Thailand
Demand for Thai rice still on the rise
Demand for Thai rice remains strong, with several governments such as Indonesia and Bangladesh expressing an interest in purchasing the grain through government-to-government (G2G) deals.
Ronnarong Phoolpipat, director-general of the Foreign Trade Department, said Thai rice is in great demand in the global market, which could enable exports to exceed 8 million tonnes this year.
The department plans to send representatives from both the public and private sectors to engage in discussions and strengthen relations with important trading partners, including the Philippines in July and Malaysia, Indonesia, Singapore and Japan in August, he said.
“Growing concerns about the impact of the El Niño weather phenomenon led Indonesia to express increased demand for rice imports, worried about a shortage for domestic consumption and the need for food security,” said Mr Ronnarong.
“Indonesia is interested in purchasing Thai rice through G2G deals. However, the Thai government does not have a policy to sell rice via this method, preferring private sector involvement.”
He said Bangladesh is also interested in purchases through G2G contracts.
Mr Ronnarong just returned from a trip to Hong Kong and Beijing during June 11-15 to promote Thai rice and Thai hom mali rice, as well as the rice certification mark. He informed his Chinese hosts about the quality and standards of Thai rice.
Mr Ronnarong said representatives from the Thai Rice Exporters Association also engaged in discussions with Cofco Corporation, a Chinese government-owned organisation involved in the production and importation of agricultural products.
The meeting involved an exchange of information regarding the rice trade.
He said the Chinese contingent agreed to take immediate action if it spots counterfeit Thai hom mali rice or any fraudulent acts regarding this variety, such as the falsification of product labels or certification marks.
Thailand usually exports 600,000-700,000 tonnes of rice to China annually, primarily consisting of white rice and Thai hom mali rice.
Hong Kong is another important market for Thai rice exports, typically importing 170,000-188,000 tonnes, with 70-80% Thai hom mali rice.
Hong Kong is the No.1 foreign market for Thai hom mali rice.
Thailand continues to dominate the market share in Hong Kong, accounting for about 60% of its rice market.
Mr Ronnarong said Thailand exported 3.47 million tonnes of rice in the first five months of this year, an increase of 26.6% year-on-year from 2.74 million tonnes.
The export value was 64.3 billion baht or UScopy.89 billion, marking an increase of 34.6% and 30.5%, respectively, compared with the corresponding period of the previous year.
Source: https://www.bangkokpost.com/business/2599420/demand-for-thai-rice-still-on-the-rise