FAO Estimates Record Paddy Output In 2008

According to preliminary forecasts issued by the U.N. Food and Agriculture Organization, world rice paddy output is forecast to rise 2.3% on the year to reach a record high of 666 million MT.

FAO also expects output to rise in Africa by 3.6% to 23.2 million MT and in Latin America and the Caribbean by 7.4% to 26.2 million MT in 2008. However output if forecast to fall for Australia, the U.S. and Europe.

Farmers may plant even more than currently forecast, attracted by higher world prices and government incentives, the FAO said.

Despite the high rice prices, FAO forecasts average world rice consumption per person to rise by 0.5% to 57.3 kilograms in 2008.