Rice woes set to continue: IRRI

16/10/2008 14:14:21

The International Rice Research Institute in Manila says world rice markets are likely to remain tight in 2009 despite an expected record harvest.

Export prices of one of the world's most important grains almost tripled between last November and May, triggering riots in more than a dozen countries, before softening to still historically high levels of more than $US700 per tonne.

The institute says there must be increased investment in agriculture to boost rice-yield growth because prices are likely to remain high partly in response to export restrictions imposed by key rice-producing countries.

It says stocks in the United States, one of the few countries to resist imposing trade barriers during the recent crisis, are projected to decline further and is expected to destabilize the market in the coming months.

Produced by Radio Australia and Australia Network