Global Rice Market Faces Continued Price Pressure

Major Exporters Intensify Competition

The global rice market is expected to experience continued price pressure throughout 2026 as major exporters including India, Thailand, and Vietnam compete aggressively for market share ¹

. These countries are currently operating with significant surplus stock, creating a buyer's market that is forcing prices down. According to Nitin Gupta, Senior Vice President at Olam Agri India, "Buyers are testing the patience of sellers by holding back purchases, knowing that major exporters have surplus stock."

Impact on Global Market

The low price environment is expected to have mixed effects on the global rice market. On one hand, it will benefit price-sensitive consumers in regions such as Africa and other import-dependent areas. On the other hand, it will put additional pressure on farmers' incomes across Asia, where the majority of the world's rice is produced. The situation highlights the delicate balance between maintaining competitive pricing for consumers and ensuring sustainable livelihoods for farmers.

Regional Implications

The price pressure is particularly significant given that nearly 90% of global rice production comes from Asia. Farmers in this region, who are already operating on thin margins, will face challenging conditions unless there are mitigating factors or government interventions. The situation will be closely monitored by both market participants and policymakers as it develops throughout 2026.