Thailand secures orders for another 300,000 tons of rice

 

FILE photo

 

BANGKOK, 3rd December 2018 (NNT) – China and the Philippines have together placed orders for over 300,000 tons of Thai rice to the benefit of end of year growers. 

Department of Foreign Trade (DFT) Director-General Adul Chotinisakorn says that 100,000 tons of newly grown 5% white rice will be sent to COFCO in China, which previously purchased six batches of Thai rice. Another 80,000 tons of 25% white rice is to be delivered to the Philippines’ government in December. 

Another 144,000 tons of rice is being sold via two Thai exporters that won an auction held by the Philippines government. Shipment is to take place in December 2018 and January 2019. 

Altogether, Thailand is exporting 324,000 tons of rice at year's end, greatly reducing stocks and making way for new output next season. 

From January 1st this year to November 27th, Thailand exported 9.89 million tons of rice worth over 160 billion baht, 4.52 percent more than the same period last year.

 

-- nnt 2018-12-03

4 hours ago, webfact said:

From January 1st this year to November 27th, Thailand exported 9.89 million tons of rice worth over 160 billion baht, 4.52 percent more than the same period last year.

The only important economic news is the farmer's profit margins.

Maybe this gives an insight?

https://www.statista.com/outlook/40060200/126/rice/thailand#market-pricePerUnit

Almost immediately after the military overthrow of the elected government, rice farmers proposed that the NCPO set a price for rice based on the average production cost plus a 40% profit margin so they can survive. http://www.nationmultimedia.com/politics/Rice-farmers-seek-40-profit-margin-30235737.html

So with eleven months of international rice sales for 2018, has the Prayut government met farmer's expectations and continue to do so in the near future?

As the Prayut government has been providing additional farmer subsidies, soft loans and a granary pledge rice support price program (similar to Yingluck's rice pledge program) since 2015 that has not resulted in increases in the average price per unit in the market for Rice amounts, it doesn't seem that rice farmer sustainability has happened nor expected to occur in the near future.

unfortunately prices are set by the international market place, Thailand had artificial pricing under yinglucks scam and suffered, farmers have to accept that to be part of the world market place they need to compete against other countries. If the farmers want more profit built into their pricing they have to accept lower sales when other countries under cut their pricing, problem is thai farmers expect the rest of the country to subsidize them instead of better farming initiatives

 

unfortunately prices are set by the international market place, Thailand had artificial pricing under yinglucks scam and suffered, farmers have to accept that to be part of the world market place they need to compete against other countries. If the farmers want more profit built into their pricing they have to accept lower sales when other countries under cut their pricing, problem is thai farmers expect the rest of the country to subsidize them instead of better farming initiatives

Might be easier to inquire as to who really benefits.....?

Rice is a political tool.

A nonsense post has been removed. 

These orders are for new rice.  What's happening to the mouldy stuff stockpiled by Yingluck?

 

These orders are for new rice.  What's happening to the mouldy stuff stockpiled by Yingluck?

The last load of the stored 18.2 million tons was auctioned off last September.

The edible stock was sold off in 2017.