Rice in RS: High Production, Low Prices

The rice producer from Rio Grande do Sul continues to fulfill his fundamental role in the productive chain, delivering quality, productivity, and food for Brazil and the world, according to Sérgio Cardoso, operations director at Itaobi Representações. The 2024/2025 harvest in Rio Grande do Sul presents impressive numbers, with municipalities such as Uruguaiana, Santa Vitória do Palmar, and Itaqui leading production with over 600,000 tons each, according to data from the Rio Grande Rice Institute (IRGARS). However, despite producers' efforts, the market is not corresponding accordingly. Rice prices remain below production costs, with no clear prospects for recovery in the short term. Additionally, effective market regulation instruments are lacking, further aggravating the chain's situation. The government has proposed option contracts for forming regulatory stocks, but this measure does not solve the current main problem: the excess supply in the domestic market. The only tool ...