Thai rice export targeted at 9.5 million tonnes: TREA
Thai rice exports for 2015 are expected to reach 9.5 million tonnes, according to the Thai Rice Exporters Association's estimate.
Its previous forecast was 10 million tonnes. In the first half of this year, 4.5 million tonnes of Thai rice have been sold.
TREA President president Chareon Laothamatas said that the situation would improve in the second half. Thailand is expected to sell 800,000 tonnes per month on average as foreign demand remains brisk especially from Indonesia and the Philippines.
Meanwhile, the drought should reduce the output by 15-20 per cent, or about 2-3 million tonnes in this harvest year.
He said that the situation would facilitate the government's moves to release the stockpiles of 15 million tonnes. This should also lead to an increase in rice prices.
Charoen however warned that poor economic conditions may encourage some buyers to decrease the purchases.
The current price for 5-per cent white rice from Thailand is at US$395 dollars per tonne.
