Thailand expects to export 7.5 million tonnes of rice this year, down 14.4% year-on-year, due to lower production and increased competition, the Ministry of Commerce said on Thursday.
Rice production is expected to drop 5.9% in 2024, affected by the El Nino weather phenomenon, the ministry said in a statement.
Exports from Thailand, the world’s second-largest shipper of the grain behind India, “face competition and many challenges”, the ministry said, citing expected higher global supply and lower imports from trade partners.
Rice exports in January jumped, however, up about 44% year-on-year to 1.12 million tonnes, the ministry said, without giving details.
Indonesia may also buy less Thai rice than last year because of a large stockpile, while India could lift its export ban on some types of rice, the ministry said.
The government in December said Indonesia was seeking to buy 2 million tonnes of Thai rice in 2024.
In 2023, the country’s rice exports rose 13.6% to 8.76 million tonnes, beating a target of 8 million tonnes, with the value up 28.4% on the year, ministry said.
Rice exports last year accounted for 1.8% of the country’s total exports in value terms.