HANOI (Reuters): Indian rice export prices dropped to a near two-year low this week, weighed down by weaker demand and depreciation in the rupee, while Thai rates rose to a more than two-month peak.
India's 5% broken parboiled variety
"This week rupee again started losing against the dollar, which helped traders to lower export prices. Demand is still weak from African buyers," said a Kolkata-based exporter.
Global rice prices, which have tumbled to multi-year lows, are unlikely to fall further, but bulging Indian stockpiles and a bumper Asian crop will cap any rebound this year, industry executives say.
Thailand's 5% broken rice
There have been no big purchases yet, but the conflict between India and Pakistan could affect supply, said a Bangkok-based trader.
Supply in Thailand is expected to be good this year because of favourable water levels, the trader said.
Meanwhile, Vietnam's 5% broken rice
Vietnamese markets were closed last week for national holidays.
"The government's move to buy rice for stockpiling has supported prices a bit, but generally, demand remains weak and so is trading activity," a trader based in Ho Chi Minh City said.
Government data released earlier this week showed Vietnam's rice exports in the first four months of this year rose 8.4% from a year earlier to 3.43 million metric tons. Export value, however, fell 13.3% to $1.77 billion.
Domestic rice prices in Bangladesh edged lower this week as newly harvested crops began reaching the markets, offering some relief after a 20% surge in prices over the past year, traders said.
(Reporting by Brijesh Patel in Bengaluru, Rajendra Jadhav in Mumbai, Panu Wongcha-um in Bangkok and Ruma Paul in Dhaka; Editing by Eileen Soreng) - Reuters
