Report on Global Rice Market Paints Grim Picture for Thailand

 | Wed 29 Jan 2014 11:30 ICT

CityNews – A new report that came out this month by The Live Rice Index, a UK based global provider of information on the rice industry, states that Thailand’s rice problems are far from over.

The index reveals that because of the investigation by The National Anti-Corruption Committee (NACC) government rice stocks are unavailable to exporters. While exporters may have “committed” small stockpiles of rice left, they are now also left with having to buy old crop paddy from farmers at high rates.

Government stockpiles are unlikely to become available within the next few weeks, says the report, which means “the Thai white rice market has all but frozen.”

The report concludes:

“The political unrest in Thailand continues to weigh heavily on the Thai rice market. On Tuesday, a 60-day State of Emergency was declared in Bangkok and the surrounding areas, following a spate of violence over the weekend. Elections are set for 2 February and look likely to go ahead, despite promises of a boycott from the opposition Democrat Party. The NACC has brought formal corruption charges against 15 people involved in supposed government-to government rice deals, including the former Commerce Minister. Charges are due to be brought against Prime Minster Yingluck Shinawatra after the elections.”