Thai Rice Stockpile Offers Some Relief

Aug 07, 2012 03:57 AM EDT | By Sharon Robinson

  • print
rice
Vietnam rice exports are going according to plan. The country may be able to export more than it initially expected. (Photo : flickr.com/Charles Haynes)

At a time when the world is reeling under rising food prices and a dwindling lack of supply to food demands, rice may be the grain to which everybody will turn to.

Major rice producing countries are set to reap a record harvest in rice. Thailand especially is hoarding a vast amount of rice, in an effort to combat the approaching food crisis.

As of July, Thailand bought 11 million tonnes of rice. According to predictions by the US Department of Agriculture (USDA), paddy fields will yield 1.1 million tonnes more milled grains. Benchmark 5 percent Thai white rice will drop 14 percent to $480 a ton by December 31, according to the median of 10 estimates from traders and analysts surveyed by Bloomberg.

Like Us on Facebook

The exports of rice, which is the staple food for half the world, may go up by 2.6 percent, the USDA further added. Thailand's rice hoard may be cut to make space for the next harvest. In other words, the rice shipments, along with Thailand's rice hoard, may offer some respite against low grain reserves.

"Rice is the only bright spot which is keeping us away from a global food crisis," Abdolreza Abbassian, a senior economist at the UN's Food & Agriculture Organization inRome, told the Bloomberg. "The corn situation is very worrisome, while with wheat, the overall supply situation is still adequate."

Rough rice futures is currently going for $15.92 per pound at the Chicago Board of Trade, after a rise of 7 percent.

Thailand has been able to expand its rice reserve, thanks to a rice pledging programme re-introduced by Prime Minister Yingluck Shinawatra. Although this programme is being blamed for the decline in Thai rice exports, and for Indian rice exports eclipsing Thailand, it has been able to boost the income of rural rice farmers.

Unfortunately this has made the price of Thai rice rather unattractive in the export market.

The country will continue buying rice and will only be selling some of its stockpile at the end of the year. But, to be able to sell it, the price would have to drop.

© 2014 Food World News. All rights reserved. Do not reproduce without permission.
Featured Video : Cocktails At The Garret With Nicky Hilton
Get the Most Popular Food Stories in a Weekly Newsletter
TrendingOn The Web
Food Biz
1

Walmart Fined $100 Million Over Illegal Dumping of Hazardous Waste

The country's largest retailer pleaded guilty to six counts of violating the Clean water Act. The retailer was found guilty and fined over 110 million dollars for the illegal disposing of fertilizer , bleach and pesticide compounds into the sewer system, among other environmental violations.

People drinking

Shocking Alcohol Calorie Facts you did not Know

A lot of information on the sugar and calories contained in alcohol is hidden behind fancy advertising, eye catching labels and deceptive tag lines such as 'lite' or 'diet.' Alcohol offers plenty of fun and plenty more calories. Here area few facts I bet you did not know.

watermelons

SIX BENEFITS OF WATERMELONS YOU DID NOT KNOW ABOUT

Watermelons are a national summer treasure. These luscious fruits are as eye catching with their rich red color as they are as tasty. Watermelon enthusiasts around the globe have discovered multiple benefits this fruity piece of heaven has to offer. Aside from being tasty, watermelons offer plenty of other health benefits you are probably not aware of. Here are six reasons you should indulge in a watermelon fetish.

Food Tech
Organic Fruits And Vegetables

Cry Fest in Maine After Thief Steals Onions Grown by Fifth Graders For Homeless Shelter

Albert S. Hall School in Waterville, Maine had its fifth grade project attacked when the children’s growing onions were robbed right at the time of harvesting.

Woman in work out gear

Types of Milk And Their Fat Content

In today's world, milk comes in many different shapes and packages. From fat free milk to whole milk to 1%-2% fat milk to skimmed milk, we have it all. So how do fitness enthusiasts get the best deal out of their milk? How do you ensure you get all the nutrition from a glass of milk without all the unnecessary fat to bulge out your waistline despite endless painstaking crunches? Here is a list of the major milk types being produced in today's market.

The Paleo Diet Explained

Low-Carb Diets Like Atkinson vs Low-Fat Diets: Study Shows They’re Both The Same

Low-carb diets and low-fat diets have the same effects on patients who go through them, recent study released in The Journal for the American Medical Association suggests.

Real Time Analytics