Rice prices expected to fall 10% in Kingdom

A prominent rice importer has predicted that rice prices in the Kingdom are expected to go down by 5-10 percent in the coming months, local media said.
Meanwhile, an Indian rice dealer told the media that rice prices in India have remained stabilized for the last period and, therefore, alleged price hikes in the Saudi markets are unjustified.
Mandeep Singh Bindra, an Indian rice dealer and a key figure in the Emirates Grain Products Company (LLC), ruled out any price hikes in India as production is nearing 90 million tons and growing remarkably.
Saudi Arabia's rice imports from India are ranging between 1.5-2 million tons annually and imports are poised to grow, Bindra told Al-Eqitsadiah daily.
India rice exports to the Kingdom account for 20 percent of the Indian total exports to all countries, he said.
For his part, Mohamed Abdulrahman Al-Shaalan, one of the key rice importers, said rice prices have stabilized since last Ramadan with minor price reduction levels in some parts of the year.
He said the majority of the Kingdom’s rice imports from India is “Besmati” brand which represents 70-80 percent of the overall imports.
Al-Shaalan said Indian rice production in the current season was good with surpluses reaching 20 percent compared to last year’s production levels. He affirmed investment relations with their Indian counterparts were excellent and refuted alleged price exaggerations by the Indian traders.
Saudi markets are expected to witness a remarkable stability in rice prices over the coming months with a decline to range between 5-10 percent on the back of oil price falls, he said.