Summary
The decision by Pakistan to export Rice is agreat move to reduce on the world prices for the cereal crop
Analysis
The recent shoot up in the commodity prices has had alot of far reaching impacts world over.Rice is key commodity in so many nations.
Any decline in the export stock levels creates the shortage of commodities on the World market and this creates the increase in their price.Asia constitutes the biggest producer/consumer of rice.
The Humanitarian organisations have found it hard to distrubute food to refugees and this has had alot of consequencies as like food rationing.
The price of rice increased in the 2008 and this triggered other countries like Tanzania to enstop the exportation of Rice to neighbouring countries in order to prevent the disaster of hunger and starvation.
The decision by Pakistan to export Rice is likely to increase on the supply on Rice on the world market and this will reduce the prices.and this will be beneficial to the final consumer.The increase in the rice exportation will trigger other rice producing countries to also increase the Rice production and this will further lower the price of rice on the world market
