Weekly rice market news 21/2020: Asian rice export is active again

Last week, the Royal Thai Irrigation Department (RID) forecast that the Southeast Asian country will have more rain in 2020 and will harvest 24 million tons of rice in the 2020-2021 crop.

Thailand is currently the second largest rice exporter in the world after India. The Southeast Asian country produces more than 20 million tons of rice each year, of which about 10 million tons is for domestic consumption and the rest for export.

The Thai Rice Exporters Association expects to export 7-8 million tons of rice in 2020, with a total value of US $ 4.2 billion, equivalent to the Ministry of Trade's target. This is the lowest target in 7 years, since 2013 when Thailand exported only 6.6 million tons of rice.

Rice exports of Thailand in the first two months of this year continued to not meet the target, with the volume stopped at 450,000-500,000 tons per month. To achieve the export target of 7-8 million tons this year, Thailand has to export 620,000 tons of rice a month on average.

In India, rice exports in the 2020/21 fiscal year - starting April 1, 20220 - may increase by 15% due to low prices to attract customers while abundant supplies after a period of export discontinued because of COVID-19 epidemic. This is one of the country's first forecasts for rice exports in the new fiscal.

"Demand from international customers for Indian rice is increasing, and we expect the demand to continue for a while," said Nitin Gupta, Olam India's Vice President of Rice Business. ".

India's rice exports in the 2019/20 fiscal year reached 9 million tons, the lowest in 8 years, according to government data.

BV Krishna Rao, president of the Indian Rice Exporters Association, said demand has improved recently, when Indian rice is cheaper than its competitors.

The rupee fell to a record low, causing Indian rice prices to fall relative to the supply of rice from competing countries and this has prompted buyers from African and Asian countries like Malaysia and the Philippines to buy. Malaysia has signed a record import contract for 100,000 tons of rice from India, with a term this month and next month.

Indian rice is quoted at US $ 385-389 / ton this week, while Thai rice, the world's second-largest exporter, is offered at US $ 480-505.

Except for India, other important exporters such as Thailand, Vietnam and Cambodia have had export restriction periods recently, said Mr. Himanshu Agarwal, Managing Director at Satyam Balajee, a major rice exporter. most Indians said. "India has no restrictions on rice exports, and India is capable of meeting large orders."

Source: https://vietnambiz.vn/ban-tin-thi-truong-gao-tuan-21-2020-xuat-khau-gao-chau-a-soi-dong-tro-lai-20200524203129826.htm