More G-to-G rice sales on tap

More G-to-G rice sales on tap

The state will hold roadshows in a bid to boost Thai rice exports and reach the shipping target of 9.5 million tonnes this year, says the Foreign Trade Department's director-general, Duangporn Rodphaya.

"Senior government officials from Iraq and the Philippines are due to visit Thailand in late April, and we expect to have talks on rice sales with them as well," Mrs Duangporn said.

Thailand has exported 2.38 million tonnes of rice so far this year, or 25% of the full-year target of 9.5 million tonnes, she said.

The prolonged drought is expected to boost demand at a time that supplies in major rice-producing countries have diminished.

With rising demand, global rice prices are expected to stay close to US$400 a tonne, up from $350-$370 last year.

The government also plans to sell an additional 1 million tonnes of rice to the Chinese government on a government-to-government (G-to-G) basis.

Senior Commerce Ministry officials will visit Beijing to negotiate rice sales after China bought 1 million tonnes over the past few years.

"The remaining 130,000 tonnes of the previous 1 million is expected to be delivered by May," Mrs Duangporn said, adding that all further rice sales to the Chinese government would be newly harvested rice, not ageing stocks.

The government also envisions future G-to-G rice sales to Iran.

After 5.05 million tonnes of rice was sold at auction, the government stockpile stands at 12 million tonnes.

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