The world is facing a rice shortage, is it worth it to buy in advance?

Published 2023년 4월 21일

Tridge summary

Analysts at Fitch Solutions predict a global rice shortage of 8.7 million tons in the upcoming agricultural year, the largest deficit in two decades. This shortage is attributed to adverse weather conditions in rice-producing countries, particularly China and Pakistan, and a surge in demand due to the conflict in Ukraine. The world's rice consumers, estimated to be over 3.5 billion people, predominantly in the Asia-Pacific region, may face rising prices until 2024. However, the global rice market is expected to achieve a surplus by the 2024/2025 agricultural year, with prices potentially falling by approximately 10%.

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

Original content

Analysts predicted the world's biggest rice shortage in 20 years. The shortage of this popular cereal in many countries can reach 8.7 million tons The global shortage of rice this agricultural year could be 8.7 million tons, according to a CNBC forecast by Fitch Solutions analysts. This is the largest deficit in the last 20 years, according to the news portal Agriculture. What is the reason for the shortage of rice The supply of rice to the world market was affected by unfavorable weather in the producing countries - China and Pakistan. The drought in China, which ranks first in rice production and is considered the main importer of the crop, has become the worst in the past 20 years. In addition, demand for the crop has also surged since the outbreak of the conflict in Ukraine in February 2022, when prices for other grains rose substantially, said Charles Hart, commodities analyst at Fitch Solutions. At the same time, rice prices hit a decade high as the largest exporter, India, ...

Source: Agrosektor