Thailand imports rice from Vietnam to export

Thailand has imported rice from Vietnam to export.This information has been revealed by Thailand businesspeople in a talk with Reuters Group plc on August 08, 2012. On the same day, Thaland white rice with 25 percent broken rice hit the price of $545/tonne, compared with recent price of $520 – $530/tonne. Meanwhile the standard rice price level 100 percent B maintained the price of $580/tonne.

Thailand government has recently extended the programme of buying rice for temporary storage until the end of September and expects to extend it to October when new harvest begins. In this programme, Thai government will buy rice from farmers at a price of 15,000 baht, equivalent to $480/tonne.

This policy of buying rice for stockpile raised Thailand’s paddy storage volume to a record high of 17 million tonnes, or about 10 million tonns of rice, equaling to Thailand’s yearly exported rice volume.

Due to less rice in the market, some Thailand exporters have imported a certain number of rice from Cambodia, even from Vietnam through Cambodia to meet the orders.

According to businesspeople, demand from Thailand and potential orders from countries recently suffering bad weather raised Vietnam rice’s price. A businessperson in HCM City said that drought affecting US corn season, low rainfall in India rainy season, flood in China and The Philippines have pushed up the prices of raw feeding materials leading to an increase in rice prices.

On August 08, 2012, 5 percent broken rice price in Vietnam (FOB Saigon port) increased up to $425 – $430/tonne from $415 – $420/tonne last week.

The price of 25 percent broken rice also rose from $375 – $380 to $395 – $405/tonne.

 

Category: Business