Australia Rice Market Size & Forecast 2025–2033

Australia Rice Market Outlook

The Australia Rice Market is projected to grow from US$ 5.74 billion in 2024 to US$ 7.1 billion by 2033, expanding at a CAGR of 2.4% during 2025–2033, according to Renub Research. This steady growth reflects a fundamental shift in Australian food consumption patterns, driven by rising demand for premium, organic, and specialty rice varieties, alongside strong multicultural influences and health-conscious eating habits.

Once considered a supplementary food in Australian households, rice has evolved into a daily staple, deeply embedded in home cooking, foodservice, and convenience meals. The growing popularity of Asian, Middle Eastern, Mediterranean, and African cuisines has elevated rice from a side dish to a central component of meals across the country.

Australia’s rice market is not only expanding in value but also in variety, quality, and application, with consumers increasingly choosing rice based on nutrition, origin, sustainability, and cooking performance rather than price alone.

Changing Food Habits and the Rise of Rice Consumption

Australia does not have a long-standing historical tradition of rice consumption comparable to Asia. However, immigration, globalization, and culinary exploration have reshaped the nation’s food identity. Dishes such as biryanis, sushi, fried rice, risottos, curries, paella, and rice bowls are now common in Australian kitchens and restaurants.

Rice is widely valued for its affordability, versatility, and long shelf life, making it an essential pantry item for families, students, and busy professionals alike. It is also increasingly featured in meal kits, ready-to-eat meals, and health-focused recipes, expanding its role in modern diets.

Domestic production remains concentrated in New South Wales’ Riverina region, particularly around Leeton and Deniliquin, where irrigation-based farming supports medium- and long-grain rice cultivation. Local production supplies domestic demand while also contributing to exports, particularly to Asian markets.

Key Growth Drivers of the Australia Rice Market

1. Multicultural Population and Expanding Culinary Diversity

Australia’s multicultural population is a major catalyst for rice demand. Communities from China, India, Southeast Asia, the Middle East, and Africa maintain strong rice-based dietary traditions, sustaining consistent demand for both everyday and specialty rice varieties.

As global cuisines become mainstream, Australian consumers are increasingly purchasing basmati, jasmine, arborio, sushi rice, and red cargo rice, encouraging retailers to broaden their offerings. Supermarkets now dedicate entire aisles to international rice products, while specialty stores focus on authenticity and origin.

In 2022, Rice Research Australia partnered with AgriTech companies to introduce precision agriculture tools that help farmers monitor crop health and optimize water use—improving yields while reducing environmental impact.

2. Health and Wellness Trends Boosting Premium Rice Sales

Health-conscious Australians are turning to brown, black, red, and whole-grain rice, which offer higher fiber, vitamins, and minerals than traditional white rice. These varieties align well with growing interest in low-GI foods, plant-based diets, and clean-label products.

Brown rice, in particular, has gained popularity among fitness enthusiasts and people managing diabetes. Organic rice also continues to gain traction, driven by demand for chemical-free, sustainably produced food.

In 2023, SunRice launched a nationwide campaign highlighting the health and sustainability benefits of Australian-grown rice, reinforcing local brand loyalty and encouraging consumers to switch from imported products to domestically grown alternatives.

3. Expansion of Retail and E-Commerce Distribution

Australia’s well-developed retail ecosystem plays a significant role in market growth. Major chains such as Woolworths, Coles, and IGA, along with ethnic grocers and health food stores, ensure widespread availability of rice products across all price points.

E-commerce platforms have further expanded market reach by enabling easy comparison, subscription purchases, and bulk ordering. Online grocery shopping has also encouraged consumers to experiment with new rice varieties.

In September 2023, Taj Foods Australia launched specialty flavored rice products, including jasmine and basmati variants, targeting premium consumers seeking authentic taste and quality.

Australia Rice Market Challenges

Domestic Production Constraints and Climate Risk

Rice cultivation in Australia relies heavily on irrigation, making it vulnerable to water scarcity, droughts, and climate variability. Reduced rainfall in key producing regions can significantly affect yield, leading to supply shortages and price volatility.

These risks increase reliance on imports and create uncertainty for both farmers and retailers. Water availability remains a long-term challenge for sustainable domestic rice production.

Intense Competition from Imported Rice

Australia faces strong competition from imported rice, particularly from Thailand, India, and Vietnam, where production costs are lower. Imported rice often offers wider variety and competitive pricing, putting pressure on local growers.

Premium imported brands also enjoy strong consumer loyalty, especially among multicultural households, making it difficult for Australian producers to expand market share despite rising demand.

Segment Insights: Australia Rice Market

Regular Rice Market

Regular white rice remains the backbone of the Australian rice market due to its affordability, versatility, and familiarity. It continues to dominate household consumption and foodservice usage. Despite growing interest in specialty rice, white rice maintains stable demand across demographics.

Arborio Rice Market

Arborio rice is gaining popularity as Italian and gourmet cuisine grows in Australia. Used mainly for risotto, its creamy texture appeals to chefs and home cooks alike. Cooking shows, food blogs, and social media recipes have further expanded its appeal beyond traditional Italian dishes.

Brown Rice Market

Brown rice is one of the fastest-growing segments, driven by rising health awareness. It is favored for its lower glycemic index and higher fiber content, making it popular among health-focused consumers, athletes, and plant-based eaters.

Retailers increasingly promote brown rice as a core component of balanced diets, reinforcing its premium positioning.

Long Grain Rice Market

Long grain rice, including basmati and jasmine, is highly favored for its aroma, texture, and versatility. It is widely used in stir-fries, pilafs, curries, and salads, making it essential in multicultural cooking.

Strong demand exists across households and foodservice, supported by both domestic and imported supply.

Distribution Channel Insights

Offline Rice Market

Offline channels remain dominant in rice sales, as consumers prefer inspecting packaging and comparing brands in-store. Supermarkets and specialty food shops offer wide selections, including budget, premium, and imported options.

Ethnic food sections play a crucial role in serving multicultural communities, ensuring offline retail remains the most trusted channel.

Rice Food Market

Australia’s rice food market includes ready-to-eat rice, rice snacks, rice cakes, and breakfast foods. Convenience, health, and portion control are key drivers of this segment.

Rice-based products are also popular among gluten-free consumers, expanding their appeal. With busy lifestyles and growing demand for healthy convenience foods, this segment is poised for strong growth.

State-Level Market Insights

Victoria Rice Market

Victoria, particularly Melbourne, is a major rice consumption hub due to its dense multicultural population and vibrant foodservice sector. Demand is strong for brown, organic, basmati, and arborio rice. While the state produces little rice, its retail and hospitality sectors make it a critical consumption market.

Queensland Rice Market

Queensland’s growing population and tourism-driven foodservice sector support consistent rice demand. Health-oriented consumers are driving sales of organic and premium varieties, while Asian grocery stores play a key role in distribution.

Tasmania Rice Market

Although smaller in size, Tasmania’s rice market reflects national trends in health, sustainability, and quality. Organic and gourmet rice varieties perform well, supported by the state’s strong food culture and ethical consumer base.

Market Segmentation

By Product Type

Regular

Aromatic

By Type

Red Rice

Arborio Rice

Black Rice

Grain Fragrance Rice

Brown Rice

Rosematta Rice

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 Top States

New South Wales

Victoria

Queensland

Western Australia

South Australia

Australian Capital Territory

Tasmania

Northern Territory

Competitive Landscape

Major companies operating in the Australian rice market include:

KRBL Limited

LT Foods Ltd

Kohinoor Foods

Thai Wah

Archer Daniels Midland (ADM)

Tate & Lyle

General Mills

MGP Limited

Each company has been analyzed across five viewpoints: overview, key persons, recent developments, SWOT analysis, revenue analysis, and competitive positioning.

Final Thoughts

The Australia rice market is evolving beyond traditional consumption into a premium, health-focused, and culturally diverse food category. While climate risk and import competition remain challenges, rising demand for organic, specialty, and value-added rice products offers strong growth opportunities.

With expanding retail access, innovation in product offerings, and increasing health awareness, rice will continue to strengthen its role in Australia’s food economy. As consumer preferences shift toward quality, sustainability, and global flavors, the market is set for steady, long-term expansion through 2033.