Rice prices in India climbed this week, buoyed by improved overseas demand, but rising supplies from a new season crop capped gains for the staple grain in the world’s top exporter. India’s 5 percent broken parboiled rice prices rose by $2 per tonne to $399 to $402 per tonne. There was an improvement in demand from Bangladesh and Sri Lanka. African buyers were also making inquires. Due to floods in the northeast (part of Thailand) this year, where Hom Mali rice is grown, output of the crop has dropped, causing prices to rise. With this new development, I expect prices to rise further. Traders were also optimistic that South Korea’s tender to buy 132,790 tonnes of rice for December-March arrival may result in demand for Thai rice. Overall, demand was slow, and with new crops expected to enter the market starting the end of this month, prices could drop.