Global rice prices have increased to a 15-year high according to reports released in August.
The Agriculture Organization (FAO), in a report on Friday, said the rice price index rose 9.8 percent in August from July to its highest level since July 2008.
The FAO explained that the rise in the price of rice is driven by uncertainty about the duration of India’s export ban and concerns about other exports.
“The FAO All Rice Price Index rose by 9.8 per cent from July to reach a 15-year nominal high, Reflecting trade disruptions in the aftermath of India’s ban on Indica white rice exports”.
Nigeria is a major rice importer and the rising global prices are likely to put further pressure on prices in the country.
The FAO lowered its projection for world rice trade in July, considering the intensified export restrictions imposed by India.
Looking ahead, the FAO suggested that any recovery in the rice trade in 2024 will likely be modest if India’s export restrictions persist and positively impact Africa’s largest rice producer, Nigeria.