TheCropSite.com- news, features, articles and disease information for the crop industry

USDA GAIN: Oilseeds, Cotton, Sugar, Grain and Feed


14 February 2012

USDA GAIN: Thailand Weekly Rice Price Update 14th February 2012USDA GAIN: Thailand Weekly Rice Price Update 14th February 2012

Export prices increased approximately 1.0 percent due to concerns over the strengthening of the Thai baht and the temporary purchases of parboiled rice from African buyers.
USDA GAIN Report - Oilseeds, Cotton, Sugar, Grain and Feed

Report Highlights:

Export prices increased approximately 1.0 percent due to concerns over the strengthening of the Thai baht and the temporary purchases of parboiled rice from African buyers. The National Rice Policy Committee has finalized the off-season crop Paddy Pledging Program and will keep intervention prices unchanged at 15,000 baht/MT ($492/MT) which is around 45 percent above the current market prices. However, the amount of rice that can be pledged will be limited to a value of 500,000 baht/farm household ($17,000) or 33.3 MT/household.

Market Tone

Export prices increased approximately 1.0 percent from the previous week due to concerns over the strengthening of the Thai baht and enquiries for parboiled rice. Some quotations are overpriced to cushion current foreign exchange risk amid quiet enquiries for Thai white rice. Meanwhile, African buyers continue to purchase Thai parboiled rice to fulfill their temporary demand due to the delay of Indian shipments of parboiled rice caused by port congestion. In addition, there is a rumor that the Government is considering to barter intervention stocks with China in exchange for 500,000 units of tablet personal computers (PC) worth approximately $50 million. The Tablet PC Program is a government policy aimed at providing every first-grade student with a tablet PC, which would total 900,000 units this year, as promised by the ruling Pheu Thai Party during its general election campaign.

Presently, the Government is holding old-crop intervention stocks of around 2.0 million tons. Meanwhile, the current Paddy Pledging Program has pledged a total of 6.3 million tons of paddy (4.2 million tons milled equivalent) from October 7, 2011 – February 12, 2012 (Table 2). This accounts for 29.2 percent of the expected total MY2011/12 main-crop production of 21-22 million tons of paddy (14.5 million tons milled equivalent). The Government expects the program will absorb only 7.0 million tons of paddy (4.6 million tons milled equivalent) when it finalizes on February 29, 2012, far below its initial target of 10.0 million tons of paddy. However, the Government will likely absorb an additional 5-6 million tons of paddy (4.0 million tons milled equivalent) from off-season crop Paddy Pledging Program during March 1 – June 30, 2012. The National Rice Policy Committee has finalized the off-season crop Paddy Pledging Program and will keep intervention prices unchanged at 15,000 baht/MT ($492/MT) which is around 45 percent above the current market prices. Meanwhile, the amount of rice that can be pledged will be limited to a value of 500,000 baht/farm household ($17,000), or 33.3 MT/household, as compared to the unlimited amount of paddy that can be pledged in the current main-crop Paddy Pledging Program.

Rice Export Update

Unofficial rice exports (excluding fragrant rice) for February 6-12, 2012 totaled 108,645 tons, up 34,743 tons from the previous week, and up 32,719 tons from the four-week moving average of 75,926 tons. Exports of white rice and parboiled rice during January1 – February 12, 2012 totaled 470,192 tons, down 58.8 percent from 1,140,618 tons in the previous year.

According to the Department of Foreign trade, Ministry of Commerce, total rice exports (including fragrant rice) during January 1 – February 7, 2012 amounted to 511,359 tons, down 55.2 percent from 1,141,599 tons in the previous year.

February 2012

DOWNLOAD REPORT:- Download this report here

Share This


Related Reports

Reports By Country

Reports By Category

Our Sponsors