Market Update

Shipping Delays & Failing Demand Weigh on Global Rice Market

Geopolitics crowd the headlines, and rice is now caught in the crossfire. Not only have there been reports of both container and bulk vessels loaded with rice being held up, but the fear of the unknown is also sending shockwaves through the demand complex. We will touch later on the fact that global rice stocks continue to bulge according to the most recent WASDE, so any additional tightening on the demand side is borderline catastrophic to the already strained supply side of the equation. 

The FAO Rice Price Index was right in line with last month at 103.2 points, yet still down 2.5% from the same time last year. We have been saying for some time now that we are bouncing along the bottom, and this global price index would validate the statement. However, the FARPI is a trailing indicator and has not taken into account the halting shipments in the Persian Gulf because of the war in Iran. We expect to see further losses in the next report as a result. The index, which takes into account short, medium, and long grain varieties, was mixed this month, with medium grain seeing slight increases and long grain seeing slight decreases, averaging out to a net zero change month over month.

The most recent Grains Report offers an overview of the 2025/26 global rice production. Like the FAO Rice Index, it is virtually unchanged since last month, with increases to Cuba and Kazakhstan offsetting a smaller crop in Honduras. Global trade is down with decreases to Thailand, Cambodia, and the United States. Global consumption is down, led by reductions in Cameroon and Guinea. Global stocks are forecast to rise due to India, Bangladesh, and Thailand

Further reading into the WASDE this month, since last month, global export quotes decreased for all major exporters aside from Uruguay. U.S. quotes dropped $16 to $534/ton on continued weak sales to traditional markets. Uruguayan quotes jumped to $459/ton on tight supplies ahead of the harvest of its new crop. Indian quotes decreased to $346/ton on weaker demand from Sub-Saharan Africa. Vietnamese quotes decreased to $352/ton, reflecting the start of the spring harvest, offsetting improved demand from the Philippines. Thai quotes dropped $17 to $383/ton on currency depreciation and reduced demand

The weekly USDA Export Sales report shows net sales of 32,600 MT this week, up 68% from the previous week, but down 58% from the prior 4-week average. Exports of 40,900 MT were up 40% from the previous week and 2% from the prior 4-week average.

Washington, D.C. Update

USTR Initiates Section 301 Investigations Related to Structural Excess Capacity and Production in the Manufacturing Section

On Wednesday, March 11, the Office of the U.S. Trade Representative (USTR) announced the launch of several investigations regarding the acts, policies, and practices of various economies under Section 301(b) of the Trade Act of 1974 pertaining to structural excess capacity and production in manufacturing sectors. An investigation under Section 301 examines whether the acts, policies, or practices of a foreign country are unreasonable or discriminatory and burden or restrict U.S. commerce. Country economies subject to these investigations at this time are: China, the European Union, Singapore, Switzerland, Norway, Indonesia, Malaysia, Cambodia, Thailand, Korea, Vietnam, Taiwan, Bangladesh, Mexico, Japan, and India. As part of the investigation process, interested stakeholders can submit public comments regarding the investigation between March 17 and April 16, 2026. Additionally, USTR intends to hold a hearing in relation to these 301 investigations starting March 5, 2026. You can find more information and the official press release here, a copy of the Federal Register Notice here, and the docket for public comments regarding the investigation here. 

Senate Ag Holds Hearing Promoting Domestic Production of U.S.-Grown Products

On Tuesday, March 10, the Senate Committee on Agriculture, Nutrition, and Forestry held a hearing titled “Increasing Domestic Production of U.S.-Grown Agricultural Products.” Featuring testimony from various leaders of agricultural trade associations. Republicans and Democrats agreed on the need to support American farmers facing financial stress and rising input costs. Republicans focused on expanding domestic and international markets, reducing regulatory burdens, and supporting biofuels and the  Buy American Cotton Act  to boost profitability. Democrats emphasized strengthening nutrition and specialty crop programs, making E15 fuel permanent and year-round, addressing ag labor shortages, and ensuring equitable aid distribution. Other topics discussed included the impact of tariffs, global conflicts, farm labor reform, antitrust enforcement, and the importance of research and nutrition policy in supporting the agricultural sector’s long-term resilience. You can find a list of witnesses and their submitted testimonies as well as a recording of the full hearing, here. 

International Update

Delegation members with USDA Under Secretary Luke Lindberg

As part of the T.R.U.M.P. mission to Central America, industry representatives and trade officials traveled to Guatemala and El Salvador to strengthen commercial relationships and promote the benefits of U.S. agricultural products, particularly U.S. rice. The mission included meetings with government authorities, importers, millers, distributors, and retail partners to discuss market conditions, trade opportunities, and logistics that support the continued flow of U.S. rice into the region. These engagements reinforced long-standing partnerships while identifying opportunities to expand exports and collaboration.

The US Rice Producers Association (USRPA) participated in the mission, represented by USRPA COO and Director of Western Hemisphere Promotions, Iris Figueroa, together with Guatemala local country representative Roberto Wong and El Salvador local representative Salvador Díaz. Throughout the visit, they met with key industry stakeholders and partners involved in importing, distributing, and promoting U.S. rice in the region.

In Guatemala, the delegation held meetings with importers, industry leaders, and government representatives, and visited retail locations where U.S. rice is actively marketed. The delegation also had the opportunity to engage directly with long-time partners from ARROZGUA, who addressed the ongoing issue of rice mislabeling in the market. This discussion provided an important platform to highlight the need for transparency and proper labeling practices to protect both consumers and legitimate rice suppliers.

ARROZGUA representatives, Mario Solorzano, Sergio Garcia, and Jose Pivaral, joined by Under Secretary Luke Lindberg, Tyler Hubler, International Trade Specialist, Trade Policy and Geographic Affairs, FAS and Iris Figueroa, USRPA.

Jutiapa millers present at the USDA networking event in Guatemala. Left to right: Ministra de Agricultura: Ingeniera Maria Fernanda Rivera, Henry Gonzalez Sr., Wilzon Zepeda, Felipe Nery Lopez, Carlos Ruano, Import Director for the supermarket chain SUMA, Iris Figueroa, and Henry Gonzalez, Jr.

The mission also continued in El Salvador, where the delegation met with government representatives, local importers, and private sector partners involved in the rice trade. Meetings with retail and food service partners provided an opportunity to discuss consumer demand, market trends, and future growth opportunities for U.S. rice in the Salvadoran market.

During both country visits, USDA Under Secretary Luke Lindberg and members of the delegation were able to see firsthand the ongoing promotional activities supported by USRPA in Guatemala and El Salvador. These initiatives include in-store promotions and consumer engagement efforts designed to highlight the quality, consistency, and versatility of U.S. rice. The delegation also had the opportunity to taste dishes prepared with U.S. rice, experiencing directly how the product is presented to and enjoyed by consumers in these markets.

Under Secretary Luke Lindberg, Carlos Calleja; President & CEO of Supermercados Selectos, and Iris Figueroa.

Roundtable meeting with Minister of Economy María Luisa Hayem, where Iris Figueroa and Arkansas rice farmer Dow Brantley discussed the ongoing rice mislabeling issue with government officials.

Iris Figueroa and Minister of Economy Maria Luisa.

Figueroa emphasized the importance of maintaining strong partnerships through direct engagement and participation in trade missions. “These missions are extremely valuable because they allow us to connect directly with our partners in the market and demonstrate the work being done to promote U.S. rice,” she said. “It is important for our partners and U.S. officials to see the impact of our ongoing promotional programs and to continue strengthening the close relationships that sustain and grow U.S. rice exports throughout the Western Hemisphere.”

RMTC 2026

Welcome, Ricardo Mendoza, as a speaker at RMTC 2026!

At RMTC 2026, Ricardo Mendoza will join the speaker lineup to provide an update on the Mexican rice market, offering valuable insights into current trends, challenges, and opportunities shaping the industry.

Mendoza is originally from Mexico City. He completed his undergraduate studies at the Chapingo Autonomous University, obtaining the Agro-industrial Engineer Degree in 1990.

He has a master's degree in Agribusiness Strategy that he obtained at the Center for Economic, Social, and Technological Research on Agroindustry and World Food, of the Chapingo Autonomous University in 2014.

He worked in the private sector in 1992 and later in the Ministry of Agriculture, where he worked from 1994 to 2003, holding positions of Head of the Department of Foreign Trade, Deputy Director of Fruits and Vegetables, and Director of Basics and Oilseeds.

He has been the General Director of the Mexican Rice Council since 2007, with extensive experience in this sector.

Photo from Rice Country

May 26 - 28, 2026

Rice Market & Technology Convention

Cartagena, Colombia

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June 6, 2026

LSU AgCenter South Farm Rice Field Day

Crowley, LA

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25722 Kingsland Blvd., Suite 102

Katy, TX 77494

p. (713) 974-7423

e. info@usriceproducers.com

usriceproducers.com

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