Thai rice is likely to see strong sales in the second half of the year as officials visit various countries to make deals amid expected healthy demand.
According to Commerce Minister Apiradi Tantraporn, the commerce permanent secretary will lead a delegation to Mozambique and Kenya in July to pursue more rice sales in Africa.
In the same month, the minister herself is scheduled to fly to Singapore to promote rice sales in the city state.
"Rice sales are expected to become very active in the second half," she said. "More importantly, demand for rice is likely to become more active in the period, as Indonesia and the Philippines are expected to demand and import no fewer than 1 million tonnes in the second half."
According to Mrs Apiradi, Iran and Oman have also shown interest in buying rice from Thailand.
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, the government is estimated to ship 9.5 million tonnes.
In a related development, Duangporn Rodphaya, director–general of the Foreign Trade Department, said yesterday the National Rice Policy Committee chaired by Prime Minister Gen Prayut Chan-o-cha approved late last week selling a combined 1.11 million tonnes from 84 state warehouses to 29 successful bidders who offered the highest prices in its latest rice auction, fetching 11.54 billion baht.
The approved amount accounted for 50% of the 2.23 million tonnes put up for a 16th bid of rice stocks under the military administration.
Earlier in the middle of this month, the department reported the 16th bid actively drew 64 interested bidders, 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. 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.