Top Rice Exporters: How They Dominate the Global Market
Rice is one of the most widely consumed staple foods in the world, especially in Asia and Africa. According to the Food and Agriculture Organization (FAO), the global rice production in 2020 was about 509 million metric tons, of which about 45 million metric tons were exported. But which countries are the top rice exporters and how do they dominate the global market?
According to the World’s Top Exports website, the top rice exporting countries in 2020 were India, Thailand, Vietnam, Pakistan, and the United States, accounting for about 73% of the total value of rice exports. These countries have different advantages and strategies that enable them to compete in the international rice market.
India: The Largest Rice Exporter
India is the largest rice exporter in the world, with a share of 37% of the total value of rice exports in 2020. India exported about 21.5 million metric tons of rice worth $10.8 billion, mainly to Bangladesh, Nepal, Iran, Saudi Arabia, and Iraq. India has a large domestic production of rice, estimated at 120 million metric tons in 2020, which exceeds its domestic consumption of about 100 million metric tons. India also has a diverse range of rice varieties, such as basmati, non-basmati, parboiled, and broken rice, that cater to different preferences and price segments in the global market. India also benefits from its low production costs, favorable climatic conditions, large labor force, and government policies that support rice exports.
Thailand: The Second Largest Rice Exporter
Thailand is the second largest rice exporter in the world, with a share of 14% of the total value of rice exports in 2020. Thailand exported about 8.2 million metric tons of rice worth $4 billion, mainly to China, Benin, Nigeria, South Africa, and Indonesia. Thailand has a long history and reputation of producing high-quality rice, especially jasmine rice, which is highly valued in the international market. Thailand also has a well-developed infrastructure and logistics system that facilitates its rice exports. Thailand also has a strong government support for its rice sector, such as the Rice Pledging Scheme that guarantees minimum prices for farmers and stabilizes domestic supply.
Vietnam: The Third Largest Rice Exporter
Vietnam is the third largest rice exporter in the world, with a share of 9% of the total value of rice exports in 2020. Vietnam exported about 6.8 million metric tons of rice worth $2.5 billion, mainly to China, Philippines, Malaysia, Ivory Coast, and Ghana. Vietnam has a high productivity and efficiency of rice production, with an average yield of 5.6 tons per hectare in 2020. Vietnam also has a competitive advantage in producing fragrant and glutinous rice varieties that are popular in some Asian and African markets. Vietnam also has a flexible export policy that allows it to adjust its export quotas according to market conditions and domestic needs.
Pakistan: The Fourth Largest Rice Exporter
Pakistan is the fourth largest rice exporter in the world, with a share of 8% of the total value of rice exports in 2020. Pakistan exported about 3.8 million metric tons of rice worth $2.4 billion, mainly to China, Kenya, Afghanistan, United Arab Emirates, and Yemen. Pakistan is a major producer and exporter of basmati rice, which is highly prized for its aroma, flavor, and quality. Pakistan also has a low cost of production and labor that gives it a competitive edge in the global market. Pakistan also has a favorable geographical location that allows it to access both Asian and African markets.
United States: The Fifth Largest Rice Exporter
The United States is the fifth largest rice exporter in the world, with a share of 6% of the total value of rice exports in 2020. The United States exported about 2 million metric tons of rice worth $1.7 billion, mainly to Mexico, Haiti, Japan, Canada, and Honduras. The United States has a high standard and quality of rice production, with an average yield of 7.5 tons per hectare in 2020. The United States also has a strong research and development capacity that enables it to produce new and improved varieties of rice that meet consumer demands. The United States also has a strong domestic demand for rice that supports its export sector.
The top five rice exporters in the world have different strengths and strategies that enable them to dominate the global market. They have large domestic production capacities that exceed their domestic consumption needs. They have diverse ranges of rice varieties that suit different preferences and price segments. They have low production costs and high productivity levels that enhance their competitiveness. They have well-developed infrastructure and logistics systems that facilitate their exports. They have favorable climatic conditions and geographical locations that support their rice cultivation and trade. They have strong government policies and support that stabilize and promote their rice sectors.
Top Rice Exporters and Their Global Demand
Rice is one of the most widely consumed staple foods in the world, especially in Asia and Africa. According to the USDA, the global rice production in 2022/23 is projected to reach 510 million metric tons, while the global rice consumption is estimated at 502 million metric tons. The difference between production and consumption is mainly due to trade, as some countries export more rice than they consume, while others import more rice than they produce. In this blog post, we will look at the top rice exporting countries and how the global demand for their rice has changed over time.
India: The Largest Rice Exporter
India is the largest rice exporter in the world, accounting for 36.8% of the total rice exports in 2022, according to World’s Top Exports. India exported 21.5 million metric tons of rice in 2022/23, up by 11.8% from 2021/22, according to Statista. India mainly exports basmati rice, a long-grain aromatic rice that is highly valued in international markets, especially in the Middle East and Europe. India also exports non-basmati rice, which is mostly consumed in Africa and Asia. India’s rice exports have increased over the years due to its competitive prices, high quality, and diversified varieties. India’s main rice export destinations are Iran, Saudi Arabia, Iraq, United Arab Emirates, and Nepal.
Thailand: The Second Largest Rice Exporter
Thailand is the second largest rice exporter in the world, accounting for 13.5% of the total rice exports in 2022, according to World’s Top Exports. Thailand exported 8.2 million metric tons of rice in 2022/23, up by 18.3% from 2021/22, according to Statista. Thailand mainly exports jasmine rice, a fragrant long-grain rice that is popular in Southeast Asia and other regions. Thailand also exports parboiled rice, white rice, and glutinous rice. Thailand’s rice exports have recovered from a decline in 2019/20 due to the drought that affected its production and the COVID-19 pandemic that disrupted its logistics. Thailand’s main rice export destinations are China, Philippines, Benin, South Africa, and Nigeria.
Vietnam: The Third Largest Rice Exporter
Vietnam is the third largest rice exporter in the world, accounting for 8.6% of the total rice exports in 2022, according to World’s Top Exports. Vietnam exported 6.8 million metric tons of rice in 2022/23, up by 1.1% from 2021/22, according to Statista. Vietnam mainly exports jasmine rice, japonica rice, glutinous rice, and fragrant rice. Vietnam also exports broken rice, which is used for animal feed or processed food products. Vietnam’s rice exports have fluctuated over the years due to its weather conditions, domestic consumption, and government policies. Vietnam’s main rice export destinations are Philippines, China, Malaysia, Cuba, and Indonesia.
References:
http://faostat.fao.org/Portals/_Faostat/documents/pdf/FAOSTAT-Forestry-def-e.pdf
https://www.fao.org/faostat/en/#data/FO/visualize
https://www.worldstopexports.com/rice-exports-country/
https://www.statista.com/statistics/255947/top-rice-exporting-countries-worldwide-2011/
https://www.ers.usda.gov/topics/crops/rice/trade
http://www.fao.org/faostat/en/#data/QC
https://www.fao.org/faostat/en/#data/QCL/visualize
https://www.statista.com/statistics/255947/top-rice-exporting-countries-worldwide-2011/
https://apps.fas.usda.gov/psdonline/circulars/grain-rice.pdf
Essential Topics You Should Be Familiar With:
