Milled rice and broken rice market in Malaysia

Earlier Report Observations

Between 2018 and 2021, the volume of Malaysia's rice market expanded from 2.3 million tonnes to 2.6 million tonnes, with a notable surge in 2020. This growth was supported by the launch of the National Food Security Policy Action Plan in 2021, which reinforced the pillars of availability and accessibility, helping to sustain overall market consumption during the period.

Market volume dipped to 2.5 million tonnes in 2022 but recovered to 2.6 million tonnes in 2023, primarily driven by a rise in imports to 1.4 million tonnes that offset declining domestic production. The introduction of new high-yield rice varieties like MR326 (Kesidang) by MARDI during this period laid the groundwork for future efficiency gains, even as immediate harvests faced challenges.

In subsequent years, significant government allocations for irrigation upgrades and the expansion of the national buffer stock to 400,000 tonnes aimed to bolster supply stability. Consumer preference shifted towards more affordable local rice due to rising import prices, increasing pressure on domestic output. Concurrently, imports from key suppliers like India continued to play a crucial role, reflecting the ongoing efforts and structural challenges in achieving higher self-sufficiency targets.

Production milled rice and broken rice in Malaysia

In kind, 2018-2021, K t

From 2018 to 2021, Malaysia ranked as the 22nd largest producer of milled rice and broken rice globally.

Top producers of milled rice and broken rice, 2018-2021

World map of production of milled rice and broken rice, 2018-2021

Following a two-year decline, Malaysia's production of milled rice and broken rice rebounded. In 2021, the country produced 1 514 thousand tonnes, marking a moderate increase of 8.7% compared to the previous year. Over the period from 2018 to 2021, overall production decreased by 3%, which translates to an annualized decline of 1.0%. The lowest production volume was recorded in 2020 at 1 393 thousand tonnes, with the largest year-on-year drop occurring in 2019 at 7.0%.

Annual dynamics of production in Malaysia in kind, 2018-2021, K t

In value, 2018-2021, M $ US

After a two-year downturn, the value of milled rice and broken rice production in Malaysia saw an uptick. In 2021, output was valued at 612.0 million US dollars, reflecting a significant rise of 12.5% from the year before. Between 2018 and 2021, production value fell by 9.3%, equivalent to an annualized decrease of 3.2%. The lowest value was recorded in 2020 at 544.1 million US dollars, with the steepest decline also occurring that year at 13.4%.

Annual dynamics of production in Malaysia in value, 2018-2021, M $ US

Exports milled rice and broken rice from Malaysia

Exports in kind, K t

Malaysia's export volume of milled rice and broken rice grew for the third consecutive year. In 2021, the country exported 97 thousand tonnes, representing a sharp increase of 103.8% compared to 2020. Over the 2018-2021 period, exports surged by 394.9%, with a compound annual growth rate (CAGR) of 70.4%.

Annual dynamics of product's exports from Malaysia in kind, 2018-2021, K t

From 2018 to 2021, Indonesia dominated the geographical structure of Malaysia's milled rice and broken rice exports in volume terms, accounting for 96.3% of total flows.

Structure of product's exports in kind by countries, 2018-2021

World map of product's exports from Malaysia in kind, 2018-2021

Exports in value, M $ US

Exports of milled rice and broken rice from Malaysia continued to rise for the third year in a row. In 2021, export value reached 39.1 million US dollars, showing a substantial increase of 110.8% over the previous year. Between 2018 and 2021, export value grew by 362.6%, equating to an annualized rate of 66.6%.

Annual dynamics of product's exports from Malaysia in value, 2018-2021, M $ US

During 2018-2021, Malaysia's milled rice and broken rice exports were primarily directed towards Indonesia, which held a 96.7% share of total export value.

Structure of product's exports in value by countries, 2018-2021

World map of product's exports from Malaysia in value, 2018-2021

Imports milled rice and broken rice to Malaysia

Imports in kind, K t

Following two years of growth, Malaysia's import volume of milled rice and broken rice declined. In 2021, imports totaled 1 152 thousand tonnes, indicating a slight decrease of 4.6% from the year before. Over the 2018-2021 span, imports increased by 42.8%, with an annualized growth rate of 12.6%. The peak import volume was recorded in 2020 at 1 207 thousand tonnes, which also saw the largest year-on-year increase at 24.7%.

Annual dynamics of product's imports to Malaysia in kind, 2018-2021, K t

From 2018 to 2021, Vietnam (34.7% of import volume), Thailand (23.9%), and India (21.4%) formed the core cluster of markets for Malaysia's milled rice and broken rice imports, collectively accounting for 80.0% of total flows.

Structure of product's imports in kind by countries, 2018-2021

World map of product's imports to Malaysia in kind, 2018-2021

Imports in value, M $ US

After two years of gains, Malaysia's import value of milled rice and broken rice decreased. In 2021, imports were valued at 583.3 million US dollars, down by 1.5% compared to 2020. Over the 2018-2021 period, import value rose by 41.9%, with a compound annual growth rate (CAGR) of 12.4%. The highest value was recorded in 2020 at 583.3 million US dollars, which also experienced the largest increase at 29.3%.

Annual dynamics of product's imports to Malaysia in value, 2018-2021, M $ US

Between 2018 and 2021, Vietnam (34.1% of import value), India (22.7%), and Thailand (21.5%) together represented 78.3% of Malaysia's total milled rice and broken rice imports in value terms, remaining the key sources for these products.

Structure of product's imports in value by countries, 2018-2021

World map of product's imports to Malaysia in value, 2018-2021