Global rice prices have reached an 18-month high, according to the The Food and Agricultural Organization (FAO) All Rice Price Index in its October report.
The FAO report said Thai parboiled rice, suitable for Bangladeshi consumers, reached $453 a tonne in September. The Index increased by 2.2% to 110.9 points in September 2022.
“The major concern of Bangladesh is the rising price of Indica species, consumed by South and South-East nations, by 3.4% (index rose to 111.6 points) above its August level,” it said.
FAO data shows that parboiled 5% broken rice from India, Pakistan and Vietnam prices hit $380-396 per tonne (excluding freight and other charges).
The FAO cited Indian restrictions on full broken rice and its imposition of higher export duty on non-boiled rice as major reasons behind rising prices of Indica species in Asia.
The exchange rate of US dollar and purchase parity also put an impact on the rice market, according to the report.
However, rice price continues to stay in its previous high as coarse rice retailed at Tk42-54, medium at Tk48-65 and finer at Tk56-96 a kg across the country on Monday depending on varieties.
According to the Trading Corporation of Bangladesh and Department of Agricultural Marketing statistics, current rice prices are above 10% higher on average than a year ago.