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India’s rice export prices edged higher this week as buyers opted for the relatively cheaper offers from the top exporter, while Thai rates hovered near the three-month peak as demand from Indonesia and domestic activity remained firm.

Top exporter India’s 5% broken parboiled variety was quoted at $536-$544 per ton this week, up from the last week’s $531-$539.

Demand improved a bit from African buyers because India was offering rice at a lower price than other competing countries, said a Mumbai-based trader.

Thailand’s 5% broken rice was quoted at $630 to $635 per ton, down slightly from a range of $632 to $640 last week.

Prices were strong due to demand from Indonesia and domestic activity, said a Bangkok-based trader, adding that Indonesia was bidding for Thai rice.

Another trader said prices may have weakened after buyers turned away from Thai rice due to higher prices, adding that prices would be volatile for some time as markets waited for new supply.

Asia rice: Thai rates surge to over three-month high on tight supply

Meanwhile, Vietnam’s 5% broken rice were offered at $585-$590 per metric ton on Thursday, unchanged from a week ago, traders said.

“We are seeing stronger demand from Indonesia,” a trader based in Ho Chi Minh City said.

Traders said farmers in some areas in the Mekong Delta province have begun their summer-autumn harvest.

Rice output in Bangladesh has increased more than four times in the last 50 years and there was no scarcity of the grain in the country, Agriculture Minister Abdus Shahid said this week.

Domestic rice prices, however, stayed elevated despite good crops and reserves.

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