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New Dynamics in the World Rice Market

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  • Dawe, David

Abstract

In the last four decades of the 20th century, the world rice market was highly unstable, with price volatility greater than that on world wheat and maize markets. In the 21st century, however, new dynamics (a thicker world rice market, more irrigation, milder export restrictions) have contributed to a reduction in price volatility that is now lower than that on world wheat and maize markets. In addition, the El Niño events that are responsible for many shocks to the world rice market are largely predictable several months in advance. The reduced volatility on the world rice market and the predictability of El Niño events make it easier to use international trade as an instrument for food security. The recent experience with rice trade liberalization by Asian rice importers has been largely positive, helping to improve food security and the affordability of healthy diets, with little impact on domestic price volatility.

Suggested Citation

  • Dawe, David, 2024. "New Dynamics in the World Rice Market," Asian Journal of Agriculture and Development, Southeast Asian Regional Center for Graduate Study and Research in Agriculture (SEARCA), vol. 21(AJAD 20th), October.
    • Handle: RePEc:ags:phajad:348349
    DOI: 10.22004/ag.econ.348349
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    References listed on IDEAS

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    1. Christopher L. Gilbert, 2010. "How to Understand High Food Prices," Journal of Agricultural Economics, Wiley Blackwell, vol. 61(2), pages 398-425, June.
    2. Paul Dorosh, 2008. "Food Price Stabilisation And Food Security: International Experience," Bulletin of Indonesian Economic Studies, Taylor & Francis Journals, vol. 44(1), pages 93-114.
    3. Borchers, Allison & Truex-Powell, Elizabeth & Wallander, Steven & Nickerson, Cynthia, 2014. "Multi-Cropping Practices: Recent Trends in Double-Cropping," Economic Information Bulletin 262122, United States Department of Agriculture, Economic Research Service.
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