The world is facing rice shortages. The largest global producers report that there have been no problems with the harvest of one of the most cultivated grains like this year in the last 20 years. The global deficit for 2022/2023 is expected to be 8.7 million tons, analysts predict, and shortages will most affect Southeast Asia and Africa where 95 percent of globally grown rice is consumed.
Analysts ‘blame’ the war in Ukraine for the rice shortage, but also the climatic impact on economies that produce rice such as China and Pakistan.
In the second half of last year, parts of agricultural land where rice is grown in China, the world’s largest rice producer, were affected by heavy summer monsoon rains and floods. The accumulated amount of precipitation in the provinces of Guangxi and Guangdong in the country, the main Chinese rice production centers, was the second highest in at least 20 years.
Pakistan, which accounts for 7.6 percent of global rice trade, recorded a 31 percent drop in annual production compared to the previous year due to major floods last year. All this only confirms how vulnerable rice is as a crop.
Moreover, rice has become an increasingly attractive alternative after the spike in prices of other major grains, especially those exported by Ukraine, and with the decline in production in the USA and the EU, it is not surprising that its price is rising due to increased demand in international markets. The situation has escalated to the point that India has banned rice exports. This only means that the increased prices of rice and the market shortage will be felt by the poorest countries that heavily depend on rice, and a year of hunger is approaching for many markets, especially in Africa.
– Stabilization in the markets may not occur until 2025 – experts emphasize.
