Thai govt assures huge rice sales to China

[webfact]

Govt assures huge rice sales to China
By English News



BANGKOK, Oct 18 – A Thai delegation will wrap up an agreement with China’s central government next month on exports of rice to the mainland at one million tonnes annually, according to a senior Cabinet member.

Deputy Prime Minister/Commerce Minister Niwatthamrong Boonsongpaisan said the government-to-government deal, to be concluded by December at the latest, would include exports of white rice and fragrant rice on a continuing basis.

If an agreement is reached, the first batch of rice should be delivered to China early next year, he said.

Mr Niwatthamrong will lead the Thai trade team for the mission.

Prime Minister Yingluck Shinawatra said after a meeting with her Chinese counterpart Li Keqiang on the weekend that China would buy one million tonnes of rice and 200,000 tonnes of rubber from Thailand on a yearly basis for the next five years.

Mr Niwatthamrong said the G-to-G rice deal would not include agreements between the Thai private sector and Chinese state enterprises, and another deal to sell rice directly to Harbin city in Hellongjiang province.

He said his upcoming meeting with the Chinese premier would focus on rice sales to China’s central government and the categories of rice to be exported.

Most importantly, the price would be based on the world market price, he said.

He said the Commerce Ministry was hoping that it could reach the export target of seven million tonnes for this year while next year’s export projection was set for 8-10 million tonnes. (MCOT online news)


-- TNA 2013-10-18

[ggold]

I thought they already sold a whole lot of rice to the Chinese! Well its one way of getting rid of the old rice, wonder if the Chinese realise this?

[Local Drunk]

I can't fathom the comments or actions from this government. It's "The Comedy of the Absurd".

[JoeThePoster]

Most importantly, the price would be based on the world market price, he said.

Which is lower than the cost price?

[bubblegum]

Most importantly, the price would be based on the world market price, he said.

Which is lower than the cost price?

Exactly !

[bkkgriz]

Buy high, sell low. Is this some new kind of economic strategy I am not aware of. I must look into this right away.

[IMA_FARANG]

The Chinese are too smart for that.

What the Chinese will "trade" is credit for buying Chinese goods from them.

They will let the Thai government "borrow" funds from China at low interest rates .... but they will still charge low interest on those "loans".

Those "loans" will be used by the Thais to buy Chinese "services" at Chinese determined prices.

Since the Thai government is so corrupt anyhow, much of the "money" will be taken in kickbacks and "tea money" by the politicians involved anyhow.

And the Chinese influence in Thailand will be much increased.

Any way, the average Thai is going to lose, and the rich Thais will simply get richer.

It's inevitable.

Wish that wasn't true, but it is what is going to happen.

The Thais are outclassed by the Chinese at this, especially with the whole weight of the Chinese government behind the Chinese businessmen who will profit.

That's precisely what the Chinese government intends ... make Thailand ultimately dependent on China.

[jonclark]

Utter <deleted>!

sorry to be so crude but that is the only response worthy of the drivel this government spouts.

They have been saying that China will buy tonnes of Thai rice for months - and not one single grain has been exported, not one baht received and the rice just sits and rots in warehouses, (some of which are in areas currently flooded). S

All the while the taxpayer foots the bill; to buy the rice, pay the interest on the rice, pay the warehouse storage costs etc; while the farmers remain in poverty, producing a product that clearly no one internationally wants to buy.

An absolute disgrace.

[saltandpepper]

with so many deals (allegedly) concluded with China already, I believe that Thailand will soon have to import rice from India to fulfil its commitments....

[Daniel5]

Utter <deleted>!

sorry to be so crude but that is the only response worthy of the drivel this government spouts.

They have been saying that China will buy tonnes of Thai rice for months - and not one single grain has been exported, not one baht received and the rice just sits and rots in warehouses, (some of which are in areas currently flooded). S

All the while the taxpayer foots the bill; to buy the rice, pay the interest on the rice, pay the warehouse storage costs etc; while the farmers remain in poverty, producing a product that clearly no one internationally wants to buy.

An absolute disgrace.

next month, it'll be a year

November 21, 2012

http://www.reuters.com/article/2012/11/21/thailand-china-rice-idUSL4N0910UA20121121

[Robby nz]

And yesterday in parliament :

Deputy Commerce Minister Yanyong Phuangrach yesterday admitted that no formal agreement has been signed for China to buy 1 million tones of Thai rice annually through government-to-government contracts.

The only agreement was the MOU for Chinese importers to buy 200K tons per year from Thai exporters.

[soi41]

Thai govt assures huge rice sales to China.

[apetley]

Third paragraph....."if an agreement is reached...."

[Nickymaster]

Volumes don't mean s..t if the price is not good.

[Robby nz]

It also came up in Parliament yesterday in answer to questions on the so called rice deal that :

The subject just came up in discussions between Ms Yingluck and the Chinese premier.

The Deputy Minister then said that the Chinese leader's words were more binding than a memorandum of understanding.

[siampolee]

BANGKOK, Oct 18 – A Thai delegation will wrap up an agreement with China’s central government next month on exports of rice to the mainland at one million tonnes annually, according to a senior Cabinet member.

Yet according to the S.M.S.News flash from The Nation this morning it was stated that a delegation of officials etc would be going to China in December to finalise a deal that China is going to buy one million tons of Jasmine rice in the next year 2014.

So which thaksinspeak comment is correct the O.P here or the statement from The Nation?

Both statements it is presumed are from government sources?

Indeed this puppet government make Machiavelli look like an bungling inept fool.

Edited October 18, 2013 by siampolee

[laurentbkk]

Maybe it will be an exchange of rice against some new fast train ..... remember the chiken against fighter planes ?????

[clockman]

The Chinese are too smart for that.

What the Chinese will "trade" is credit for buying Chinese goods from them.

They will let the Thai government "borrow" funds from China at low interest rates .... but they will still charge low interest on those "loans".

Those "loans" will be used by the Thais to buy Chinese "services" at Chinese determined prices.

Since the Thai government is so corrupt anyhow, much of the "money" will be taken in kickbacks and "tea money" by the politicians involved anyhow.

And the Chinese influence in Thailand will be much increased.

Any way, the average Thai is going to lose, and the rich Thais will simply get richer.

It's inevitable.

Wish that wasn't true, but it is what is going to happen.

The Thais are outclassed by the Chinese at this, especially with the whole weight of the Chinese government behind the Chinese businessmen who will profit.

That's precisely what the Chinese government intends ... make Thailand ultimately dependent on China.

Just a china colony!

[bigbamboo]

I'd like to be able to discuss this issue with some of my Thai friends so does anyone know the Thai word for '<deleted>'?

[happynthailand]

<deleted> = kee (thai)

[Barney R]

Just an observation the Australian government tried to prop up the wool industry in the 80s and we were told it will be just for the short term but they still had stockpiles well into 2003 . It cost the tax payers a fortune and wool does not deteriate. Rice will lose weight over time especially as the farmers actually delivered rice with high moisture content well above the international standards . I know as my wife's family laughed about it and said that every farmer in the district did the same . Now on working out some figures over 2 years you can expect a decrease in weight of approx 4-6 % which on 15.5 million tonnes is 750,000 tonnes that is without stock "disappearing",weevils ect . Another thing that this very bright government allowed was there is just a price for rice so farmers grew an inferior rice that they can easily get 2 crops a year . Now the warehouses are full of inferior rice that they are trying to get superior prices for and that is deteriating more and more everyday . Thailand will be paying for this scheme for another 20 - 30 years going on what happened in Australia . Not very clever .

[givenall]

As they say "don't count your chick before the eggs hatch

[moe666]

Just an observation the Australian government tried to prop up the wool industry in the 80s and we were told it will be just for the short term but they still had stockpiles well into 2003 . It cost the tax payers a fortune and wool does not deteriate. Rice will lose weight over time especially as the farmers actually delivered rice with high moisture content well above the international standards . I know as my wife's family laughed about it and said that every farmer in the district did the same . Now on working out some figures over 2 years you can expect a decrease in weight of approx 4-6 % which on 15.5 million tonnes is 750,000 tonnes that is without stock "disappearing",weevils ect . Another thing that this very bright government allowed was there is just a price for rice so farmers grew an inferior rice that they can easily get 2 crops a year . Now the warehouses are full of inferior rice that they are trying to get superior prices for and that is deteriating more and more everyday . Thailand will be paying for this scheme for another 20 - 30 years going on what happened in Australia . Not very clever .

I think they left out the part were they get less money for more moisture in the rice. The miller checks the rice for moisture content and pays less depending on the moisture. Who is the joke on here

[dunque]

Most importantly, the price would be based on the world market price, he said.

Which is lower than the cost price?

Sounds like heavily-subsidised US and EU produce

[jaltsc]

Buy high, sell low. Is this some new kind of economic strategy I am not aware of. I must look into this right away.

According the economic strategy of Deputy Prime Minister/Commerce Minister Niwatthamrong Boonsongpaisan, although they will lose money on each unit of rice sold, they will make it up on volume

[noikrit]

width=19 alt=whistling.gif> The Chinese are too smart for that.

What the Chinese will "trade" is credit for buying Chinese goods from them.

They will let the Thai government "borrow" funds from China at low interest rates .... but they will still charge low interest on those "loans".

Those "loans" will be used by the Thais to buy Chinese "services" at Chinese determined prices.

Since the Thai government is so corrupt anyhow, much of the "money" will be taken in kickbacks and "tea money" by the politicians involved anyhow.

And the Chinese influence in Thailand will be much increased.

Any way, the average Thai is going to lose, and the rich Thais will simply get richer.

It's inevitable.

Wish that wasn't true, but it is what is going to happen.

The Thais are outclassed by the Chinese at this, especially with the whole weight of the Chinese government behind the Chinese businessmen who will profit.

That's precisely what the Chinese government intends ... make Thailand ultimately dependent on China.

alt=rolleyes.gif width=20 height=20>

Just a china colony!

The " Shin Clan "are from Chinese descent after all ... no surprise then ..

[trainman34014]

Just a few weeks back the Government 'assured' the people of Thailand there would be no floods and a few days before parts of Bangkok flooded Yingluck 'assured' the people of the City that there would be no flood.

I've lost count over the last two years of how many 'assurances' this Government has issued. I would say the only thing they are actually capable of 'assuring' is that they will become a lot richer at the expense of the people of this country.