Rice Futures Stay Near 1-Year High
2026-07-08 14:46
By
Luisa Carvalho
1 min. read
Rice futures traded slightly above $13 per hundredweight, hoding close to their highest since June 2025, amid climate risks and fresh geopolitical tensions.
Analysts expect a very strong El Niño to develop in the coming months across key producing regions in Southeast Asia and parts of the Southern Hemisphere, with rice viewed as the most vulnerable crop.
Still, global rice stocks remain abundant after successive strong harvests, led by top grower India.
World milled rice inventories reached a record 196.2 million tonnes at the start of 2026, with India's stocks climbing to an all-time high of 68.4 million tonnes in June.
Indonesia, a major rice importer, is holding record stockpiles as farmers speed up planting to mitigate El Niño risks.
In Thailand, inventories are at their highest level in a decade, with fresh second-crop arrivals expected from late July.
Meanwhile, renewed Middle East tensions have raised the risk of disruptions to commodity shipments through the Strait of Hormuz.