Asian rice markets was calm this week because to a lack of demand, with prices in Thailand unchanging but the Vietnamese market beating multi-month slumps after the authorized floor price was cut.
Purchasers may not yield to Vietnam until beginning of next year before the country initiates reaping its main crop in March, whereas traders in Thailand said purchasers there were expecting for new sales from the government’s vast pillories of an projected 18 million tonnes.
Thailand and Vietnam combined report for 40% of the world’s rice trade. Thai 5 % broken rice was estimated at $410 a tonne on Wednesday, free on board (FOB), leaving it down 2.4 percent.
Thai trader said, “The government should really focus on selling rice from its stockpiles,” while he noticed that Africa was the only market for the ancient rice, while countries in the Middle East and Asia always asked for fresh grain. Vietnam’s 5% broken rice dropped nearly 5 % in the past week to $390-$395 a tonne, the lowermost since April 7, after the floor price for the 25%broken grain was changed to $380 a tonne.
Traders in Ho Chi Minh City said, First time in more than three months that Vietnamese prices have fallen below those of Thai grain. Buyers were spinning towards Pakistan, although China was decelerating its purchase from Vietnam, which has enhanced to the sliding pressure on Vietnamese prices.
The General Statistics Office said, Vietnam exported a projected 6.09 million tonnes of rice in the first 11 months of the year, dejected 1.8 % from a year earlier. Its evaluation is marginally beyond the agriculture ministry at 6.03 million.
Thai Prime Minister Prayuth Chan-ocha will trip Vietnam to converse backing methods for rice and rubber with chief Vietnamese government officials. Thailand might export 10 million tonnes of rice this year, far ahead of Vietnam’s estimated shipments of 6.3 million to 6.5 million.