The Department of Foreign Trade (DFT) has expected that a drop in prices and a bigger, better harvest would boost the export of Thai rice to Malaysia.
DFT Director-General KeeratiRushchano said the department along with the Thai Rice Exporters Association and Office of Overseas Trade Promotion in Kuala Lumpur held a virtual meeting with Malaysia’s rice import regulator, Bernas (Padiberas NasionalBerhad).
Thai agencies told Bernas that Thailand’s rice harvest this year is expected to be bountiful with good rainfall as well as an increase in the workforce because more people have returned to their villages due to the outbreak.
This boost in production, coupled with an expected depreciation in the baht, should bring the price of Thai rice close to that of competitors like India and Vietnam.
Meanwhile, Bernas conceded that Malaysia does not produce enough rice for local consumption and normally must import about 900,000 tons every year. This year, Malaysia is expected to import 1.08 million tons of rice due to a poor local harvest, and demand for Thai rice will rise because it has become more affordable. (NNT)