Thai government’s  plan to sell 1 million tons of rice through auction on Jan 29, 2015  got a great attention of rice traders yesterday as this time the Commerce Ministry has relaxed the regulation for the bidders to purchase around 1 million tons of rice. About 100 traders were there to show their interest in purchasing almost around 1 million tons of rice.

Duangporn Rodphaya, director-general of the Foreign Trade Department, said that the commerce ministry was very confident to release around 999,763 tonnes of rice to which many traders showed the result reflecting the high demand in the market.

Ministry would soon decide the amount of rice to be released and the bidder accepted. Then after the Rice Policy and Management Committee will decide whether to sell this lot of rice at the offered prices, she said.

If this auction sells out then the Thai government would be able to earn generate Bt11.68 billion or more on condition that no more bargaining would be there.

Of the total 100 bidders, 95 passed the eligibility criteria to participate in the bid, 4 were disqualified after document check and one bidder was barred because hi firm Siam Indica has been accused of involvement with an allegedly shady government-to-government rice deal under investigation by the National Anti-Corruption Commission.

She also said that as the demand is high, so the ministry would continue to release rice from stockpiles and supply less in the world market.

Next rice auction is planned to be held in the middle of next month and dates will be announced soon.

With the target to release around 10 million tonnes this year, Duangporn said the government would also sell rice under G2G contracts to many countries such as Iran and China, and to private enterprises.

Throughout the year, the ministry plans to auction off good-quality rice gradually, and in August, bids will be accepted for about 3 million to 4 million tonnes of rice that degraded while sitting in the government’s warehouses