Rice Market in Australia: Industry Analysis & Outlook to 2033

Australia Rice Market Size & Forecast 2025–2033

According To Renub Research Australia Rice Market is projected to grow to US$ 7.1 billion by 2033, up from US$ 5.74 billion in 2024, registering a compound annual growth rate (CAGR) of 2.4% during the forecast period 2025–2033. This steady expansion reflects evolving consumer preferences, increasing demand for premium and health-oriented rice varieties, and the deep influence of multicultural cuisines across Australian households.

Rice, once considered a supplementary food grain in Australia, has steadily transformed into a daily staple. Driven by migration trends, global food exposure, and lifestyle changes, rice now plays a central role in both home cooking and foodservice consumption. As Australians become more adventurous in their eating habits, rice continues to benefit from its affordability, versatility, long shelf life, and compatibility with health-focused diets.

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Australia Rice Market Outlook

Rice consumption in Australia has grown significantly over the past few decades, largely due to the country’s multicultural makeup. Asian, Middle Eastern, and African communities have contributed to strong and sustained demand for rice, embedding it deeply into Australia’s culinary culture. Dishes such as stir-fries, curries, biryanis, sushi, and rice bowls are now mainstream, consumed regularly across households and restaurants.

Australia’s domestic rice production is concentrated mainly in the Riverina region of New South Wales, particularly around Leeton and Deniliquin. Locally produced rice supplies domestic markets and supports exports to Asia and other regions. The market offers a diverse portfolio, including medium- and long-grain white rice, aromatic varieties such as jasmine and basmati, nutrient-rich brown rice, and specialty types like sushi rice and red cargo rice.

Health consciousness among Australian consumers continues to shape buying behavior. Whole-grain, brown, and specialty rice varieties are increasingly preferred due to their fiber content, lower glycemic index, and nutritional benefits. At the same time, organic and sustainably produced rice has gained attention among environmentally aware consumers. Wide availability through supermarkets, ethnic grocery stores, health food outlets, and online platforms further supports market accessibility and consistent demand.

Growth Drivers of the Australia Rice Market

Growing Multicultural Population and Diverse Cuisine Preferences

Australia’s expanding multicultural population remains one of the strongest drivers of rice consumption. Migrants from rice-centric cultures bring established dietary habits that prioritize rice as a daily staple. This has resulted in rising demand not only for regular white rice but also for premium and specialty varieties such as basmati, jasmine, Arborio, and sushi rice.

Global cuisines have also become firmly established in Australia’s foodservice sector. Restaurants, takeaways, and meal-kit providers increasingly rely on rice-based dishes, further strengthening demand. Supermarkets and specialty food stores are responding by expanding their rice product ranges to accommodate diverse cooking styles and cultural preferences.

In 2022, collaborations between Rice Research Australia and AgriTech firms helped advance precision farming technologies, enabling improved crop monitoring, better resource management, and reduced environmental impact—supporting both production efficiency and sustainability.

Health and Wellness Trends Driving Premium Segments

Health and wellness trends are reshaping the Australian rice market, particularly boosting demand for brown, black, red, and organic rice varieties. Consumers increasingly seek whole grains, low-GI foods, and minimally processed products. Brown rice has gained popularity among athletes, fitness enthusiasts, and individuals managing diabetes due to its nutritional advantages.

The rise of plant-based, vegetarian, and vegan diets has further reinforced rice’s position as a reliable, gluten-free carbohydrate source. In 2023, SunRice launched a targeted marketing campaign highlighting the health benefits and convenience of Australian-grown rice, encouraging consumers to choose locally produced, nutritious rice options.

Expanding Retail and E-Commerce Channels

Australia’s advanced retail infrastructure continues to support rice market growth. Major supermarket chains, independent grocery stores, and specialty retailers provide extensive shelf space for both domestic and imported rice varieties. In-store promotions, private-label offerings, and sustainable packaging innovations are encouraging trial and repeat purchases.

E-commerce has emerged as a fast-growing distribution channel, enabling consumers to compare brands, explore specialty products, and purchase bulk quantities conveniently. Online grocery platforms have become particularly attractive for premium and imported rice varieties, expanding consumer choice and supporting brand visibility.

In September 2023, Taj Foods Australia introduced new specialty rice variants, including jasmine and basmati, targeting food enthusiasts seeking authentic flavors and premium-quality products.

Australia Rice Market Challenges

Domestic Production Constraints and Climatic Risks

Rice cultivation in Australia relies heavily on irrigation, making production vulnerable to water shortages and climate variability. Droughts and fluctuating weather conditions, particularly in New South Wales, can significantly impact yields and supply stability. These uncertainties often lead to price fluctuations and increase reliance on imported rice to meet domestic demand.

Limited domestic production capacity also restricts the ability of local producers to scale operations during periods of rising consumption, exposing the market to external supply chain disruptions and global price volatility.

Competition from Imported Rice

Imported rice from countries such as Thailand, India, and Vietnam presents strong competition in the Australian market. These regions benefit from lower production costs and offer a wide variety of specialty rice at competitive prices. Imported brands often enjoy strong consumer loyalty, particularly in ethnic communities, making it challenging for local producers to compete on both price and diversity.

This competitive pressure limits market share expansion for Australian-grown rice, despite growing consumer interest in locally produced and sustainably sourced food products.

Segment Analysis

Australia Regular Rice Market

Regular white rice remains a staple across Australian households due to its affordability, versatility, and ease of preparation. It continues to dominate volume sales, particularly in family households and foodservice establishments. Despite growing interest in specialty varieties, regular rice maintains consistent demand as a foundational ingredient in daily meals.

Australia Arborio Rice Market

Arborio rice has gained steady traction, driven by the popularity of Italian and European cuisines. Its creamy texture and suitability for risotto have made it a favorite among chefs and home cooks alike. Cooking shows, food blogs, and culinary experimentation continue to expand its use beyond traditional Italian dishes, supporting growth in the premium rice segment.

Australia Brown Rice Market

Brown rice demand is rising steadily as consumers prioritize nutrition and long-term health benefits. Its higher fiber content and lower glycemic index make it a preferred choice for health-conscious individuals. Retailers increasingly position brown rice alongside organic and whole-grain products, reinforcing its role as a healthier staple.

Australia Long Grain Rice Market

Long grain rice remains popular due to its adaptability across a wide range of cuisines. Aromatic varieties such as basmati and jasmine are particularly sought after in multicultural households and restaurants. Consistent cooking performance and broad availability ensure strong demand across both retail and foodservice channels.

Distribution and Application Insights

Australia Offline Rice Market

Offline retail remains the dominant sales channel for rice in Australia. Supermarkets and grocery stores allow consumers to compare brands, inspect packaging, and access promotional offers. Major retail chains provide extensive product ranges catering to mainstream and ethnic consumer groups alike.

Australia Rice Food Market

The rice food segment, including ready-to-eat rice, snacks, and value-added products, is expanding rapidly. Busy lifestyles and demand for convenient, healthy meals are driving innovation in pre-cooked rice pouches, rice-based snacks, and meal kits. Gluten-free positioning further broadens consumer appeal.

Regional Insights

Victoria Rice Market

Victoria benefits from a large multicultural population and a strong foodservice sector. Demand spans health-focused varieties, premium specialty rice, and everyday staples. While rice cultivation is limited, consumption remains robust through retail and hospitality channels.

Queensland Rice Market

Queensland’s growing population and vibrant tourism industry support strong rice demand. Urban centers such as Brisbane show high consumption across standard, premium, and organic rice varieties, driven by diverse dining preferences.

Tasmania Rice Market

Although smaller in scale, Tasmania’s rice market reflects national trends toward quality, sustainability, and health-conscious consumption. Organic and whole-grain rice varieties perform well among consumers focused on ethical and nutritious food choices.

Market Segmentation Overview

By Product Type: Regular, Aromatic By Type: Red Rice, Arborio Rice, Black Rice, Grain Fragrance Rice, Brown Rice, Rosematta Rice, Grain Parboiled Rice, Sushi Rice, Others By Grain Size: Long Grain, Medium Grain, Short Grain By Distribution Channel: Online, Offline By Application: Food, Feed, Others By State: New South Wales, Victoria, Queensland, Western Australia, South Australia, Australian Capital Territory, Tasmania, Northern Territory

Competitive Landscape

Key players analyzed include KRBL Limited, LT Foods Ltd, Kohinoor Foods, Thai Wah, Archer Daniels, Tate & Lyle, General Mills, and MGP Limited. Each company is evaluated across five viewpoints: company overview, key personnel, recent developments, SWOT analysis, and revenue performance.

Final Thoughts

The Australia rice market is on a stable growth path, supported by multicultural influences, health-driven consumption, and expanding retail accessibility. While climatic challenges and import competition persist, rising demand for premium, organic, and specialty rice varieties offers long-term growth opportunities. With innovation across production, branding, and distribution, the market is well-positioned to reach US$ 7.1 billion by 2033, reinforcing rice’s role as an essential and evolving component of Australia’s food landscape.