The Thai Rice Exporters Association (TREA)’s President is positive on the new rice auction scheme, claiming it will effectively help releasing the in-stock rice while lessening the government’s burden.

According to the TREA President Pol.Lt Chareon Laothamatas, the new rice auction system that allows private companies to bid for rice in whole stock will help release the in-stock rice to the market effectively.

He said that the new system will also allow private companies to check the rice quality before proposing the price to the Ministry of Commerce, which would reduce the rice quality issue, provide a for more coordinated management system, and help the government to reduce the cost of rice storage, currently at 2 billion baht a month.

He also said that Thai rice will still sell in the global market despite having higher price than rice from other countries.

The price for Thai rice in the global market is at USD 410-415 per ton, while Vietnamese rice is priced at USD 405 per ton, and Pakistani rice is priced at USD 335 per ton.

The TREA President said that the export amount of Thai rice this year will be at 10.5-10.6 million tonnes, which is the highest export rate, while the next year's exports are expected to be at 10 million tonnes.

Source: National News Bureau & Public Relations