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Rice Backgrounder

  • RCS-200601

Overview

U.S. rice farming is a high-cost, large-scale production operation that depends on the global market for about half its annual sales. Government payments per acre are high compared with other program crops, as is the share of the sector's income accounted for by payments. While domestic demand for rice continues to grow, the outlook for rice farm incomes is tempered by higher production costs, modest increases in farm prices, and continued strong competition in many international markets from lower cost Asian exporters.

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