Rice Market - Growth Opportunity Assessment

Rice inventories’ are increasing as the rice supply is continuously improving globally. Rice is one of the major food staples and mainstay for the rural population and their food security. Moreover rice is used as a wage commodity for workers in cash crop or non agriculture sectors in some countries such as India among others.

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The global rice market can be segmented according to product type such as long grain white rice (high quality), long grain white rice (low quality), long grain parboiled rice, long grain fragrant rice, broken and medium grain milled among others.

The market can be segmented geographically into North America, APAC, Europe and RoW regions.

The global rice market is expected to grow with a healthy single digit CAGR from 2013 to 2019.

The key driver of this market is the growing fast food industry and restaurants. Rice is one of the favorite cereals for most of the consumers. The growing population is second driver for increasing consumption of rice globally. The demand for fragrant rice is increasing gradually globally. Moreover long rice (high quality) is one of the premium class rice and it is not consumed on a regular basis.

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The distribution channel includes hypermarkets/supermarket, departmental stores and stores among others. Asia Pacific is the major producer and exporter of rice globally. However China and India are of the major consumers and producers.

Some of the key players in rice industry are Riceland foods Inc., V.A.P Foods ltd and KRBL ltd among others.