In Bangladesh, domestic rice prices remained high despite favorable harvests and ample reserves, straining consumers.
The situation could worsen as flooding has submerged vast areas of cropland, potentially affecting future rice production.
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