Rice Importing Countries Strained amid India’s Export Bans

On Monday, importing countries are having shortages as India imposed ban on rice exports in July due to natural calamities.

On September 17’s close trading session, rough rice futures for November delivery climbed by 0.31% to $16.27 per one hundredweight.

Meanwhile, India banned rice exports due to natural calamities and imposed scarcity on other Asian countries. Economists forecast that the ban is to derange the worldwide food supply after Russia seizes Ukraine and catastrophes like El Niño.

India is known as one of the highest exporting rice imposed to ban on rice export in July. Reports show that New Delhi’s white grain export is 40.00% high globally.

The farmers are the most affected by these unfortunate events. According to reports, the rice grain harvest has declined over the past months and farmers suffered huge losses.

However, the farmers pleaded that if exporting rice is banned, the return on investment may be disrupted. With that, the recovery of India’s local farmers may slow due to their government’s decision.

On the other hand, importing countries like Singapore, one of the beneficiaries of India’s exports admits to crisis amid banning. Economists suggested that the Malaysian government must make amendments to India for reconsideration as the threat of food scarcity approaches.

Meanwhile, Thailand’s local farmers found hope to boost their crops after being neglect due to exports by the Thai government.

Thai Farmers Saw Prospect amid Rice Import Strain

Amid India’s export bans and the nation’s rice import strain, Thai farmers potentially reconnect with their local market, overcoming adversity.

Reports indicate that the export of rice by the Thai government significantly affected local farmers. Siam’s local farmers’ crops found in a slack resulting to reduce their return of investment.

Meanwhile, the Thai government advised farmers to restrict sowing grain this year to reduce water consumption. With that advisory, farmers will not benefit from it as the crops rely on water.

Further, according to reports, the country’s rice production declined by 14.50% in August compared to last year’s forecast. The dwindling has happened annually since 2020.

With the continuous decline, Thai farmers are willing to take risks to end their annual tremendous loss.

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