The global rice market size was valued at USD 281.23 billion in 2021 and is projected to reach USD 347.23 billion by 2030, registering a CAGR of 2.37% from 2022 to 2030.
More than half of the world's population relies on rice as their primary source of nutrition, making it the most significant crop for food production in underdeveloped countries. It is a wonderful source of complex carbohydrates and is rich in a variety of nutrients, including vitamins and minerals. The presence of the pigment anthocyanin gives red rice, one of the most common types of rice, its distinctive hue. Out of all the different kinds of rice, the variety of rice known as red rice has the most nutritional content. Rice that has been partially boiled while still in the husk is referred to as grain parboiled rice.
The perfume of grain fragrant rice comes from the naturally occurring generation of aroma compounds by the rice plant. Grain fragrant rice is a long-grain type of fragrant rice category. In recent years, the market growth has been driven by increasing demand for a diet high in carbohydrates among the majority of the world's population, an increase in rice production and quality management by farming sectors in many countries, an increase in the trend of rice exports, and an increase in government policies initiatives for the development and commercialization of major domestic rice production industries. In addition, the significant market development of key companies such as ITC and Ebro is another factor that is contributing to the expansion of the market. Rice length, kind, product type, application, distribution channel, and geography are the factors that are considered in the Rice Industry Analysis.
|Fastest Growing Market||Europe|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, Environment & Regulatory Landscape and Trends|
People have started to pay more attention to what they eat in recent years, and as a result, they are looking for diets that are more well-rounded and contain an adequate amount of carbohydrates. In many high-income countries, a shift in the proportion of food consumed that is high in carbohydrates, particularly rice, has been observed. Restaurants are responding to consumer demand by expanding their menus to include a wider variety of meals, particularly rice preparations. The growth of the market is anticipated to be fueled by this factor during the years 2022 and 2030.
Although national aggregate rice yields continue to rise in most Asian countries, albeit at a slower rate, yield declines have been documented in several long-term experiments on double-crop and triple-crop irrigated rice systems. This is even though rice yields continue to rise in most Asian countries overall. The rate of production in the most recent few years has decreased as a direct result of a decline in the quality of nitrogen management and the supply of nitrogen in the soil over the years. As a result, it is predicted that it will act as a barrier to the expansion of the market over the period spanning 2022-2030.
Eleven nations in Asia are responsible for producing around 87 percent of the world's total rice supply. About one-third of the world's total rice supply is shipped out of only eight of these countries. Rice production in Asia, particularly in India and China, has a significant influence on the overall level of food security around the globe. It is anticipated that this will open up chances for the demand for rice, which will, in turn, contribute to the expansion of the market throughout the period spanning 2022-2030.
The market is split by region into North America, Europe, Asia-Pacific, and LAMEA.
Asia-Pacific is in the driver's seat when it comes to the geographical sector of the rice market, holding a share of more than 41.7 percent in 2019. Europe is in second place. The massive expansion of the market over the past two decades can be attributed to several factors, including the presence of key market players in the region, the increasing popularity of diets that are low in calories and high in fiber, and the good amount of rice cultivation that can be attributed to a favorable climate and geography. In the geography segment share of the market, Europe held the second place position. This was due to the growing consumption of rice and related recipes by the urban population, the rise in farming and agricultural activities, and the entry of key market players in recent years.
During the period covered by the forecast, 2020-2025, it is anticipated that Asia-Pacific will continue to expand at the quickest rate and a higher CAGR. This occurs as a result of developing nations like India and China boosting their rice exports, advantageous government plans for rice farming, and an increase in the population's disposable income.
Long-grain held the highest share of the Rice Market's rice length segment in 2019 and is projected to increase at a CAGR of 3.24 percent from 2022 to 2030. This segment's rise is primarily driven by its increasing use in social gatherings, daily meals, and ethnic cuisines such as pilaf and stir fry, which becomes firm, fluffy, and separate after cooking. As local output stays unchanged, imports increase to meet increased consumer demand. Long-grain types that are not japonica are gaining popularity among consumers, whereas japonica rice is the predominate cultivar. Saudi Arabia's imports are rising due to an anticipated increase in religious tourism. Basmati, long-grain parboiled, and medium-grain rice are exclusively imported due to the absence of native manufacturing. In recent years, this has caused a fast increase in the demand for long-grain rice. Medium grains are anticipated to be the category with the highest CAGR throughout the projected period of 2022-2030, as China's exports are anticipated to be robust, supported by continuing auction sales of its vast inventories. Chinese old-crop rice is selling for approximately $300/tonne, and export prices for medium- and short-grain rice are averaging slightly higher than that, significantly below the pricing of another medium- and short-grain exporters, which is likely to boost the worldwide sales of medium grains.
In 2019, supermarkets dominated the distribution channel segment of the Rice Market. This is because the majority of supermarkets are located in metropolitan and semi-urban areas, where the population wants product accessibility. In recent years, there has been a substantial increase in the number of supermarkets. There has been further growth in sales due to the increase in local supermarkets, discount offers, and convenient delivery. E-commerce is anticipated to increase at the quickest rate with the greatest CAGR during the projection period of 2022-2030, as a result of the expanding customer base for rice consumption and the escalating important investments by major market players in digital commercialization.
In December 2018, The Indian Rice Market was already rather competitive when ITC introduced Sona Masoori, a superior kind of non-basmati rice.
In January 2017, Ebro Foods, S.A. merged with its rice and pasta companies in the United States, Riviana Foods Inc., American Rice, Inc., and New World Pasta Company. As a result of this merger, Ebro Foods, S.A. became the largest manufacturer and marketer of rice products in the United States, while also becoming the second-largest producer and distributor of pasta products.
In May 2020, Amid the shutdown, India Gate Basmati Rice worked with Zomato and Swiggy to transport products directly to customers' homes.