Agricultural Market: Indian Rice Prices Hit 3-Year Low

Indian rice prices fell to a three-year low this week, hit by a weaker rupee and ample supplies, while Vietnamese rates also fell after the Philippines suspended imports to protect domestic farmers.

Workers transport rice at a warehouse in Jalandhar, India.

Asian rice market

India's 5% broken parboiled rice was quoted at $369-$374 a tonne, the lowest since August 2022, down from last week's $375-$380. India's 5% broken white rice was quoted at $360-$368 a tonne.

The weakening rupee is allowing traders to reduce export prices and remain competitive, said BV Krishna Rao, president of the Rice Exporters Association (REA). The Indian rupee has been trading near record lows this week.

Rao added that US demand for Indian rice could decline after US President Donald Trump announced a doubling of import duties on Indian goods. The new import duties, effective from August 28, 2025, will raise the tariff rate on Indian imports to 50% – one of the highest ever imposed by the US.

Meanwhile, according to the Vietnam Food Association, the country's 5% broken rice was offered at $391 per ton this week, down from $395-400 per ton last week.

A trader in Ho Chi Minh City said the Philippines' move to suspend rice imports is not good news for exporters, as it is the largest market for Vietnamese rice.

Meanwhile, Thailand’s benchmark 5% broken rice prices held steady at $370 a tonne, compared with a range of $370-$375 last week. A Bangkok-based trader said buyers were delaying decisions due to India’s announcement to release up to 7 million tonnes of rice, while the Philippines’ move was also adding pressure to the market.

Meanwhile, Bangladesh's rice reserves remain stable, and the government has exceeded its summer rice procurement target.

US agricultural market

Chicago wheat, corn and soybean futures fell after a volatile session on August 8, as traders weighed a recovery in demand due to low prices against expectations of ample supplies.

Wheat on the Chicago Board of Trade (CBOT) fell 3.75 US cents to $5.1450 a bushel. Corn fell 1.5 US cents to close at $4.055 a bushel. And soybeans ended the session down 6.25 US cents to $9.8750 a bushel. (1 bushel of wheat/soybean = 27.2 kg; 1 bushel of corn = 25.4 kg)

Higher-than-expected weekly U.S. export figures from the U.S. Department of Agriculture suggest low prices are spurring demand, while a series of corn sales in recent days to Mexico, Guatemala and other buyers have also helped support prices.

Wheat and corn prices recovered partly due to buying by traders, before the release of an important report from the US Department of Agriculture (USDA).

Grain markets are now turning their attention to the USDA's monthly supply-demand forecast report, due out on August 12.
The United States is expected to have a bumper corn harvest later this year. Analysts polled by Reuters expect the U.S. Department of Agriculture to raise its production forecast in its monthly report on Aug. 12.

Expectations of ample supplies have put heavy pressure on prices, amid ideal growing conditions for corn and soybeans in the US.

World coffee market

In the world market, the price of robusta coffee in London and arabica coffee in New York both increased sharply in the session on August 8. The price of robusta coffee futures for delivery in September 2025 increased by 143 USD/ton to 3,561 USD/ton, the price of futures for delivery in November 2025 increased by 133 USD/ton to 3,510 USD/ton. The prices of further futures all increased from 117 to 124 USD/ton.

On the New York floor, the price of Arabica coffee for September 2025 delivery increased by 11.55 US cents/pound to 309.35 US cents/pound, the December 2025 delivery period increased by 11.30 US cents/pound to 302.45 US cents/pound, and the remaining terms increased from 8.65 to 9.95 US cents/pound. (1 pound = 0.4535 kg)

Signs of tight coffee supplies are supporting prices after Brazil’s Trade Ministry said unroasted coffee exports in July 2025 fell 20.4% year-on-year to 161,000 tonnes.

The Brazilian real rose to a one-month high, also supporting prices, as the strong local currency kept Brazilian exporters from selling.

A strong price increase was also recorded in the Vietnamese coffee market. On August 9, domestic coffee prices fluctuated around 103,500 - 104,000 VND/kg. The average price of green coffee beans nationwide reached 103,800 VND/kg, an increase of 2,200 VND/kg.

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