Domestic rice prices continue rising despite hefty imports
Domestic rice prices in Bangladesh, traditionally a top producer that emerged as a major buyer after floods, rose again this week despite hefty imports.
The government recently let private traders import 1.7 million tonnes and cut import duties to curb soaring prices. It imported 300,000 tonnes in the last two months, officials said.
"Around 4,000 tonnes are being imported everyday from India through land ports. But the government should lift import duty," a Dhaka-based trader said.
Meanwhile, rice export prices in India climbed to a nearly two-month peak this week on an appreciating rupee, but demand was tepid as buyers opted for cheaper offers from elsewhere.
India's 5 per cent broken parboiled variety was quoted at $360 to $365 per tonne this week — the highest since late-July — up from last week's $358-$363.
The rupee has gained about 0.7 per cent this month, trimming exporters' returns and prompting them to raise prices in dollar terms.
"Some buyers are moving to Myanmar and Pakistan, which are also offering rice at competitive prices," said an exporter in Kakinada, Andhra Pradesh.
Meanwhile, rice export prices in India climbed to a nearly two-month peak this week on an appreciating rupee, but demand was tepid as buyers opted for cheaper offers from elsewhere.
India's 5 per cent broken parboiled variety was quoted at $360 to $365 per tonne this week — the highest since late-July — up from last week's $358-$363.
The rupee has gained about 0.7 per cent this month, trimming exporters' returns and prompting them to raise prices in dollar terms.
"Some buyers are moving to Myanmar and Pakistan, which are also offering rice at competitive prices," said an exporter in Kakinada, Andhra Pradesh.
"Many exporters are facing worker shortages to handle rice transport and shipments."
Thailand's 5 per cent broken rice prices eased to $380-$393 per tonne on Thursday, from $380-$402 last week, with the market quiet amid high freight costs.
"There is good supply because of rain, but there are no buyers. The government should roll out some measures to support rice farmers and exporters," a Bangkok-based trader said.