Global Rice Market Outlook, 2030

Rice, a staple for more than half of the world's population, plays a pivotal role in global agriculture and food systems. As one of the most widely consumed grains, the rice industry is vital for ensuring food security, driving economic growth, and supporting rural livelihoods, especially in Asia, where the majority of rice is grown and consumed. Rice is cultivated in over 100 countries across the world, with Asia accounting for approximately 90% of global production. Major producers such as China, India, Indonesia, and Vietnam dominate the market, contributing significantly to both domestic consumption and exports. Beyond Asia, countries like the United States, Brazil, and Egypt have also developed substantial rice-growing capacities. The demand for rice is ever-growing due to population growth and its role as a dietary staple. In regions like sub-Saharan Africa, rice consumption is expanding rapidly, driven by urbanization and changing dietary preferences. The rice industry is a key economic sector for many developing nations. It supports millions of smallholder farmers and laborers, providing livelihoods and serving as a primary source of income. In countries like Thailand and Vietnam, rice is not only a staple food but also a major export commodity, contributing significantly to national GDP. In addition to its direct economic impact, the rice industry fuels related industries, such as milling, processing, and transportation. Technological advancements and innovations in rice cultivation and processing have further expanded opportunities in this sector.

According to the research report “Global Rice Market Outlook, 2030” published by Bonafide Research, the global rice market is projected to reach market size of USD 367.69 Billion by 2030 increasing from USD 308.87 in 2024, growing with 3.01% CAGR by 2025-30. Urbanization has also played a pivotal role, as city dwellers often prefer easy-to-cook staples like rice over traditional grains that require more processing. Additionally, the versatility of rice, which is used in a variety of cuisines worldwide, makes it a popular choice in emerging markets where global food influences are expanding. The growth of middle-class populations in developing countries has further boosted demand for high-quality rice varieties, such as basmati and jasmine, and health-conscious consumers are driving interest in organic and specialty rice types. Trade liberalization and improvements in transportation and storage infrastructure have enhanced the global rice supply chain, making it more accessible to new markets. These factors, combined with ongoing innovations in rice production, processing, and packaging, are propelling the industry's growth, ensuring rice remains a central commodity in the global food market. The globalization of culinary cultures has also played a crucial role, as rice-based dishes gain popularity in regions outside traditional markets. For example, sushi, biryani, and fried rice are now commonplace in Western diets, spurring demand for specialized rice types. On the production side, advancements in agricultural technology have enhanced yields and reduced costs, making rice more accessible and affordable. Meanwhile, trade liberalization and improved logistics have expanded the global rice supply chain, enabling producers to reach new markets efficiently.

Market Drivers

• Unique Drivers in the Rice Industry: Rising Health Consciousness and Specialty Rice Demand: Health-conscious consumers are driving demand for specialty rice varieties, such as brown rice, red rice, and black rice, known for their higher nutritional content. These varieties are gaining traction in both developed and developing markets as people seek alternatives to traditional white rice for its lower glycemic index and added health benefits.
• Expansion of African Rice Markets: Africa’s growing population, urbanization, and changing dietary preferences have positioned it as a rapidly expanding market for rice. Governments in the region are promoting local production to reduce dependence on imports, while the influx of international investment is bolstering rice cultivation infrastructure and capacity.

Market Challenges

• High Water Dependency: Rice cultivation is one of the most water-intensive agricultural processes, requiring significant irrigation. With increasing water scarcity driven by climate change and overexploitation of water resources, ensuring sustainable water use has become a critical challenge for rice farmers worldwide.
• Smallholder Farmer Inefficiencies: The majority of the world’s rice is produced by smallholder farmers, many of whom lack access to modern farming tools, credit, and knowledge of best practices. This creates inefficiencies in production and supply, hindering the ability to meet rising global demand.

Market Trends

• Emergence of Precision Agriculture in Rice Farming: The adoption of technologies such as drones, GPS mapping, and IoT devices is transforming traditional rice farming. These tools enable farmers to monitor field conditions, optimize water usage, and apply fertilizers with greater precision, improving yields and reducing environmental impact.
• Growth of Sustainable and Ethical Rice Certifications: Increasing consumer demand for sustainable products is driving the adoption of certifications such as Fair Trade, Organic, and Sustainable Rice Platform (SRP). These certifications not only appeal to eco-conscious consumers but also help improve farmer livelihoods and promote environmentally friendly practices.

The red rice segment is leading in the rice industry due to its growing popularity among health-conscious consumers who value its rich nutritional profile, including high fiber, antioxidants, and essential minerals.

Red rice has emerged as a standout segment in the rice industry, driven by an increasing global emphasis on health and wellness. Unlike polished white rice, red rice retains its bran layer, which is rich in nutrients such as fiber, iron, and antioxidants like anthocyanins. These health benefits align with the growing consumer demand for functional foods that support better digestion, improved heart health, and reduced risk of chronic diseases. Additionally, red rice is gaining traction in regions beyond its traditional markets, such as Southeast Asia and India, where it has been a dietary staple for centuries. In Western markets, it is being marketed as a superfood, appealing to health-conscious individuals and fitness enthusiasts seeking nutrient-dense alternatives to conventional rice. The rise of vegan and vegetarian lifestyles has further propelled demand, as red rice serves as a versatile base for plant-based meals. Moreover, the grain’s unique flavor, chewy texture, and vibrant color make it a favorite for chefs and food enthusiasts exploring creative culinary applications. With increasing awareness of sustainable and organic farming practices, red rice is also often positioned as a premium product, attracting consumers willing to pay a higher price for quality and health benefits. This combination of nutritional value, culinary appeal, and alignment with health trends has solidified red rice's leading position in the rice industry.

The long-grain rice segment is leading in the rice industry due to its versatility, appealing texture, and widespread use in diverse cuisines across the globe.

Long-grain rice has established itself as a dominant segment in the global rice industry, thanks to its adaptability and suitability for a wide range of culinary applications. Characterized by its slender, elongated grains that remain separate and fluffy after cooking, long-grain rice is a staple in numerous cuisines, including Indian, Middle Eastern, Latin American, and Southern U.S. dishes. Popular varieties such as basmati and jasmine rice have strong cultural and culinary significance, making them highly sought after in both domestic and international markets. The grain’s ability to pair well with spices, proteins, and sauces enhances its appeal in recipes ranging from biryanis and pilafs to fried rice and casseroles. Moreover, the rise of convenience-driven lifestyles and global food trends has fueled the demand for long-grain rice in processed and ready-to-eat meals, where its texture and appearance remain appealing even after reheating. Long-grain rice also caters to health-conscious consumers, as many of its varieties, like basmati, have a lower glycemic index compared to shorter-grain rice, supporting better blood sugar management. On the production side, long-grain rice is favored for its high yields and adaptability to different growing conditions, making it a reliable crop for farmers and a consistent supply source for markets worldwide. Its broad utility, combined with cultural significance and health attributes, ensures that the long-grain rice segment remains a leading force in the rice industry.

The offline store segment is leading in the rice industry due to the trust, accessibility, and tactile experience it offers to consumers, particularly in rural and traditional markets where rice is a staple.

Offline stores continue to dominate the rice industry as they provide an unmatched level of accessibility and trust, particularly in regions where rice is a dietary cornerstone. Local grocery stores, supermarkets, and wholesale markets are deeply embedded in communities, offering consumers the convenience of purchasing rice in quantities that suit their budgets and needs. For many, the ability to physically examine the grain’s quality, such as its size, color, and texture, before purchasing is a critical factor that fosters trust and satisfaction. This tactile experience is particularly valued in traditional markets, where bargaining and personal relationships between buyers and sellers are integral to the shopping culture. Moreover, offline stores cater to a wide demographic, including rural and suburban areas where digital infrastructure for online shopping may be underdeveloped or less trusted. These stores often stock a diverse range of rice varieties, from premium basmati to locally grown staples, catering to regional tastes and preferences. Bulk purchasing options and on-the-spot packaging further enhance their appeal, particularly for large families and food service businesses. Offline stores also provide a platform for local farmers and suppliers to directly connect with end-users, maintaining shorter supply chains and promoting locally sourced products. Promotions, discounts, and loyalty programs offered in physical stores add another layer of value for consumers. Despite the rise of e-commerce, offline stores remain indispensable due to their ability to build consumer confidence, offer immediate availability, and adapt to the unique purchasing habits of rice buyers across the globe.

The residential segment is leading in the rice industry due to the high demand for rice as a daily staple in households across the globe, driven by its cultural significance, affordability, and versatility in home cooking.

The residential segment holds a dominant position in the rice industry because rice is an essential component of daily meals for billions of people worldwide. As a staple food in regions like Asia, Africa, and parts of Latin America, rice is a fundamental part of household diets, consumed multiple times a day in various forms such as steamed rice, porridges, and fried dishes. Its affordability and availability make it a reliable food source for households of all income levels, particularly in developing countries where it provides a significant portion of caloric intake. Furthermore, rice's versatility allows it to complement a wide array of cuisines and dietary preferences, making it a preferred choice for home cooking. Households often purchase rice in bulk to meet daily consumption needs, which aligns with the traditional practice of stocking up on staples for convenience and cost savings. With the increasing trend of home-cooked meals, especially post-pandemic, the demand for rice has surged in residential settings. Families value rice not only for its nutritional benefits but also for its adaptability to various cooking methods, from simple boiling to elaborate recipes. In regions with strong culinary traditions tied to rice, such as India, Japan, and Nigeria, its role extends beyond sustenance to cultural and social functions, further cementing its importance in residential consumption. This consistent and widespread demand ensures the residential segment remains a cornerstone of the rice industry.

The Asia-Pacific region is leading in the rice industry due to its dominant role in both production and consumption, driven by favorable climatic conditions, cultural reliance on rice as a staple food, and the presence of major rice-exporting countries.

Asia-Pacific's leadership in the rice industry is rooted in its unparalleled production capacity and its role as the largest consumer market for rice globally. The region's tropical and subtropical climates, abundant rainfall, and fertile plains create ideal conditions for rice cultivation, enabling countries like China, India, Indonesia, Vietnam, and Thailand to dominate global production. Together, these nations account for approximately 90% of the world's rice supply, with advanced irrigation systems and high-yield farming practices further boosting productivity. Rice is deeply ingrained in the culture, traditions, and diets of the region's populations, serving as a staple food consumed in diverse forms, from steamed rice to noodles, dumplings, and desserts. The Asia-Pacific region is not only the largest producer but also the largest consumer of rice, with a population exceeding 4.6 billion people. Rapid urbanization and population growth continue to drive demand, particularly in countries like India and China. Moreover, Asia-Pacific is home to leading rice exporters such as Thailand, Vietnam, and India, which together account for a significant share of global rice trade. These countries export premium varieties like basmati and jasmine rice, meeting the growing demand in international markets. The region's dominance is further bolstered by governmental support through subsidies, research on high-yield and drought-resistant rice varieties, and investment in modern farming technologies. With its unmatched production and consumption dynamics, Asia-Pacific is firmly established as the epicenter of the global rice industry.

• In February 2024, India's food ministry launched 'Bharat rice' at a subsidized rate of Rs 29(USD 0.35) per kg to provide relief amid a 15 percent rise in retail prices of grain in the last year.
• In October 2023, China cultivated genetically modified giant rice in mountainous regions in Beijing to bolster food security amid soaring global rice prices. The yield reached 12.6 metric tons per hectare a 5 percent increase from 12 metric tons per hectare last year.
• In April 2022, LT Foods launched ready-to-make Daawat Biryani Kits in three regional variants including Hyderabad, Kolkata and Lucknow to redefine authentic and fresh biryani cooking experience at home.
• In May 2022, Adani Wilmar announced the acquisition of Kohinoor Foods Ltd. to strengthen their leadership in the Basmati rice and FMCG segment. This will further expand their business strategy portfolio in the higher-margin branded staple product segment.
• In November 2022, LT foods announced a strategic partnership with Saudi Agricultural and Livestock Investment Company (SALIC). LT Foods and SALIC entered into a strategic Supply & Cooperation agreement that will accelerate LT Foods’ organic and inorganic expansion plans and export specialty basmati rice to the Middle East and Saudi Arabia region.

Considered in this report
• Historic Year: 2019
• Base year: 2024
• Estimated year: 2025
• Forecast year: 2030

Aspects covered in this report
• Rice Market with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Type
• Red Rice
• Black Rice
• Grain Fragrance Rice( Basmati and Jasmine Rice)
• Brown Rice
• Grain Parboiled Rice
• Sushi Rice
• Others (Rosematta Rice, Arborio Rice)

By Grain Size
• Long Grain
• Medium Grain
• Short Grain

By Distribution Channel
• Offline Stores
• Online Stores

By Application
• Residential
• Commercial

The approach of the report:
This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, annual report of companies, analyzing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources.

Intended audience
This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to agriculture industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.

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