Thailand’s rice exports are expected to decline by 14.4% this year due to lower production and increased competition, according to the Foreign Trade Department. The department, along with the Thai Rice Exporters Association, estimates that rice exports will reach 7.5 million tonnes in 2024.
Several factors contribute to this projection, including a predicted 5.87% decrease in rice production caused by the El Niño weather phenomenon. Additionally, increased global rice production poses challenges and competition in the market. Import demand is expected to decline from countries like China, Japan, and Malaysia, leading to potential fierce price competition.
Indonesia is also likely to buy less rice this year due to substantial stocks carried over from 2023. China, on the other hand, is increasing its rice production and shifting from being a major rice importer to a self-sufficient producer, which could impact Thailand’s future rice exports.
There are indications that India may lift its suspension on white rice exports, allowing private entities to resume regular rice exports. In 2023, Thailand’s rice exports exceeded the target, reaching 8.76 million tonnes with an export value of 178 billion baht.
To boost rice exports, the Foreign Trade Department plans to collaborate closely with relevant government and private sector entities, including the Thai Rice Exporters Association. Key activities for this year include the Thailand Rice Convention 2024 in May, where global rice trade experts will gather to exchange information and engage in business negotiations. Mobile roadshows are also planned to provide information on market trends to rice farmers, encouraging them to produce rice that aligns with market demands.
The department aims to strengthen relationships and expand the rice market in key countries such as South Africa, Hong Kong, Japan, Singapore, Malaysia, and the Philippines. It plans to negotiate government-to-government deals with Indonesia, China, and other countries, participate in trade shows, and organize the Thai Rice Roadshow to promote Thai rice in the Chinese market.
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