FAO: World rice price index near 12-year high in July

Food and Agriculture Organization of the United Nations (FAO) said today, Friday, that its rice price index recorded an increase of 2.8% in July compared to the previous month, to reach its highest level in about 12 years, with a jump in prices in the main exporting countries as a result of increased demand and India’s move to limit exports.

According to Reuters, the organization said that its rice price index for all kinds, which measures prices in major exporting countries, averaged 129.7 points in July, compared to 126.2 points in the previous month.

The organization added that the index rose nearly 20 percent in July from 108.4 points last year and recorded the highest level since September 2011.

FAO World Food Price Index rose in July from its lowest level in two years

India, which accounts for up to 40% of global rice exports, last month ordered the suspension of its largest category of rice to bring down domestic prices, which have risen to multi-year highs in recent weeks, as volatile weather threatens production.

India, Thailand, Vietnam, Cambodia and Pakistan are among the major rice exporters. China, the Philippines, Benin, Senegal, Nigeria and Malaysia are major importers.