Government plans to beef up parboiled rice production, vows to become No 1 exporter again

[Lite Beer]

Government plans to beef up parboiled rice production, vows to become No 1 exporter again
Petchanet Pratruangkrai
The Nation on Sunday


Yanyong

BANGKOK: -- Thailand will regain its position as the world's number one exporter of parboiled rice from India within the next two years, the Commerce Ministry claimed yesterday - even as the government pushed forward with its rice-pledging scheme.

As part of its plans to boost rice exports, Commerce Minister Nivatthamrong Boonsongpaisal will lead a Thai delegation to six targeted countries next week. The delegation will first visit Indonesia and Malaysia, followed by the Philippines, China, Togo and Iran, where it will discuss government-to-government contracts for Thai rice with its counterparts.

Deputy Commerce Minister Yanyong Phuangrach said the government would extend efforts to increase exports of parboiled rice this year by allowing millers and exporters to purchase paddy rice for parboiled production.

"This should enable Thailand to again become the world's largest exporter of parboiled rice after losing its position to India. This year Thailand will export about 1.5 million tonnes of parboiled rice and increase exports to 2.5 million tonnes next year," said Yanyong.

In 2001, Thailand was the world's top exporter of parboiled rice with between 2 to 2.5 million tonnes, while Indian exports in the same year amounted to 500,000 tonnes.

However, with the launch of the government's rice-pledging scheme, paddy rice was sold under the government's pledging scheme. Exporters and millers were unable compete with the high price the government offered farmers, and the country duly lost its position as the top exporter of parboiled rice. Last year, Thailand shipped about 2.1 million tonnes of parboiled rice, while India exported more than 2.3 million tonnes.

Under the pledging process, all rice entered into the pledge must be milled - a process, which stops it from being turned into parboiled rice.

Yanyong said that the government would also adjust its current production methods - which include polishing paddy rice - so that it could sell more paddy to millers and exporters to be turned into parboiled rice for this and next year's exports.

Polishing rice is not part of the parboiled rice production process.

Parboiled rice exports sell well above white rice exports by as much as US$30 to $50 (Bt935-1,558) per tonne. According to the Thai Rice Exporters Association, as of July 3, the price of white rice was $524 per tonne, while parboiled rice was selling at $543 per tonne. The price of India's parboiled rice was quoted at $430 a tonne. Nivatthamrong said consumption of parboiled rice was becoming increasingly popular among emerging economies in Africa, as well as the Middle East. He said countries targeted for exports of Thai parboiled rice included Saudi Arabia, Yemen, South Africa and Nigeria.

Yanyong added that from a total of 2.69 million tonnes of paddy, expected to enter to the pledging scheme between now to this September, about half, or 1.3-1.5 million tonnes, would be sold to millers and exporters for parboiled rice production. The other 50 percent would be traded normally on the market.

While the government has plans to sell paddy rice at the market price, critics have said the price should be slightly lower to help private exporters. Only a handful of countries have the capacity to export parboiled rice in large quantities - Thailand, India, Brazil, and the United States.

However, Thailand's technological standards for producing parboiled rice have ensured that has become widely accepted in consumer countries, due to its quality. Among a total of 2,000 millers in Thailand, about 10 percent of these can produce parboiled rice.

Niwet Sritongkim, owner of Petchburi Inter Rice, a parboiled rice production plant, said that his production of parboiled rice had dropped dramatically since the government introduced the rice-pledging scheme. However, he supported the government's plans to release paddy rice to the market, so that millers and exporters with parboiled production capabilities could increase their production.

He added that there was a high demand of parboiled rice on the world market. According to the Commerce Ministry, about 4 million tonnes of parboiled rice is traded on global markets every year.

-- The Nation 2013-07-07

[rheinwiese]

[MaxLee]

Government plans to beef up parboiled rice production, vows to become No 1 exporter again

Nobody wants Thailand's XXXXXXXXXXX-spired rotten OVERPRICED XXXXXXXXXXXXXXXX-pensive rice anymore. So the dear people of Thailand are left to eat it with the danger of getting many many years of XXXXXXXXXXXXXXXX-treme diarhea epidemics....

[OzMick]

".....parboiled rice was selling at $543 per tonne. The price of India's parboiled rice was quoted at $430 a tonne."

Great marketing ploy - 25% ON.

[hanuman2543]

"In 2001, Thailand was the world's top exporter of parboiled rice with between 2 to 2.5 million tonnes, while Indian exports in the same year amounted to 500,000 tonnes."

An impressive performance, from being a fivefold amount leader to less?????? Thai productivity and competitiveness at its best

Edited July 7, 2013 by hanuman2543

[noitom]

They're "beefing up" these Thais they are. It seems that Thais consume considerably more pork than beef with their rice. Therefore, it makes sense that Thais should always be "porking up" rather than beefing up as in the English speaking world. Porking up for Thailand. They then have a shot at becoming the porking up hub.

[Bluespunk]

" According to the Thai Rice Exporters Association, as of July 3, the price of white rice was $524 per tonne, while parboiled rice was selling at $543 per tonne. The price of India's parboiled rice was quoted at $430 a tonne."

You may want to read the above minister, it may help you understand why you are talking nonsense.

[TackyToo]

".....parboiled rice was selling at $543 per tonne. The price of India's parboiled rice was quoted at $430 a tonne."

Great marketing ploy - 25% ON.

Now you know why the PM wants to get on the EU-market via Poland a country well known in Europe for its fraud, theft and illicit business.

[Robby nz]

This it would appear is all new seasons rice but the exporters will still have to compete with the GOVT's price, is that correct?

If so it still doesn't address what will happen to the huge mountain of old season rice.

And of course it is only looking at once again becoming the No 1 exporter of par-boiled rice which wont be that easy as India apparently has moved into the markets Thailand previously sold to.

India wont be keen to be pushed out of those markets and I would think would be prepared to compete to keep them.

I does nothing really to get back Thailand's lost position of No 1 rice exporter over all.

[Thaddeus]

There is no right end of this shtick.

[thhMan]

You can vow all you want... Just stop being stupid about it!

[Markaew]

Every time I see a picture of one of these ministers making headlines, it makes me think of "clown of the day".

They don't seem to care if their credibility is totally lost by confirming their stupidity.

[OzMick]

You can tell how news-worthy your announcement is when the reporter gets a photo with the camera on his cheap mobile phone.

[Payboy]

parboiled rice production

Here's hoping that prewash will take care of the pests & pesticides.

[Thai at Heart]

Begs the question, why did they get out of the parboiled market?

Less margin due to processing costs maybe? So why plan to go back in?

[OzMick]

Begs the question, why did they get out of the parboiled market?

Hint - its in the OP. Oh all right:

Under the pledging process, all rice entered into the pledge must be milled - a process, which stops it from being turned into parboiled rice.

[jamhar]

Had to look up "parboiled" lol

[bubblegum]

I wish I had a bath for every time a minister in Thailand makes a vow.

[whatsupdoc]

I wish I had a bath for every time a minister in Thailand makes a vow.

How long do you intend to stay in the bathroom??

[drdoom6996]

Is he really sure it can be in 2 years. Chalerm put 3 months on several projects with no progress reports to say he was successful. Maybe you should DO SOMETHING before you tell us when it will be fixed.

OR IS THIS JUST ANOTHER GOVERNMENT SOUND BYTE?

[drdoom6996]

I wish I had a bath for every time a minister in Thailand makes a vow.

Then you would be dead from drowning. It's Baht, with a capital B when printed.

[Moruya]

Thailand to become the world's top exporter of mildew

[billd766]

Another Minister personally selected for having exceptional knowledge about his job in addition to being totally honest, moral, trustworthy ......................

I'm sorry, I can't write anymore as my tongue is hurting where I keep biting it to stop myself laughing.

Edited July 7, 2013 by billd766

[khunken]

Yes, more brilliant thinking from the PTP geniuses. We can't sell our (non-parboiled) rice because it's too expensive so we'll have a go with our expensive parboiled rice.

Thaksin must have thought of this.

[allan michaud]

Let's hope the countries being targeted for G2G deals insist on payment on delivery, as the Thai's already tried to offload rotten rice to one African country this year.

To solve the English teaching and Riceberg problems, maybe they should make a deal for the Philippines to send thousands of English teachers here.

[Mudcrab]

"In 2001, Thailand was the world's top exporter of parboiled rice with between 2 to 2.5 million tonnes, while Indian exports in the same year amounted to 500,000 tonnes."

An impressive performance, from being a fivefold amount leader to less?????? Thai productivity and competitiveness at its best

Nothing to do with productivity or competitiveness....this about government policy. Please, you people need to understand the Thai rice farmer has been adequately feeding his family with a little left over ( like EVERY successful farmer in the world since time began ) for many generations. Like most farmers the world over they are wise to the bullshit politicians spread. Sure there will be a number who fall for the political promises for a length of time...but not forever.

Edited July 7, 2013 by Mudcrab

[hellodolly]

"As part of its plans to boost rice exports, Commerce Minister Nivatthamrong Boonsongpaisal will lead a Thai delegation to six targeted countries next week. The delegation will first visit Indonesia and Malaysia, followed by the Philippines, China, Togo and Iran, where it will discuss government-to-government contracts for Thai rice with its counterparts."

I thought that was what Yingluck was doing.

Why does it take a delegation to explain that buying rice with a 20% spoilage rate on delivery at higher prices than rice that has not been sitting in warehouses for over a year is a good deal.

Check with the Ivory Coast for the edibility of the rice. 20% useless.

[hellodolly]

Another Minister personally selected for having exceptional knowledge about his job in addition to being totally honest, moral, trustworthy ......................

I'm sorry, I can't write anymore as my tongue is hurting where I keep biting it to stop myself laughing.

Let me help you

[OzMick]

"In 2001, Thailand was the world's top exporter of parboiled rice with between 2 to 2.5 million tonnes, while Indian exports in the same year amounted to 500,000 tonnes."

An impressive performance, from being a fivefold amount leader to less?????? Thai productivity and competitiveness at its best

Nothing to do with productivity or competitiveness....this about government policy. Please, you people need to understand the Thai rice farmer has been adequately feeding his family with a little left over ( like EVERY successful farmer in the world since time began ) for many generations. Like most farmers the world over they are wise to the bullshit politicians spread. Sure there will be a number who fall for the political promises for a length of time...but not forever.

Subsistence does not equal successful when it comes to farming, especially when they rely on government handouts to make the little they sell worth enough to supply the other necessities.

Successful farmers feed the world, or at least those producing the luxuries, necessities and services that we enjoy in a modern lifestyle.

[rubl]

"Yanyong added that from a total of 2.69 million tonnes of paddy, expected to enter to the pledging scheme between now to this September"

Over 2011/2012 the second season crop had more than 12m tonnes pledged. Why is it expected to be only 2.69m tonnes over the second season of 2012/2013?