A rice shortage not seen in 20 years is expected worldwide

Published 2023년 4월 19일

Tridge summary

A severe global rice shortage is expected in 2023, the most significant in nearly two decades, impacting over 3.5 billion people, especially the Asia-Pacific region, which accounts for 90% of rice consumption. This shortage is attributed to the ongoing war in Ukraine, extreme weather conditions in rice-producing countries like China and Pakistan, and droughts in major European rice-growing countries. The deficit is projected to be 8.7 million tonnes for the 2022/2023 season, the largest since 2003/2004. Despite these challenges, Fitch Solutions anticipates a return to market balance by 2023/2024, although rice prices may remain high and could see a decrease of almost 10% in 2024.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Rice production is also declining in China, the EU and elsewhere. The price of the food product is rising, affecting more than 3.5 billion people worldwide, especially in the Asia-Pacific region, which consumes 90% of the world's rice, writes CNBC. A rice shortage not seen in nearly 20 years is expected in 2023, according to Fitch Solutions. A potential deficit of this magnitude for one of the world's most widely grown grains would hurt major importers, analysts said. Globally, the most obvious impact of the global rice shortage has been, and still is, decade-high rice prices," said Fitch Solutions commodity analyst Charles Hart. What's more, rice prices are expected to remain around current highs until 2024, according to a report by Fitch Solutions Country Risk & Industry Research. Given that rice is a staple food in many markets in Asia, prices are a major determinant of food price inflation and food security. Northern Italy's worst drought in 70 years threatens supplies of ...

Source: Money