New rice auction to be announced tomorrow, 18 March

[webfact]

New rice auction to be announced tomorrow



BANGKOK: -- The National Rice Policy Committee has approved the auction of a new round of 640,000 tons of rice stocks.

The auction conditions will be announced tomorrow.

Director-general of the Department of International Trade Mrs Duangporn Rodphaya revealed yesterday that the National Rice Policy Committee has endorsed a proposal to organize a new public bidding on rice stocks as market trends indicate that the demands for white rice and broken-milled rice is on the rise.

The auction will allow the government to reduce costs related to maintaining and looking after existing stocks, she said.

She however told farmers that this move will in no way affect local market prices.

Yesterday the Public Warehouse Organization (PWO) invited five successful bidders in the previous government rice auction to attend a briefing on the criteria for this new round of bidding.

The brief focused on the portion of the auctions for 140,000 tons of rice destined for industrial purpose (broken-milled rice). These are estimated to be more than 933 million Baht in value.

The PWO official said the PWO was willing to approve a relaxation of certain restrictions such as the possibility of allowing these rice stocks to be transported after daylight hours.

But it maintained that not all parties will be given this benefit as the merits and past performances of each will have to be considered before approval is granted.

Source: http://englishnews.thaipbs.or.th/content/155532


-- Thai PBS 2016-03-17

[rickirs]

this move will in no way affect local market prices.

Possibly untrue.

Just a couple days ago Thai rice exporters said they were reluctant to export to traditional customers such as oil-rich Nigeria for fear that they may default in payments. Meanwhile, there has been a rice export slump due to a lack of government-to-government rice deals and new deals for Philippines rice imports. Some rice exporters are going out of business because of liquidity problems.

So the only viable rice market that remains currently is Thailand.

[GOLDBUGGY]

this move will in no way affect local market prices.

Possibly untrue.

Just a couple days ago Thai rice exporters said they were reluctant to export to traditional customers such as oil-rich Nigeria for fear that they may default in payments. Meanwhile, there has been a rice export slump due to a lack of government-to-government rice deals and new deals for Philippines rice imports. Some rice exporters are going out of business because of liquidity problems.

So the only viable rice market that remains currently is Thailand.

You make some very good points but I can't see why Thailand can't do some Creative Financing with countries like Nigeria.

To me what makes a good trade is trading something you have too much of for something you need and have very little of, to a country who needs and doesn't have what you have but too much of what you need.

Nigeria is always going to need Rice and Thailand is always going to need Oil. So trade Rice for Oil. No money changes hands and they both get what they need. No?