x
Breaking News
0

Asia Rice-India prices rise as demand from Bangladesh offsets high supply

CommoditiesDec 07, 2017 17:30
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. Asia Rice-India prices rise as demand from Bangladesh offsets high supply

By Koustav Samanta

BENGALURU, Dec 7 (Reuters) - Rice prices in India climbed this week as strong demand from neighbouring Bangladesh counteracted fresh supplies from a new season crop in the world's top exporter.

India's 5 percent broken parboiled rice prices RI-INBKN5-P1 rose by $4 per tonne to $406-$409.

"Bangladeshi demand has improved sentiment. That is nullifying the impact of higher supplies from the new crop," an exporter based in Kakinada in the southern state of Andhra Pradesh said.

Bangladesh, which has emerged as a major importer this year after floods hit its crops, will import 150,000 tonnes of rice from India in a state deal priced at $440 a tonne, two food ministry officials said on Wednesday. state-run National Agricultural Cooperative Marketing Federation (NAFED) will supply the rice within 60 days after signing the deal, which will take place soon, the officials said.

Bangladesh has tried to secure supplies through India's state-run trading houses, which have floated tenders in the local market for procurement, the Kakinada-based exporter said.

The country had already sealed a deal with another state agency in India, PEC, to import 100,000 tonnes at $455 a tonne. Thailand's benchmark 5 percent broken rice was quoted at $401-405 a tonne, free-on-board (FOB) Bangkok, up from $395-$400 last week.

Demand remained relatively quiet in the world's second-biggest rice exporter as supply remains more or less constant despite some losses due to floods, traders said.

"I don't think prices of rice will rise any more substantially before the end of the year. Next year, however, we might see some government intervention," said a Bangkok-based trader.

The Ministry of Commerce has a target to export 11 million tonnes by the end of the year, and traders are optimistic the target could be reached within a plus-minus five percent range.

Thailand's Ministry of Agriculture and Cooperatives and other agencies will hold the Thai Rice Festival 2017 in Bangkok from Dec. 15-20. Traders expect this to have a positive effect on demand.

In Vietnam, the rice market continued to be quiet even as stocks remained low.

The country's 5 percent broken rice RI-VNBKN5-P1 traded at $395 a tonne, free-on-board (FOB) Saigon, mostly unchanged from last week's $395-$398 range.

"We sold (5 percent broken rice) at $395 a tonne in a new private contract," a trader in Ho Chi Minh city said, but did not specify the buyer.

Traders were unsure when there would be new government-to-government deals, but the delivery of previous state contracts brought Vietnam's rice shipments closer to the target of 5.6 million tonnes in 2017.

<^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^ Bangladesh rice production, consumption and imports

http://tmsnrt.rs/2zGuYXV

^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^>

Asia Rice-India prices rise as demand from Bangladesh offsets high supply
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

 
Are you sure you want to delete this chart?
 
Write your thoughts here
 
Replace the attached chart with a new chart ?
Post
Post also to:
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
 
Replace the attached chart with a new chart ?
Post 1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email