Bidding to Sell Stockpiled Rice in Thailand:In Foreign Trade (DFT)’s rice auction yesterday, Seventeen bidders participated competing to buy 450,000 tons of bidding stockpiled rice. Out of which, 14 bidders have shown interest in purchasing grain from stockpile of 2012, while remaining have interest in lower-quality rice.

Negotiations will be done before the winning price is sent across to Mr. Niwatthamrong Boonsongpaisan, Commerce Minister for approval. The Ministry has commented that the auction price will be based on the global rice price and the grain will be delivered at the earliest.

In a report generated recently, it has been speculated that regarding the government to government deal to sell 800,000 tons of rice to Malaysia would be around 10 USD difference from the global price tag. It also speculated that more than 200,000 tons of the rice on offer would be sold this time.

The Ministry is optimistic that the Thai rice still has an upper hand at sealing the deal as the rival bidder, Vietnam, has raised its price close to the Thai rice and still has the problem of delivering rice to the Philippines under an auction it won earlier.

Thailand, the biggest rice exporter, will probably sell almost 2 million metric tons from state stockpiles over two months to take advantage of demand from buyers and lulls in competitors’ shipments, an official said.