Dealing with the global rice price shock

In demand: A farmer planting rice seedlings in Mataram, West Nusa Tenggara, Indonesia. In Asean’s integrated rice market, price increases in one country can be transmitted to other Asean countries. — Jakarta Post/ANN

ASEAN, a region that heavily depends on rice as a crucial staple food, has grappled with fluctuations in global rice prices over the past month with prices rising steeply due to climate disruptions such as floods, heat waves and other extreme weather conditions.

The All Rice Price Index of the Food and Agriculture Organisation (FAO) reached 142.4 in August, marking a 31% increase from the previous year, driven by a global rice shortage and export restrictions imposed by India since July this year.