Thailand's third-largest rice exporter shifts business to Cambodia

Rice exporter turns to Cambodia

Published: 25 Jan 2013 at 15.53
Online news:

Capital Rice Ltd, Thailand's third-largest rice exporter, is shifting some of its business to Cambodia as the Thai market shrinks because of government intervention that has diverted grain into state stockpiles or made it too expensive to ship.

"We have built a medium-sized milling house in Cambodia, expecting to start processing rice and export by the first quarter of this year," Wanlop Pichpongsa, the deputy managing director, told Reuters.

For the moment, Capital's plans for Cambodia are modest: this year it expects to export around 30,000 tonnes of rice, whereas in normal years it used to handle around 20% of exports from Thailand or some 2 million tonnes.

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banmebkk
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Discussion 13 : 26 Jan 2013 at 16.3113
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Thaksins dream of trying to form a "Rice Cartel". I'm happy that it did not work and Thailand is no longer a leading export, it goes to show what a failure this government is. Not only that billions are wasted over the scheme, country taking on debt and millions of tons of rice in warehouses going bad.
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Mr.T

Discussion 12 : 25 Jan 2013 at 22.5212
Not surprise me one bit this is what happening when YS government trying to force the world into to paying more for the Thai rice to fund the populist policies. Thailand is not the only country that can plant rice
from iPhone application.
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boons
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Discussion 11 : 25 Jan 2013 at 22.2511
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D1, Rice doesn't grow for free. What doesn't get paid for doesn't get produced. If you think the government can afford to pay for it forever, you are gravely mistaken. Thailand is destroying key industries and chasing a fairy-tale vision of becoming a major manufacturing power as labor costs rise, the baht soars and the world is on the cusp of a massive global slowdown.

The chances of success are zero. But Thailand continues to trade it's bird in the hand for the two in the bush.

The consequences of these decisions will be dire. One must not forget that Thailand has a history of lunging at the wrong time. This time is no differ
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patchar
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Discussion 10 : 25 Jan 2013 at 22.2010
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you should wake up now, you are not the only nation who can produce rice but a lot of countries. Don't be complacent, your supposedly delicious rice just ended up to no where. Cambodia is just near to grab all opportunities which Thailand misses.
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kasper
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Discussion 9 : 25 Jan 2013 at 21.459
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@ploydonut d1. If Thais can eat that much rice, then why is it still sitting in warehouses? Hopefully your math teacher has taught you to use a calculator? If so, then you will find that the 12 million tonnes of rice currently stored in warehouses amount to roughly 200 kg for each person in Thailand. Do you think all Thais, including infants and old people, can eat an additional 200 kg per year on top of what they already eat?

Anyway, I think it is truly amazing that a government can get away with not only killing one of the country's main industries, but at the same time manage to get the people's support to do so!!
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englishbob
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Discussion 8 : 25 Jan 2013 at 19.148
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This is terrible news!! If only someone had spoken out 2 years ago!

If only some experts had pointed out the utter ridiculous nature of this policy. And if only people had listened... (Red fans seem allergic to any stories about the rice scheme.)
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sibley
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Discussion 7 : 25 Jan 2013 at 18.177
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This comes as no surprise, what did the Thais expect !!!!!
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The Dark Side
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Discussion 6 : 25 Jan 2013 at 18.126
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D#1 Just how much rice does 'Little' Thailand need? You should do some math work. What is in warehouses today will be rotten before all eaten by Thais.
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rockderk
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Discussion 5 : 25 Jan 2013 at 18.085
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I think Ploydonut may be on to something. The Thai people should eat 12 million tons of rice this month, so the government has somewhere to store the new harvest of 12 million tons they can't sell.
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bluebottle
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Discussion 4 : 25 Jan 2013 at 18.074
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Some people have made a lot of money out of this without selling it on.
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Thailand's third-largest rice exporter shifts business to Cambodia | Bangkok Post: breakingnews

Rice exporter turns to Cambodia

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