# Big Crop, Big Price for 2020 Rice Expected - ProAg

> A FirstGrain economist expects a big 2020 U.S. rice crop but a firm price, arguing that U.S. demand has risen about 40% during the COVID-19 shutdown. He sees the 2019/20 stocks-to-use ratio at its tightest in 11 years and says rice has held up better than other grain markets.

- Date: 2020-06-25 · published 2020-06-25T12:00:00.000Z
- Category: market · region US · magnitude low
- Page: https://feedsoft.ai/events/52691-big-crop-big-price-for-2020-rice-expected-proag
- Commodities: [Rough Rice](https://feedsoft.ai/c/RICE.md)

## Why it matters

Tight old-crop stocks and strong domestic demand support U.S. rough rice prices, though this is a minority forecast and the expected large planting could limit the rally.

## Read by commodity

- RICE: bullish ▲

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| RICE | 2020-07-01 | 5 | +21.8% | 3.8 | U.S. rough rice futures reflect tight 2019/20 stocks-to-use (tightest in 11 years) and COVID-driven domestic demand up ~40%, a bullish supply/demand backdrop supporting a sharp rally. |

## Sources

- proag.com: https://www.proag.com/news/big-crop-big-price-for-2020-rice-expected/

---
Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.