(RICE) Price

Price

In late 2007 to May 2008, the price of grains rose greatly due to droughts in major producing countries (particularly Australia), increased use of grains for animal feed and US subsidies for bio-fuel production. Although there was no shortage of rice on world markets this general upward trend in grain prices led to panic buying by consumers, government rice export bans (in particular, by Vietnam) and inflated import orders by the Philippines marketing board, the National Food Authority. This caused significant rises in rice prices. In late April 2008, prices hit 24 US cents a pound, twice the price of seven months earlier.^[41]
On April 30, 2008, Thailand announced plans for the creation of the Organisation of Rice Exporting Countries (OREC) with the intention that this should develop into a price-fixing cartel for rice.^[42][43]

[edit] Worldwide consumption

Consumption of rice by country—2003/2004 (million metric ton)[44]
China	135
India	85.25
Indonesia	36.95
Bangladesh	26.4
Brazil	24
Vietnam	18
Thailand	10
Myanmar	10
Philippines	9.7
Japan	8.7
Mexico	7.3
Pakistan	6.0
South Korea	5.0
Egypt	3.9
United States	3.9
Source: United States Department of Agriculture

Between 1961 and 2002, per capita consumption of rice increased by 40%.
Rice is the most important crop in Asia. In Cambodia, for example, 90% of the total agricultural area is used for rice production.^[45]
U.S. rice consumption has risen sharply over the past 25 years, fueled in part by commercial applications such as beer production.^[46] Almost one in five adult Americans now report eating at least half a serving of white or brown rice per day.^[47]