The Thai Rice Exporters Association said the country’s rice export for the whole year 2020 could reach 6.5 million tons, the lowest level in 10 years and lower than the forecast of 7.5 million tons.
The reason was that the Covid-19 epidemic reduced demand, the baht gained and the extended drought reduced output.
At the time of the 3rd week of July, 5% broken rice price of Thailand was traded at 520 USD / ton, while the price of Vietnamese and Indian rice in turn was at 440-450 USD / ton and 360 USD / ton.
In the first 5 months, Thailand exported 2.57 million tons of rice, valued at 54.2 billion baht, down 31.9% in volume and 13.2% in value over the same period last year. Thailand currently ranks third in rice export after India and Vietnam.
Meanwhile, data from the Department of Agricultural Product Processing and Market Development (Ministry of Agriculture and Rural Development) shows that Vietnam’s total rice export volume and value in the first 5 months reached nearly 2.9 million tons and 1.41 billion USD, up 5.1% in volume and up 18.9% in value over the same period in 2019.
Thailand’s leading rice import markets include the United States, South Africa, Angola, China and Japan. In the second half of 2020, Thailand is expected to export about 3.5 million tons.
According to experts, Thailand is likely to fall from third to fifth in the list of global rice exporters in the next decade if it does not develop long-term policies to increase competit.