Global rice consumption continues to rise in the next two years: EIU

The UK-based Economist Intelligence Unit (EIU) forecasts the global the global rice consumption will rise in the next two years, according to the Vietnam Industry and Trade Information Centre.

The global rice consumption is expected to lift to the record of 496 million tonnes in 2020-2021 and rise to 501 million tonnes in 2021-2022 because of population growth and governments’ increasing concerns over food security. 

For the next two years, rice demand for human consumption which accounts for 95 per cent of total global rice demand will continue remaining a main decisive factor in the supply-demand balance. The rice demand for animal feed production accounts for about three per cent of total global demand, mostly from Asian countries, particularly China.

According to the EIU’s forecast, the production of milled rice in season 2020-2021 will stay at 504 million tonnes as predicted previously because of high production in key suppliers like India, Thailand and China.

The rice prices have been increased sharply in the recent time, which will push the expansion of rice cultivation areas in many countries. Increased production will result in increased supply and increased reserve in countries including top rice exporters like India. It is predicted that global rice production in 2021-2022 could reach a record of 509 million tonnes.