Indian Rice Price Increases to $476 per Ton

India Rice Export Price in November 2022

In November 2022, the rice price amounted to $476 per ton (FOB, India), rising by 2.1% against the previous month. In general, the export price showed a relatively flat trend pattern. The growth pace was the most rapid in March 2022 when the average export price increased by 5.7% month-to-month. The export price peaked at $505 per ton in May 2022; however, from June 2022 to November 2022, the export prices failed to regain momentum.

There were significant differences in the average prices for the major external markets. In November 2022, the country with the highest price was Saudi Arabia ($990 per ton), while the average price for exports to Madagascar ($289 per ton) was amongst the lowest.

From November 2021 to November 2022, the most notable rate of growth in terms of prices was recorded for supplies to Senegal (+1.5%), while the prices for the other major destinations experienced more modest paces of growth.

India Rice Export Prices by Type

Prices varied noticeably by the product type; the product with the highest price was semi-milled or wholly milled (bleached) rice ($492 per ton), while the average price for exports of paddy rice ($258 per ton) was amongst the lowest.

From November 2021 to November 2022, the most notable rate of growth in terms of prices was recorded for the following types: broken rice (+1.3%), while the prices for the other products experienced mixed trend patterns.

India Rice Exports

In November 2022, shipments abroad of rice was finally on the rise to reach 1.7M tons after two months of decline. The total export volume increased at an average monthly rate of +1.0% from November 2021 to November 2022; however, the trend pattern indicated some noticeable fluctuations being recorded in certain months. The most prominent rate of growth was recorded in December 2021 with an increase of 33% month-to-month. Over the period under review, the exports hit record highs at 2.1M tons in August 2022; however, from September 2022 to November 2022, the exports failed to regain momentum.

In value terms, rice exports expanded markedly to $800M (IndexBox estimates) in November 2022. The total export value increased at an average monthly rate of +1.6% over the period from November 2021 to November 2022; however, the trend pattern indicated some noticeable fluctuations being recorded in certain months. The growth pace was the most rapid in December 2021 with an increase of 36% against the previous month. The exports peaked at 1.1M tons in June 2022; however, from July 2022 to November 2022, the exports stood at a somewhat lower figure.

India Rice Exports by Type

Semi-milled or wholly milled (bleached) rice (1.5M tons) was the largest type of rice exported from India, accounting for a 92% share of total exports. Moreover, semi-milled or wholly milled (bleached) rice exceeded the volume of the second product type, paddy rice (70K tons), more than tenfold. Broken rice (67K tons) ranked third in terms of total exports with a 4% share.

From November 2021 to November 2022, the average monthly rate of growth in terms of the volume of export of semi-milled or wholly milled (bleached) rice amounted to +2.0%. With regard to the other exported products, the following average monthly rates of growth were recorded: paddy rice (+2.7% per month) and broken rice (-9.3% per month).

In value terms, semi-milled or wholly milled (bleached) rice ($759M) remains the largest type of rice exported from India, comprising 95% of total exports. The second position in the ranking was taken by broken rice ($23M), with a 2.9% share of total exports. It was followed by paddy rice, with a 2.3% share.

From November 2021 to November 2022, the average monthly growth rate of the export volume of semi-milled or wholly milled (bleached) rice stood at +2.3%. With regard to the other exported products, the following average monthly rates of growth were recorded: broken rice (-8.2% per month) and paddy rice (+1.4% per month).

India Rice Exports by Country

Bangladesh (128K tons), Cote d'Ivoire (127K tons) and Guinea (114K tons) were the main destinations of rice exports from India, together accounting for 22% of total exports. These countries were followed by Benin, Liberia, Nepal, Saudi Arabia, Senegal, Madagascar, Angola, Iran, Mozambique and Vietnam, which together accounted for a further 44%.

From November 2021 to November 2022, the most notable rate of growth in terms of shipments, amongst the main countries of destination, was attained by Madagascar (with a CAGR of +32.0%), while the other leaders experienced more modest paces of growth.

In value terms, the largest markets for rice exported from India were Saudi Arabia ($81M), Iran ($55M) and Cote d'Ivoire ($45M), with a combined 23% share of total exports. Bangladesh, Guinea, Benin, Liberia, Senegal, Nepal, Angola, Madagascar, Mozambique and Vietnam lagged somewhat behind, together comprising a further 34%.

Madagascar, with a CAGR of +30.4%, saw the highest rates of growth with regard to the value of exports, among the main countries of destination over the period under review, while shipments for the other leaders experienced more modest paces of growth.

Source: IndexBox Market Intelligence Platform