Swot Analysis Of Rice Industry
Rice industry outlook 2018
• Major rice producers and consumers
• Global rice trade market
• Factors dominating the rice trade
Rice is the 3rd largest produced agricultural commodity in the world, after sugarcane and maize. This is also the most widely consumed staple crop, especially in Asia. Presently, the global harvested area under rice cultivation is 160 million hectares.
Moreover, the global rice production and consumption moves in tandem. The production is expected to increase with a CAGR (compound annual growth rate) of 1.24% from 417.86 MMT ([Million Metric Tonnes], [2006]) to 484.71 MMT (2018). Similarly, the consumption is also expected to increase with a CAGR of 1.28% from 412.26 MMT (2006) to 480.49 MMT (2018).
Source: USDA (United States Department of Agriculture) and PSD (Production Supply and Distribution Online)
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This is lower than India’s but is greater in terms of rice production on the back of higher yield, which is due to better irrigation facilities. Additionally, China’s rice yield is 6.91 MT/ha (metric tonne/hectare), this is much higher as compared with the world average of rice yield at 4.51 MT/ha. Thus, this make China, the largest producer of rice. The country is also the biggest consumer of rice. It accounts for almost 30% of the world’s rice production and consumption,
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