Era of cheap rice is ending

Shortages have doubled the international traded price of rice since January, from $400 a ton to $760 for the Thai benchmark variety.

India and Vietnam have applied supply curbs to preserve price stability, while the Thai commerce minister gave the trade a distortional boost by saying the price will reach $1,000 before long.

The makings of market strain are all over: Exporting nations ration sales to satisfy home demand and to curb inflation; farmers hold on to stocks for raised bids; shopkeepers hoard supplies to extract a premium from consumers, who in turn buy more than they need to.