According to bigmint.co, India’s rice freight market showed divergent trends in the week ended 30 September 2026, with bulk freight facing subdued fixing interest while containerised shipments remained relatively active amid port disruptions and shifting logistics preferences.
Bulk Trade Softens Amid West African Uncertainty
Bulk fixing to West Africa remained selective as buyers assessed fresh requirements against prevailing destination prices. Port-related disruptions — especially around Cotonou — added uncertainty to vessel planning. According to a shipbroker cited by BigMint, “There is a clear difference between the firm market at origin and softer conditions at destination. Buyers are cautious on fresh business, particularly where older, lower-priced cargo is still available.”
Cotonou has emerged as a key operational concern, with four vessels reportedly diverted amid congestion and price disparity. A rice trader said, “We are looking at an October-end shipment to Cotonou, but the current situation warrants caution. Port delays and the price gap are making the economics of fresh arrivals more difficult.”
Freight demand for West African bulk cargoes weakened further as operational bottlenecks persisted — including extended turnaround times and inconsistent berth availability — contributing to a one-month low on the India–Guinea route.
Containerisation Gains Momentum
Containerised rice shipments gained ground as traders prioritised flexibility over cost efficiency, particularly for smaller parcels bound for East Africa and Madagascar. A charterer noted, “We are seeing a growing shift from bulk and breakbulk towards containers for some West African cargoes. Congestion and operational issues at major ports are making flexibility increasingly important.”
Container availability remains a concern at major Indian export gateways, while higher logistics costs are squeezing freight margins. A trader said, “Despite these constraints, demand for containerised cargo towards Mombasa, Tamatave and Maputo remains healthy.”
This shift reflects broader recalibration: container use rose notably for non-basmati parboiled rice shipments, where smaller lot sizes and tighter delivery windows outweighed traditional bulk economies. The product specification referenced was 5% PB (IR-64, 5% broken).
Rice Prices Adjust Downward
BigMint’s assessment for non-basmati parboiled rice (IR-64 5% PB), FOB Kakinada, stood at $376/tonne on 30 September 2026, a week-on-week drop of $4/tonne from $380/tonne in the prior week. “The market is seeing gradual corrections, with buyers becoming more selective on price,” a shipbroker observed. “The disparity between firm origin values and weaker destination markets is making new business more challenging.”
Vietnam’s demand was described as “very weak”, while Thailand was “currently out of season”, reinforcing India’s relative competitiveness in containerised exports despite softening price levels.
Source: bigmint.co
Compiled from international media by the SCI.AI editorial team.
