Reopening of Strait of Hormuz could lift Iraq's rice imports, S&P Global says

S&P Global reported on Sunday that the reopening of the Strait of Hormuz is expected to ease rice shipments to Iraq and support supply stability in the coming weeks. The agency, citing global rice market sources, said the initial impact of the waterway's reopening would be felt in shipping and logistics, allowing rice cargoes to reach Iraq more easily and reducing recent delivery difficulties. Iraq is among the main markets closely watched by rice exporters in Thailand and Pakistan, according to S&P Global. The agency said an improvement in shipment conditions could trigger new tenders and purchases. Exporters, however, forecast that rice prices are likely to remain largely stable in the short term due to limited supply and the delayed arrival of the new crop. Market participants said the clearest indicator in the coming weeks will be the extent to which improved shipments translate into higher purchases by Iraq and other Middle Eastern buyers, and whether this raises actual regional rice demand.