:. Food Industry News


Thailand Sets Rice Support Price at 12,000 Baht/tonne

Source: Reuters
20/10/2008

Bangkok, Oct 20 - Thailand will pay its farmers 12,000 baht ($350) per tonne for paddy rice from the main 2008/09 crop in a bid to shore up prices during the harvesting season, a cabinet minister said on Monday.

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Deputy Finance Minister Pradit Pattaraprasit did not give a reason why the intervention price was 2,000 baht lower than the government had said it would be last month.

Exporters had complained that the original price would make Thai rice uncompetitive on world markets.

The government also lowered the price of premium-grade fragant rice paddy by 1,000 baht to 15,000 baht per tonne.

Pradit said the intervention period would run from Nov. 1 to April 30.

Thailand usually sets up a buying scheme each year in a bid to support domestic prices when the main crop floods the market.

It is expecting 23.8 million tonnes of paddy from its main crop, little changed from 23.3 million tonnes in 2007/08, according to the Agriculture Ministry.



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