The government has sold an estimated 1.99 million tonnes in its latest rice auction, the biggest since the National Council for Peace and Order took control, fetching 19.4 billion baht.
Duangporn Rodphaya, director–general of the Foreign Trade Department, said the amount made up 89.2% of the 2.23 million tonnes put up for a 16th bid of rice stocks under the military administration.
The department reported yesterday 64 interested bidders submitted offers, with 39 offering the highest bids for a combined 1.99 million tonnes in 152 state warehouses.
Despite the old grains the latest auction fetched a relatively good price, she said. The 5% white rice was proposed at 10-11 baht per kilogramme, while the market price for new grains is now quoted at 13-14 baht per kg.
The 16th bid comprised 16 rice types including Hom Mali rice, white rice, glutinous rice and broken rice kept at 173 warehouses in 35 provinces.
The government's rice stocks reached 18.7 million tonnes through various rice pledging schemes, which bought rice from farmers at prices 40% above market rates from 2011-14, crippling exports and leading to huge stockpiles.
Since the May 2014 coup, a total of 6.4 million tonnes of rice have been sold via 15 auctions, fetching 66.6 billion baht. Government-to-government rice deals have unloaded 3.8 million tonnes worth 50 billion baht.
The government estimates there are less than 10 million tonnes in state stocks.
Mrs Duangporn said the government was likely to call the next rice auction for 1-2 million tonnes next month, noting sentiment remains bullish.
As of June 13, Thailand has shipped 4.6 million tonnes this year, up 13%, fetching 71.7 billion baht, up 9% year-on-year. Some 44% of shipments were bound for Africa, with 40% to Asian countries such as China, Indonesia and the Philippines, with the rest to the US and the Middle East.
This year, Thailand is estimated to ship 9.5 million tonnes. She said department officials led by the commerce permanent secretary would fly to South Africa and Mozambique next month to pursue more rice sales to African countries.