Rice exporters target new Asian markets
Commerce Minister Jatuporn Buruspat said the ministry had a meeting with the Thai Rice Exporters Association to discuss the rice export outlook in the latter half of the year.
He said he directed the Department of Foreign Trade (DFT) to engage with Chinese officials to accelerate the export of 280,000 tonnes of remaining rice under a government-to-government agreement.
The ministry is also focusing on increasing sales in key markets such as Japan, Saudi Arabia and Bangladesh, which are significant purchasers of white and parboiled rice, alongside Hong Kong, a growing market for Thai jasmine rice.
Chookiat Ophaswongse, honorary president of the Thai Rice Exporters Association, said this year is a challenging one because of a global rice glut and a decline in demand.
Indonesia, which imported 4 million tonnes last year, is projected to purchase a small amount of rice this year.
Meanwhile, rice prices have plummeted to 10.50 baht per kilogramme, down from 19-20 baht.
"Our competitors have improved rice quality, which has narrowed the gap in quality between Thai rice and their products. If Thai rice continues to be priced higher, buyers may turn to alternatives," said Mr Chookiat.
"We must intensify our marketing strategies and promotional efforts, particularly in high-potential markets such as China and the Middle East, while also diversifying our offerings, with soft-textured rice increasingly preferred in Asia."
Charoen Laothamatas, president of the association, suggested the government maintain a stable and relatively weak currency at 33-34 baht per US dollar to bolster competitiveness. Exchange rate fluctuation can influence the market decisions of exporters and importers, he said.
Mr Charoen urged the government to expedite market access for Thai rice in Saudi Arabia, where hard rice is used for workers in labour camps, as well as advocate for increased export quotas to Japan. He said Iraq is another potential market for Thai rice.
Thailand exported 3.73 million tonnes of rice worth 75.6 billion baht in the first half of the year, up 27.3% by volume and 36.5% in value. Roughly 7.5 million tonnes of rice are expected to be exported this year, according to the DFT.
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