Illustrative photo (Source: NNT)
The Thai Rice Exporters Association has been upbeat about rice shipment prospects in the second half of this year.
However, many exporters worried that the rising price of hom mali, or fragrant jasmine, will drive local farmers to plant this variety more, thus causing pressure on rice price in the market.
The association expected a rice output of 12 million tonnes in the sub-crop, which is higher than the amount of 8 million tonnes forecast by the Thai Ministry of Agriculture and Cooperatives.
Hom mali price hits ten-year high on global strong demands and Thai Government’s clear-out of rice stockpile. Each tonne of hom mali is currently sold at 18,000 THB, nearly doubling the price recorded in the same time last year.
In the first half of the year, Thailand exported 5.32 million tonnes of rice worth 85.8 billion THB, decreasing 2 percent in volume but rising 7 percent in value year on year.
The Philippines plans to buy 2 million tonnes of Thai rice, and Indonesia sets to make an order of 800,000- 1 million tonnes of rice from Thailand.
VNA
