W17 Rice Update: Vietnam Emerges as Singapore's Top Rice Supplier, Indonesia Sees Significant Rice Import Surge in Mar-24

Vietnam Emerges as Singapore's Top Rice Supplier, Outpacing India and Thailand

From Jan-24 to Mar-24, Vietnam became Singapore's largest rice supplier for the first time, with rice exports to Singapore accounting for 32.03% worth USD 36.15 million, an increase of 80.46% year-on-year (YoY). Among them, the export value of glutinous rice reached USD 2.78 million, up 221.76% YoY, while fragrant rice reached USD 13.26 million, an increase of 291.17% YoY, and the export value of broken rice reached USD 42.23 million. This surpassed India (6.96%) and Thailand (8.28%). Rice exports from India and Thailand to Singapore were at USD 24.70 million and USD 24.35 million, respectively.

This positions Vietnam as the country with the largest rice market share in Singapore, surpassing Thailand and India. According to the Vietnamese Commercial Office in Singapore, Thailand, India, and Japan are becoming Vietnam's biggest competitors in the Singapore rice market. Following India's ban on the export of various types of rice except basmati on July 20, 2023, Vietnamese companies have seized the opportunity to increase the market share and export volume of Vietnamese rice in Singapore.

Indonesia's Rice Imports Surged 921.51% YoY in Mar-24

Indonesia imported 567.22 thousand metric tons (mt) of rice in Mar-24, with a total import value of USD 371.60 million, up 921.51% YoY and 29.29% month-on-month (MoM). The majority of rice imports in Mar-24 originated from Vietnam (286.26 thousand mt), followed by Thailand (142.65 thousand mt), Myanmar (76.61 thousand mt) and Pakistan (61.57 thousand mt). Moreover, from Jan-24 to Mar-24, the volume of rice imports totaled 1.44 million metric tons (mmt), marking a significant increase compared to the same period in 2023, which recorded 511.90 thousand mt, up 182.87% YoY.

Indonesian Minister Urges Pumping Program to Enhance Rice Production

The Indonesian Minister of Agriculture emphasized that pumping is a rapid solution to boost national rice production, particularly in Central Java Province. Utilizing a pump, rain-fed rice fields in Kandang Village can tap into the Comal River as a water source. As one side of this rice field needs water and the other has abundant water, thus it can be connected with the rice fields through pumping. The pumping program could increase rice production by up to 1.2 mmt, equivalent to USD 615.37 million (INR 10 trillion) in monetary value.

Challenges in Rio Grande do Sul Rice Harvest Amidst Weather Woes

According to the latest survey by the Rio Grandense do Arroz Institute (IRGA), 603,136 hectares (ha) of rice were harvested in Rio Grande do Sul, Brazil, accounting for 67% of the 900,203 ha sown in the 2023/24 season. However, the progress was limited to approximately 9% due to intense rains and floods affecting some producing regions in W16. The average productivity recorded thus far is 8.67 mt/ha, showing a downward trend in recent weeks. According to IRGA, the highest average productivity was observed in the March 20 survey, reaching 8.82 mt/ha. However, by April 17, productivity decreased to 8.67 mt/ha, representing a drop of 0.143 mt/ha. This trend is anticipated to persist due to flood damage and other issues resulting from heavy rainfall.

USDA Forecasts Record Rice Production in Paraguay for 2024/25 Campaign

The United States Department of Agriculture (USDA) predicts that rice production in the 2024/25 campaign in Paraguay will reach a record of 1.28 mmt, including 1 mmt of raw rice production and 860 thousand mt of the milled base, covering an area of 203 thousand ha. In the previous harvest, the international organization estimated a volume of 1.045 mmt. The report attributes this increase in production to good yields, high prices, and low ending stocks in the 2023/24 campaign, which could encourage farmers to plant more rice. According to a USDA report, rice plantations are expected to add 10 thousand ha of new land to production.