Why Rice Markets Are In Crisis Mode

Global supplies of rice are facing its most significant shortage in two decades, exacerbating food insecurity fears. Rice is a staple food for over half the world’s population. India’s export bans sent shockwaves through markets as some argue the country is using food as a political pawn. America’s $34 billion rice industry must compete against the same market uncertainty while managing droughts, floods and changing temperatures. Watch this video to learn more about how global rice markets influence food security, geopolitics and the livelihoods of millions of farmers.

Chapters:
00:00 — Introduction
01:40 — Rice farming
03:08 — Distorted markets
05:04 — Looming threats
07:47 — Policy potential

Produced Edited by: Andrea Miller
Animation: Josh Kalven
Supervising Producer: Lindsey Jacobson
Additional Footage: Getty Images, APTN, Reuters, CCTV

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Why Rice Markets Are In Crisis Mode

[sijugeorge-yuqq]

India gives subsidies to Rice farmers = bad

USA gives subsidies to Rice farmers = very good and a safety net for farmers.

The nutshell of the entire report. WOW

[Paulo.]

I love that when India subsidized their rice farmers it's inefficient subsidies because of electoral motives, but then when the US does the same it's "supplemental income and safety nets". And it's good because farmers are good for food security and the local economy

[Vanyajeevi]

It’s not due to elections that Indian government has banned rice export but it’s due to el-nino effect. This year India received 40% less rainfall and next year it’s predicted that India will receive up to 70 % less rainfall. Food security is what government is looking into. If we keep exporting like nothing will happen who’s gonna meet the common man’s requirement of food when there is a crisis ??, these so called experts did not make this point at all.. such a shame!!!

[tusharevr]

There was almost no rain in most parts of India in August, a core monsoon month. That's why rice export was banned; not due to elections. Food security is at the core of the export ban; not some elections.

[_GMP_]

Already rice is sold at 30-50% higher than last year in Local Indian markets.

If there was no export ban the price would have doubled.

[shsd]

What I got from this video is that "a small investment from US Congress" can help subsidize Chipotle and Anheiser-Busch's ingredients, since almost all of US rice stays domestic, and they're the biggest purchasers named in this video.

God forbid we ask those companies to just pay market rate for their ingredients

[miket]

qft! "I love that when India subsidized their rice farmers it's inefficient subsidies because of electoral motives, but then when the US does the same it's "supplemental income and safety nets". And it's good because farmers are good for food security and the local economy"

[riturajsinghpanwar]

According to this channel
Indian subsidy: electoral gains
American subsidy: helps poor farmers.

Americans are the most vicious when it comes to money.

[rutdvajrawal]

India had one of the worst monsoon on record this year as there was almost no rainfall in the month of august which put a lot of pressure on the government to ensure that there are stocks to prevent something hazardous. Also, singapore, phillipines and many other SEA countries have contacted the indian government for exceptions and the Indian government has granted them exceptions and rice will be exported to them. Simply put, India does not want to be a victim of rich western traders sitting in their manhattan offices speculating on indian rice which will put inflationary pressures on india

[paadipanta]

This episode do not reveal full information. India's rice ban is temporary. It has 3 years of rice stocks in its FCI warehouses. The stock is feed the people if there are two years of consecutive monsoon failures. In addition the farmers are converting rice fields in to more profitable crops such as fish and shrimp farming. India put ban on export of non-Basmathi verities, that are produced in South India such as Sona Masoori, Ponni, BPT etc., that are produced in the deltas of Godavari, Krishna and Kaveri river systems. The reasons to impose ban are compelling as the stocks of these varieties are going down and per capita yield is also going down due to water shortage/crop migration etc. The rice that go to Africa which is unpolished, broken, and subsidized has no ban.

[bernardorodillo]

As a Filipino, I feel envious to the Indians because despite the massive population of India, their govt is verymuch capable of providing enough food for the citizens. The Philippines, despite being considered as an agricultural country, is not capable of producing enough rice and instead imports rice from Thailand and Vietnam. Political leaders have come and gone but because the country’s government is being run like hell, the Filipinos are facing a very dark future…

[peak_]

It's better if American media stays away from topics they don't understand.
Openly saying "my subsidy is good but if you did the same, it's bad" won't make you an intellectual and liberal as western journalists like to think of themselves.

[TomNook.]

What I find truly remarkable is that this entire 10 minute video about rice didn't mention China once.

[reniesulaweyo]

I'm in Europe and love short grain rice. I am glad they are trying to take care of their farmers and ensuring a stable food source.

[KUD]

Indian Ban on rice exports has nothing to do with politics or elections. The reason is entirely domestic food security. The failure of monsoon rains in 2023 and erratic weather is bringing down rice security stockpiles. Further, already skyrocketing rice prices in India is mainly responsible for the export ban. Concern for people's food safety and not politics is the reason behind rice export ban has to be noted.

[Patricia-Margaret]

Nobody can become financially successful over night. They put in background work but we tend to see the finished part. Fear is a dangerous component, hindering us from taking bold steps we need in other to reach our goals.

[Josh-ksco]

Best part is market bro saying rice export ban was "just political" to keep rice prices reasonable in thier country...like that somehow is a bad thing.

[ChadWilson]

A beer company is the #1 consumer of rice. There is no problem with supply, but how it is consumed

[AnandaAtHome]

It’s refreshing to see so many people in agreement in the comments with different perspectives of this complicated game - while also having compassion for India’s hellacious weather.

[Radoblenc]

The last week I was shopping at this dep. store "More" and was shocked to see the price of "idli rice" gone up from ₹35 to ₹100/kg. Two days ago, it was ₹130/kg. Idli rice is a staple in South India. Rozana Basmati is cheaper at ₹85 a kilo. We are having Basmati Idlis !!! I can afford it but I'm not buying. If I buy it, I'm supporting the supply moghuls who think it is ok to rip off people at Diwali.