Govt rice auction cut back as bids come in low
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The Commerce Ministry yesterday agreed to sell only 229,661 tonnes of rice from a total volume of 753,000 tonnes it had put up for auction, as bidders proposed prices lower than expected.
The ministry will consider releasing more rice for auction within the next two weeks, with an estimated volume of less than 1 million tonnes.
Manus Soiploy, director-general of the Foreign Trade Department, said the government would generate Bt3.97 billion from selling this lot of rice.
Winners
Three companies won the bid for jasmine rice, with a total volume of 17,040 tonnes sold valued at Bt508 million. The sale price was quoted at Bt29,800-Bt30,000 a tonne.
Four traders won the bid for 210,660 tonnes of 5-per-cent white rice valued at Bt3.43 billion.
The sale price was quoted at Bt16,300-Bt16,500 a tonne.
CP Intertrade won the bid for 1,960 tonnes of A-One rice with a purchasing price of Bt14,750 a tonne. The purchase value is Bt28.9 million.
Contracts
The ministry opened bidding for 753,000 tonnes of rice on August 28, and 30 bidders took part. Winners include Capital Rice, Asia Golden Rice, Ponglarb, Tomee, and Chaiyaporn Rice.
Siam Indiga did not win a bid as it proposed a price below the ministry’s expectations, Manus said.
Each winner will be called to sign purchase contracts within 10 days.
