Rice market in Costa Rica

Earlier Report Observations

From 2018 to 2020, the rice market in Costa Rica remained relatively stable, with volumes hovering around 350 thousand tonnes. However, domestic production entered a steady decline during this period, falling from 180 thousand tonnes to 138 thousand tonnes, pressured by persistently low productivity in the sector and ongoing price regulations that set minimum prices for milled rice.

A pivotal change occurred in 2022 when the government implemented the 'Ruta del Arroz' policy, which eliminated minimum price guarantees and slashed import tariffs from 35% to approximately 5%. This liberalization immediately boosted import competition, leading to a sharp contraction in the area sown and a drop in national production to 114 thousand tonnes. The policy's full effect manifested in 2023, as rice imports doubled to 338 thousand tonnes, driving the total market volume up to 394 thousand tonnes despite domestic output falling further to just 76 thousand tonnes.

By 2024, the structural shift was entrenched, with imports satisfying an estimated 85% of the market. Consumer rice consumption reportedly climbed to levels not seen in 15 years, supported by the increased availability of imported rice following the trade liberalization.

Production rice in Costa Rica

In kind, 2017-2020, K t

Top producers of rice, 2017-2020

World map of production of rice, 2017-2020

Costa Rica's rice production declined for the second consecutive year. In 2020, the country produced 137.5 K t of rice, reflecting a 12.4% decrease from the previous year. Over the period from 2017 to 2020, production fell by 10%, with a compound annual growth rate of 3.5%. The highest production level was recorded in 2018 at 179.6 K t. The largest annual decline occurred in 2019, with a drop of 12.6%, while the largest increase was in 2018, with a rise of 17.5%.

Annual dynamics of production in Costa Rica in kind, 2017-2020, K t

In value, 2017-2020, K $ US

Rice production in Costa Rica declined for the second consecutive year. In 2020, the output of rice was valued at 36 093 K $ US, down by 20.7% from the previous year. Between 2017 and 2020, production decreased by 23.4%, equating to an annualized rate of 8.5%. The peak value was recorded in 2018 at 52 130 K $ US. The largest annual increase occurred in 2018, with a rise of 10.7%.

Annual dynamics of production in Costa Rica in value, 2017-2020, K $ US

Exports rice from Costa Rica

Exports in kind, K t

Rice exports from Costa Rica increased for the second consecutive year. In 2020, exports reached 16.9 K t, up by 28.7% from 2019. Between 2017 and 2020, exports grew by 64.6%, equating to an annualized rate of 18.1%. The lowest export volume was recorded in 2018 at 8.1 K t. The largest annual decline occurred in 2018, with a drop of 20.6%, while the largest increase was in 2019, with a rise of 61.1%.

Annual dynamics of product's exports from Costa Rica in kind, 2017-2020, K t

From 2017 to 2020, El Salvador, Guatemala, and Nicaragua were the leading destinations for Costa Rica's rice exports in kind. El Salvador accounted for 36.3% of exports, Guatemala for 31.4%, and Nicaragua for 30.5%. Together, these three countries represented 98.2% of total export flows.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Costa Rica in kind, 2017-2020

Exports in value, K $ US

Exported rice volumes from Costa Rica increased for the second consecutive year. In 2020, exports stood at 4 435 K $ US, marking a 16.6% increase compared to the previous year. Between 2017 and 2020, exports grew by 40.2%, equating to an annualized rate of 11.9%. The lowest value was recorded in 2018 at 2 364 K $ US. The largest annual decline occurred in 2018, with a drop of 25.2%, while the largest increase was in 2019, with a rise of 60.9%.

Annual dynamics of product's exports from Costa Rica in value, 2017-2020, K $ US

From 2017 to 2020, El Salvador, Guatemala, and Nicaragua consistently held leading positions in Costa Rica's rice exports in value terms. El Salvador accounted for 39.9% of exports, Guatemala for 36.7%, and Nicaragua for 16.4%. Collectively, these three countries represented 93.0% of total export flows.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Costa Rica in value, 2017-2020

Imports rice to Costa Rica

Imports in kind, K t

Costa Rica's rice import volume increased for the third consecutive year. In 2020, imports were recorded at 227.9 K t, constituting a 12.7% rise compared to the previous year. Over the period from 2017 to 2020, imports increased by 29.8%, with a compound annual growth rate of 9.1%.

Annual dynamics of product's imports to Costa Rica in kind, 2017-2020, K t

From 2017 to 2020, the United States, Brazil, and Argentina were the largest suppliers of rice to Costa Rica in kind. The United States accounted for 37.5% of imports, Brazil for 28.1%, and Argentina for 16.7%. Together, these three countries formed 82.3% of total imports.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Costa Rica in kind, 2017-2020

Imports in value, K $ US

The volume of rice imports to Costa Rica increased for the third consecutive year. In 2020, imports tallied 87 709 K $ US, which is 14.2% above the 2019 level. Between 2017 and 2020, imports increased by 22%, equating to an annualized rate of 6.8%.

Annual dynamics of product's imports to Costa Rica in value, 2017-2020, K $ US

Throughout 2017 to 2020, the United States, Brazil, and Argentina remained the largest markets for Costa Rica's rice imports in value terms. Together, these three countries accounted for 76.5% of total import flows.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Costa Rica in value, 2017-2020