Thailand is expected to export 82 lakh tonnes of rice on the back of strong demand

31-Jul-2024 12:17 PM

Bangkok. Earlier, Thailand, a country located in South-East Asia, was estimated to export 75 lakh tonnes of rice during the current year, but in view of the strong demand from major importing countries, the total exports are now expected to reach 82 lakh tonnes.

Senior officials of the Ministry of Commerce and the Department of Foreign Trade say that the devaluation of Thailand's currency-Baht against the dollar has made it easier for foreign buyers to buy Thai rice.

According to official data, during the first half of the current year (January-June 2024), rice exports increased to 50.80 lakh tonnes, earning 117.80 billion Baht or $3.30 billion.

In this way, rice exports during the current year registered a spectacular increase of 25.1 percent in terms of quantity and 55.5 percent in terms of income as compared to the same period last year.

According to the Director General of Foreign Trade, major importing countries are buying rice from Thailand not only for immediate consumption but also to build stocks for food security.

Thailand is the second largest exporter of rice in the world after India, while Vietnam is at number three.

With the export of non-basmati white rice from India being stopped for the last one year and the weakening of the exchange rate of Baht, Thailand is getting a good opportunity to increase its rice exports.

The value of the Thai currency has come down to 36-37 Baht per dollar against the US dollar. On July 25, the Department of Foreign Trade held a meeting with the Rice Exporters Association to discuss the rice export scenario in the second half of the current year.

The demand for Thai rice remains strong in the Philippines and Indonesia. The import duty on rice in the Philippines has been reduced from 35 percent to 15 percent, which will come into effect from next month and will remain effective till the year 2028.