WASHINGTON, May 13: Indian rice exports will remain high this year due to competitive prices, rising inventories and abundant monsoon rains in the main producing areas, which will boost rice production, according to traders. Reduced rice production in Thailand and Vietnam, along with higher production costs, could help India's rice exports this fiscal. India is currently exporting rice to major markets at around $360 a tonne, while Thai and Vietnamese prices are around $420 a tonne. Traders expect this spread to widen further in the coming months.
In addition, the bright prospects of rice production will also boost the prospects of rice exports. All India Rice Exporters Association chairman Krishna Rao said that even in volume terms, India's rice exports this year could reach or slightly exceed last year's record 21 million tonnes. The USDA expects global rice trade to reach a record 54.3 million tonnes in 2022, with India exporting a record 22 million tonnes, accounting for nearly 41 percent of global exports. The USDA also said that India's rice exports this year could exceed the combined exports of the three largest exporters - Thailand, Vietnam and Pakistan.