Rice Supplier — Wholesale Rice for Export

Wholesale rice: supply terms

Why FUSHKOV GCG

About the product

Rice is a cereal crop of the grass family with exacting requirements for air temperature and humidity. It grows in the tropical and subtropical climates of Asia, the Americas, Australia and Africa. Modern techniques make it possible to recreate the conditions it needs: paddy fields are kept flooded until the grain ripens and drained in time for harvest.

Rice is high in carbohydrates. It contains B-group vitamins (B1, B2, B5, B6, B9), phosphorus, copper, magnesium and manganese, and rice protein contains essential amino acids.

Applications

Rice is the staple food of South-East Asia and China. It is processed into milled rice, flour and starch. Beyond food manufacturing, rice is used to produce alcohol and in a number of other industries.

Alongside rice, the FUSHKOV GCG cereal grains range includes wheat, corn and barley.

Quality specifications (reference)

Reference values per Codex Alimentarius CXS 198-1995, Standard for Rice; classification by kernel length is one of the options the standard provides. Final specification is fixed in the contract.

Codex allows stricter moisture limits for certain destinations, taking account of climate, transport time and storage. Besides moisture, a rice specification usually covers broken and defective kernels, foreign matter, degree of milling and variety.

Types and varieties

World market

India is the largest rice exporter: according to USDA data, it accounted for around 41% of world exports in 2021–2023. It is followed by Thailand, Vietnam, Pakistan and the USA — all origins from which FUSHKOV GCG supplies rice.

The rice market is sensitive to producers' export policies and to Asian harvests, so the option to choose between several origins helps buyers keep supply stable.

Storage and transport

Rice is stored on pallets in dry, cool, ventilated warehouses, protected from storage pests and from foreign odours, which rice absorbs readily. Because it retains the bran layer, husked rice has a shorter storage life than milled rice.

Rice ships in bags and big bags, in containers or in ships' holds. Packaging and transport must be clean and dry, and condensation is a key risk at sea.

How a deal works

Below is the typical sequence of an international commodity trade. Specific terms are always set by the contract between the parties.

For grain and seeds, the set normally includes a phytosanitary certificate issued in the country of dispatch; the full list depends on the importing country's requirements.

Delivery terms: Incoterms 2020 at a glance

The Incoterms rules of the International Chamber of Commerce (ICC) allocate costs, risks and delivery obligations between seller and buyer. The current edition, Incoterms 2020, contains 11 rules; the edition that applies is named in the contract. The rules most used in commodity trade are:

• FCA (Free Carrier): the seller hands the goods to the buyer's carrier at the agreed place;
• FOB (Free On Board): the seller is responsible for the goods until they are loaded on board the vessel at the port of shipment; further costs and risks pass to the buyer;
• CFR (Cost and Freight): the seller pays freight to the port of destination, but risk passes to the buyer once the goods are on board;
• CIF (Cost, Insurance and Freight): as CFR, but the seller also insures the cargo for the buyer's benefit;
• DAP (Delivered at Place): the seller delivers the goods to the agreed destination, ready for unloading; the buyer handles import clearance.

FOB, CFR and CIF apply to sea and inland waterway transport; FCA and DAP to any mode of transport. The basis for each shipment is agreed in the contract.

Frequently asked questions

See also

Wheat Corn (Maize) Barley Soya Oats