Rice export prices eased this week in India and Thailand on thin buying demand, while Vietnamese sellers raised quotations slightly as their grain quality improved, traders said on Wednesday. Supply from India, Thailand and Vietnam, the world's biggest exporters, accounted for a combined 66 percent of the global rice trade in 2015, according to the UN Food and Agriculture Organization.
India's 5 percent broken parboiled rice prices weakened this week to $380-$390 a tonne, free-on-board (FOB) basis, from $382-$392 last Wednesday. "Depreciation in the rupee allowed exporters to reduce quotes," said an exporter in Kakinada in the southern state of Andhra Pradesh.
The currency slipped to its weakest in nearly a month on Monday. "Demand is subdued from African countries. Few buyers bought rice from the Thai auction last week," the exporter said. Thailand sold 1.99 million tonnes from state stockpiles at the June 15 auction, the biggest stock sale so far in 2016. Many buyers were waiting to see the auction's winning price, based on which they would make their bids, traders said. "The sale isn't yet finalised and the rice isn't yet handed over," a Thai trader said, adding that the tender results would not affect market prices as the grain on sale was old.
IRAQ BUYS INDIAN RICE Top exporter India mainly sells non-basmati rice to African countries and premier basmati rice to the Middle East. Last week it sold 80,000 tonnes to Iraq via a tender. The Middle East nation is now seeking another 30,000 tonnes via a tender closing on June 28. Transplanting of summer crop has started in eastern and southern India as monsoon rains have covered nearly half of the country, dealers in India said. Area under rice is likely to expand in 2016 as more rainfall is expected, they said.
Thailand's 5-percent broken rice dipped this week to $415-$438 a tonne, FOB Bangkok, from $418-$439 last Wednesday, while buyers only bought small volumes, traders said. Vietnamese rice prices edged up on higher-quality grain and domestic purchases, but key buyers including China were absent, traders said.
The 5-percent broken winter-spring rice edged up to $370-$380 a tonne, FOB Saigon, from $370-$375 a week ago, while the same grade with summer-autumn grain widened to $355-$365 a tonne, against $360-$365 last Wednesday. China imported nearly 750,000 tonnes of Vietnamese rice in January-May, up 36.3 percent from a year ago, based on China's customs data.
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