11:00 | 21/07/2015 Global Economy
The Thai Ministry of Commerce expressed confidence that Thai rice will meet its annual export target, despite the ongoing drought crisis.
The ministry forecast that the price of Thai rice in the second half of the year is expected to rise, due to low supplies stifled by the dry season. The drought has hit many rice producers in the region, and a number of countries began to import rice for fear of further drought.
Despite high overseas demand, the ministry has insisted that the government needs to take a conservative approach and maintain reserves of at least five million tons to ensure food security.
Many countries in the region are expected to vie for Thai rice imports under government-to-government and private contracts. The Philippines, for example, is expected to open rice bidding soon, in order to ensure adequate supply amid region-wide drought. The ministry is confident that Thailand will be on target this year and export 10 million tons of rice./.