In the first week of May, there was some slight unrest in the Brazilian rice market as well as a new drop in price. The state of Rio Grande do Sul is in the midst of its 2022–2023 rice harvest with a lower production forecast than the previous season. According to SAFRAS & Mercado’s analyst, Evandro Oliveira, “there is also a difference in quality between the main regions due to unfavorable climate.” Most cereal alternatives are more expensive in major consumer areas, which may have impacted the rise in rice demand. “Other factors that could intensify are the new federal funding payments and the start of the May wage period”, Oliveira said.
Source: Safras&Mercado (*Translated by Ia Niani)