SSRice Special - Weekly

This is our first special report that hopes to summarize developments across the European market and is brought to you by Marius Brun et Fils of France and edited by SS Rice News

The official data for Indian Sep and Oct 2023 rice exports (Oct came just yesterday) and shows more impact from the bans in place in white rice, broken rice

This, our first report focused on the world broken rice market reveals two important developments that stand out, with the first coming from India’s weaker exports as a result of 2022 ban on the export of broken rice (20 July 2022).

The official data for Indian Aug 2023 rice exports (was made available this week) and shows the first signs of the impact of the non-basmati white rice export ban, while we also have a surge in parboiled rice exports in Aug (rush of exports before 20% duty kicks in?). 

Last updated in May 2023, we take a fresh look at the USDA data, much of which were presented at the SS Rice Network 2023 event on 19 Oct, to provide a snapshot of how USDA data has changed since May, and more importantly, the key shifts we see, and how these compare to the current market realities, to perhaps gain some insights to key drivers of global rice market fundamentals. 

The Philippines has been a highlight this week, especially when we consider we saw the talk of a lower tariff rejected in a TV interview as we wrote this report.

Indonesia has been a highlight since Nov 2022, when the first signs of import demand interest showed, and since Nov 2022, 2.5 MMT of import allowances are suggested as 2 MMT of import allowances were added in early 2023

India remains in the spotlight, and after the 20 Jul 2023 ban on white non-basmati rice exports, the global markets recognize Indian parboiled rice as the best value in rice procurement, even after price increments that now see Indian parboiled rice prices close in on $500 PMT, but as global markets remain over $100 PMT higher to retain India’s attractiveness.

Indian rice exports maintain a strong pace, but weakness crept in to show Jan-Jun 2023 exports 4% down compared to Jan-Jun 2022, as both basmati and non-basmati rice exports weakened, but a closer look showed a steady and rising African demand and most of the weakness in Asia (weaker China, Bangladesh, Malaysia, and Vietnam, but better Nepal demand).