Global rice prices are on the rise, with both white and parboiled rice approaching $700 per tonne, particularly in Thailand where it has surpassed $670 per tonne 

The surge in rice prices began in July 20, following India's ban on white rice exports and the imposition of a 20% export duty on parboiled rice shipments

Additionally, India has set a minimum export price of $1,200 for Basmati rice exports, further affecting global rice prices

Currently, both white and parboiled rice are being quoted in the range of $670-690 per tonne in the global market

In Thailand, parboiled rice prices range from $670-690 per tonne, while Indian parboiled rice is quoted at $500 per tonne, inclusive of the 20% export duty

The competitiveness of Indian parboiled rice prices is due to a drop in domestic rates, falling from ₹39,000 per tonne to ₹32,000 per tonne in July

India's restrictions on rice exports are impacting countries, especially in South-East Asia, such as the Philippines and Malaysia, where even the supply of local rice is insufficient and prices of imported rice have surged

The US Department of Agriculture reports that Thai export and domestic rice prices have increased by 1-3% in response to strong demand since India's ban on white rice

Despite India's measures, Pakistan is quoting higher parboiled rice prices than India at $608-612 per tonne, although Pakistan faces shortages

Research agency BMI predicts that India's export restrictions will continue to tighten the global rice market, impacting prices across various countries, with potential renegotiation of sales contracts by exporters

The situation could extend until early next year, depending on political factors and crop harvests. Myanmar has also followed India by limiting rice exports, and the full impact of El Nino on rice production remains uncertain, with predictions extending until February 2024

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