European traders reported on Tuesday that the lowest price in an international tender by Indonesian state purchasing agency Bulog for up to 350,000 tons of rice, was $545 per ton (cost and freight) for rice that is expected to come from Myanmar.

According to reports, the lowest bid was for 30,000 tons.

Traders said that no purchase had yet been reported, and they expect price negotiations to continue in the coming days. The decision will be made by the end of this week.

The reports reflect the opinions of traders, and it is still possible to estimate prices and volume later.

The tender aims to arrive in Indonesia between September and October. This is part of the government's efforts to increase rice imports in order to cool down prices following a poor harvest in Indonesia.

The tender is looking for white rice consignments ranging from 25,000-30,000 tons, sourced primarily from Thailand, Vietnam and Myanmar.

Traders said that the lowest price for Vietnamese rice was between $577 and $578 per ton c&f.

They said that the lowest price for rice coming from Thailand/Cambodia was estimated to be $606.77 or $606.95 per ton, c&f.

Indonesia is a country.

Import and export of goods

Bulog announced on Friday that it would produce another 900,000 tons of rice by the end of the year, due to lower production and a delayed planting season.

Prices are a little higher than usual.

For rice

The price of rice, which is a staple food for the majority of Indonesia's population of 270 million, has risen dramatically since last year. El Nino, a weather phenomenon that will reduce rainfall in large parts of Asia by 2023 and cause a reduction in output, has also triggered heightened inflationary pressures.

Bulog wants white rice that is 5% broken from the crop year 2024, and has been milled no more than six months prior, traders have said. (Reporting and editing by Louise Heavens, Michael Hogan)

(source: Reuters)