Bank forecasts rise in food prices next month
The Bank for Agriculture and Agricultural Cooperatives (BAAC) research centre forecasts that the price of rice and other agricultural products will increase in May, while the rubber price will fall.
The BAAC expects to see rising prices for paddy rice, jasmine rice, sticky rice, maize, raw sugar, cassava, palm oil, pork, and white shrimp next month.
Somkiat Kimawaha, BAAC senior executive vice president, said the price of paddy (15 percent moisture) would increase by 1.1 to 1.52 per cent, to Bt9,525-Bt10,412 per tonne on April’s figure after rice-growing countries like India and Vietnam placed restrictions on their exports.
The price of Jasmine rice would increase by 0.88 to 1.46 percent, to Bt14,496-Bt14,579, due to demand from Hong Kong after Vietnam halted exports.
The sticky rice price would increase by 1.85 to 2.73 per cent, to Bt15,774-Bt15,912 per tonne, due to drought in Thailand and Vietnam’s export situation.
Maize with up to 14.5 percent moisture would rise 0.3 to 1 percent in price, or Bt7.54-Bt7.60 per kilo, since market demand was currently outstripping supply.
The raw sugar price would increase by 5 to 10 percent, to $10.24-$10.73 per pound (up Bt7.35-Bt7.70 per kilo), due to drought risks and concern over global sugarcane production.
The cassava price would increase by 0.57 to 3.745 percent, a rise of Bt1.75 to Bt1.8 per kilo, since Thailand’s trade partners had eased transportation rules amid the Covid-19 crisis.
The palm oil price would rise to 0.32 to 2.27 per cent, or by Bt3.09 to Bt3.14 per kilo from the April price, due to the easing of lockdown measures in Thailand, which would lift demand for palm oil and biodiesel.
Pork meat would rise to Bt68.89 to Bt69.09 per kilo, or 2.79 to 3.09 per cent, since production has dropped in summer while demand has increased.
White shrimp would increase in price by Bt127 to Bt129 per kilogram, or 1.6 to 3.2 per cent, due to the drought and the Covid-19 situation in Thailand.