Higher rice prices keep inflation simmering in Asia

Nikkei Asia ^

[FarCenter]

TOKYO -- Inflation continues to simmer in many Asian countries largely due to higher prices of rice and other food items. Increases in food prices account for 50% to 70% of inflation in the Philippines and India.

Prices of rice, a regional staple, have soared due to poor harvests caused by extreme weather. Prices are unlikely to come down soon, as many rice exporters have grown reluctant to sell it abroad, giving priority to domestic demand. Concerns are mounting about a possible recurrence of the food crisis in the late 2000s.

Inflation has begun to show signs of slowing down in some Asian countries but continues to affect consumers. In November, the Philippines had inflation of 4.1%, compared to 3.1% in the U.S. and 2.4% in the eurozone. Nearly a third of the increase came from higher rice prices. President Ferdinand Marcos Jr. capped rice prices for a month through early October, calling the staple the lifeblood of the nation.

"Rice in Asia, rice in the countries where it is the staple, is in fact life," said Marcos.

[Wally_Kalbacken]

Rice too damn high! Rice too damn high!

[Jonty30]

One word. China.

[RockyTx]

price of rice is 17.50 USD per hundredweight,
which is not that far from recent averages

perhaps this story was made up by AI

[LadyDoc]

They have it wrong. We grow rice here in the Philippines.
The price if growing rice has skyrocketed due to the huge increase in the price of fertilizer (we use organic fertilizer and that has gone up too).

Then add the increase in the price of diesel used by handplows, harvesters, threshers, irrigation pumps, milling and transport to market.

We actually had a good harvest but might not make a profit this growing season