Price of packed Thai rice to be 3-5% lower than in previous year

[webfact]

Price of packed rice to be 3-5% lower than in previous year

BANGKOK 10 March 2014 (NNT) — Packed rice will cost consumers between 80-120 baht per a 5-kilogram bag this year, a decrease of at least 3-5 % from last year, given the fact that paddy price has decreased.

According to Somkiat Makayathorn, President of the Thai Rice Packers Association, the price of packed rice this year will cost consumers 3-5% less than it did last year. In other words, last year’s price of 90-130 baht per bag will be lowered to 80-120 baht.

The reason behind the drop is that the prices of paddy have plunged considerably. At the moment, the price stands at 13 baht per kilo, or 13,000 baht per ton, while the price paid to rice farmers has dropped to 7,500 - 8,000 baht per ton.

Mr. Somkiat further stated that companies that sell rice will start to adjust their prices accordingly, lowering retail prices of packed rice. However, he does not believe the price will drop any further, as it is already considered the lowest point, which is very close to the price of rice in other countries.

The President of the Thai Rice Packers Association added that the drought affecting rice production this year should be another factor that prevents the price of Thai rice from dropping even further.


-- NNT 2014-03-10

[seajae]

with all the chemicals that farmers are now using to push their crops along and what they are being sprayed with in the storage facilities I think I will stick to rice grown outside Thailand for a while. After reading that thai farmers will not even eat their own rice due to all the extra chemicals they have buckleys of me eating it, doesnt matter what they do with the price, I want good rice, not chemical laden garbage.

Edited March 10, 2014 by seajae

[bigbamboo]

Surely if the wholesale price has plummeted a 3 to 5 per cent reduction is neglible. And we all know that will last about one week before it goes up again due to 'inflation'.

[Thai at Heart]

Why did the price plummet? Surely not a cartel?

[chainarong]

Generaly a drought pushes prices up , so the main factor is over supply, whearhouses full to the brim and not a buyer in site , talk about killing the golden goose, the PTP Administration has miss- handled the Rice pledge scam and once again has let the good people of Thailand down.

Edited March 10, 2014 by chainarong

[Thai at Heart]

The farm price goes from 13000 to 8000 and this represents only 3 to 5% at the shop?

Surely not a lot of gouging in the middle?

[Katipo]

Good on the PTP for lowering the price of rice for consumers worldwide. All hail Thaksin, our benevolent and magnanimous leader!

[tim armstrong]

The shelf life of the rice mountain - some nearly 2 years old, is quickly deteriorating and the storage facilities have to move it - maybe to China ? and therefore sell it very cheaply, but who knows ? --- and where will the new season's rice be stored ? and who will buy it - and who will pay the farmers - and how will they pay off their loans from last year ? No wonder the price is getting cheaper. Its all still going to get worse methinks. But I hope not, at least for the farmers. If only they would cooperate with each other, cut out a few middlemen, and learn about marketing.

[soalbundy]

Price has dropped 3% and the weight has increased by 50% got to get rid of that old rice somehow

[billd766]

I heard a rumour that there was plenty of rice for sale in Thailand plus big discounts for untraceable cash.

[ginjag]

Tesco Udon 5 kilo bag of Tesco rice 112 baht--last year 99 baht. is that 4% av--higher ???