The price of rice falls up to 35% in one year and reaches its lowest level since 2017
The price of rice has fallen 35% in the last year, reaching its lowest level since 2017, reaching 360 dollars (310 euros) per ton, according to the insurance company Coface.
Specifically, Coface has explained that it is due to lifting of export restrictions imposed by India after three years of volatility, generating a global excess supply.
Regarding forecasts, Coface expects the downward trend to continue until the end of 2025driven by increased production and the possible return of the ‘La Niña’ phenomenon, with a gradual stabilization of the market in 2026, forecasting a possible stabilization for next year at levels “not seen” in the last ten years.
Likewise, according to the insurer, Asia is the main protagonist, concentrating close to 90% of world production and consumption, and for its part, sub-Saharan Africa depends largely on Asian imports.
Besides, The Philippines has suspended imports for 60 days from September 1 to support its producers, while Indonesia has adopted a food sovereignty strategy, prioritizing domestic production to reduce its dependence on imports.
On the other hand, Coface has detailed the case of Japanwhich, under pressure from agricultural lobbies, maintains strict import quotas to protect its rice sectorand yet, for the insurer, this approach runs the risk of destabilizing the dynamics of the internal market.
