File photo for reference only

 

Thailand's rice exporters are navigating new challenges as a 19% US import tariff takes effect today. Despite the potential hurdles, industry leaders are voicing moderate concern, emphasising broader market dynamics over the immediate impact of the tariff.

 

The new duty, signed into effect by US President Donald Trump, marks a reduction from a previously proposed 36% rate. While the tariff imposes additional costs on Thai rice, including the highly prized jasmine variety, it's not seen as a critical blow. Thailand currently dominates the US market for premium jasmine rice, enjoying a substantial market share.

 

Charoen Laothamatas, president of the Thai Rice Exporters Association, shared his views with local media outlet "Thansettakij." He clarified that the 19% tariff doesn't significantly disadvantage Thailand compared to Vietnam, a key competitor. Vietnamese rice faces a similar tariff of 20%.

 

Charoen explained that while the new tariff might slow Thailand's market share erosion to Vietnamese rice, a more pressing concern is the potential for increased Vietnamese production. "If Vietnam manages to increase its production tenfold, making rice cheaper, Thailand will lose more market share," he warned. The dynamics of rice pricing are complex; higher prices can lead to competitiveness issues if rivals offer lower-cost alternatives.

 

Beyond tariffs, the global rice market faces challenges such as oversupply. This imbalance could influence prices and demand across international markets, adding another layer of uncertainty for exporters. As Thailand assesses its strategies, balancing competitive pricing with market sustainability remains key.

 

Attention is also turning towards Japan, a significant import partner for Thailand. Japan imports about 300,000 tonnes of 5% white rice annually from Thailand. However, there is rising concern over Japan's import preferences potentially shifting towards the US. Such a shift could reduce Thailand's export volume, especially impacting the staple 5% variety, although jasmine rice volumes to Japan remain low.

 

Charoen stressed that Thai exporters must adapt to these changes dynamically. While tariffs are part of the global trade landscape, maintaining competitive pricing and exploring new markets could mitigate their effects. He believes the global free trade environment may undergo significant shifts in the future, requiring businesses to stay agile.

 

Thailand's rice sector is vital for the economy, with exporters continually exploring ways to enhance competitiveness. The focus includes examining production efficiencies and potentially diversifying into markets less affected by US tariffs.

 

While today’s tariff introduction poses challenges, it’s merely one part of a multifaceted global rice market scenario. Thai exporters are cautiously optimistic, acknowledging that while immediate impacts may be limited, strategic vigilance is necessary to navigate ongoing changes and remain competitive on the world stage.

 

Amid these issues, the industry remains united in its commitment to sustaining growth and ensuring that Thailand retains its position as a top rice exporter, even in evolving market conditions.

 

  Adapted by ASEAN Now from The Nation 2025-08-01

 

They have priced themselves out before the tariff start thanks to the teflon baht.

If worried about 19% tariff, just mix the mouldy old left overs from the failed Yingluck rice debacle.

No one will notice it

Wow! Surprise, surprise...

19 hours ago, snoop1130 said:

Charoen stressed that Thai exporters must adapt to these changes dynamically

Well that's a novel idea.... 

Its ok for Thai and Vietnamese to worry about the TACO tariffs the real problem lands at the feet of the US consumer having to pay for the tariffs.

21 hours ago, Grumpy one said:

If worried about 19% tariff, just mix the mouldy old left overs from the failed Yingluck rice debacle.

No one will notice it

Thumphan is still eating it

On 8/2/2025 at 1:39 PM, Grumpy one said:

If worried about 19% tariff, just mix the mouldy old left overs from the failed Yingluck rice debacle.

No one will notice it

Mouldy stuff gives people liver cancer -  Aspergillus flavus synthesises aflatotoxins (oneof, if not the most potent hepatotoxic natural carcinogens known).  Do not eat mouldy seeds of any kind unless you want horrible death!

On 8/1/2025 at 6:32 PM, snoop1130 said:

File photo for reference only

 

Thailand's rice exporters are navigating new challenges as a 19% US import tariff takes effect today. Despite the potential hurdles, industry leaders are voicing moderate concern, emphasising broader market dynamics over the immediate impact of the tariff.

 

The new duty, signed into effect by US President Donald Trump, marks a reduction from a previously proposed 36% rate. While the tariff imposes additional costs on Thai rice, including the highly prized jasmine variety, it's not seen as a critical blow. Thailand currently dominates the US market for premium jasmine rice, enjoying a substantial market share.

 

Charoen Laothamatas, president of the Thai Rice Exporters Association, shared his views with local media outlet "Thansettakij." He clarified that the 19% tariff doesn't significantly disadvantage Thailand compared to Vietnam, a key competitor. Vietnamese rice faces a similar tariff of 20%.

 

Charoen explained that while the new tariff might slow Thailand's market share erosion to Vietnamese rice, a more pressing concern is the potential for increased Vietnamese production. "If Vietnam manages to increase its production tenfold, making rice cheaper, Thailand will lose more market share," he warned. The dynamics of rice pricing are complex; higher prices can lead to competitiveness issues if rivals offer lower-cost alternatives.

 

Beyond tariffs, the global rice market faces challenges such as oversupply. This imbalance could influence prices and demand across international markets, adding another layer of uncertainty for exporters. As Thailand assesses its strategies, balancing competitive pricing with market sustainability remains key.

 

Attention is also turning towards Japan, a significant import partner for Thailand. Japan imports about 300,000 tonnes of 5% white rice annually from Thailand. However, there is rising concern over Japan's import preferences potentially shifting towards the US. Such a shift could reduce Thailand's export volume, especially impacting the staple 5% variety, although jasmine rice volumes to Japan remain low.

 

Charoen stressed that Thai exporters must adapt to these changes dynamically. While tariffs are part of the global trade landscape, maintaining competitive pricing and exploring new markets could mitigate their effects. He believes the global free trade environment may undergo significant shifts in the future, requiring businesses to stay agile.

 

Thailand's rice sector is vital for the economy, with exporters continually exploring ways to enhance competitiveness. The focus includes examining production efficiencies and potentially diversifying into markets less affected by US tariffs.

 

While today’s tariff introduction poses challenges, it’s merely one part of a multifaceted global rice market scenario. Thai exporters are cautiously optimistic, acknowledging that while immediate impacts may be limited, strategic vigilance is necessary to navigate ongoing changes and remain competitive on the world stage.

 

Amid these issues, the industry remains united in its commitment to sustaining growth and ensuring that Thailand retains its position as a top rice exporter, even in evolving market conditions.

 

  Adapted by ASEAN Now from The Nation 2025-08-01

 

I doubt risotto rice is over-supplied in Europe.  So change proportions of rice varieties grown & sell to Europe, especially Italy.  Probably could make a bigger profit.

On 8/2/2025 at 2:10 PM, norsurin said:

They have priced themselves out before the tariff start thanks to the teflon baht.

Yes, I can buy Australian rice cheaper than Thai rice 

 

I am, for one, totally convinced that the broader market dynamics will save the day.

 

If one thing is certain....it will be mainly the poor rice farmers that get shafted....not the middlemen, the processors, the exporters.

4 hours ago, still kicking said:

Yes, I can buy Australian rice cheaper than Thai rice 

In my country its 60% cheaper for pork meet compared to Thailand.Salmon 80% cheaper.

Wine cheaper and many other things.

2 minutes ago, norsurin said:

In my country its 60% cheaper for pork meet compared to Thailand.Salmon 80% cheaper.

Wine cheaper and many other things.

Talking about wine, I am a wine drinker. I bought 5 litres of cask wine (Australian) for just 16 AUD 

1 hour ago, still kicking said:

Talking about wine, I am a wine drinker. I bought 5 litres of cask wine (Australian) for just 16 AUD 

I guess u had to pay 300% more in Thailand.

Just now, norsurin said:

I guess u had to pay 300% more in Thailand.

Yes, I bought a bottle of OZ wine (750 ml) for 500 baht.

30 minutes ago, norsurin said:

I guess u had to pay 300% more in Thailand.

Yep Wolf Blass Yellow label costs THB 700, back in Oz THB 250 (12AUD).

1 hour ago, still kicking said:

Talking about wine, I am a wine drinker. I bought 5 litres of cask wine (Australian) for just 16 AUD 

 

Sounds like high quality stuff.

1 minute ago, blaze master said:

 

Sounds like high quality stuff.

No, it is not. How is the Thai cask wine?

2 hours ago, still kicking said:

No, it is not. How is the Thai cask wine?

 

Wouldn't know. I don't drink. 

12 hours ago, Peter Crow said:

Yep Wolf Blass Yellow label costs THB 700, back in Oz THB 250 (12AUD).

And still Thailand complain but they r so greedy that it will never stop.

Now Vietnam take over as the worlds second exporters of rice and Thailand don't want to admit they priced themselves out with the ridiculous high thai baht.

Karma is a bitch isn't it?

Beaten by Vietnam who now took over as the worlds second biggest rice exporter after India.

Go ahead and continue manipulate the teflon thai baht.