Thailand approves rice price guarantee scheme for 2020-2021

Illustrative image (Photo: Bangkok Post)

Bangkok (VNA) – The National Rice Policy Committee, chaired by Prime Minister Prayut Chan-o-cha, has approved a rice price guarantee scheme for the 2020-2021 crop, offering guaranteed prices at the same rates as during the previous season.

Deputy government spokeswoman Rachada Dhanadirek said the annual 2020-2021 scheme, which will be carried out between September 1, 2020 and May 31, 2021, is expected to use a budget of 85 billion baht (about 2.6 billion USD).

If 30.3 billion baht worth of loans to be issued by the state-owned Bank for Agriculture and Agricultural Cooperatives is included, the scheme will total 115 billion baht, she said.

Charoen Laothammatas, President of the Thai Rice Exporters Association, said rice export prospects looked murky in the second half amid sluggish global demand caused by the COVID-19 crisis.

The association has set a full-year rice export target of 7.5 million tonnes but is scheduled to adjust the target on July 22.

Thailand shipped 7.58 million tonnes of rice worth 131 billion baht in 2019, down 32 percent in volume and 25 percent in value from 2018./.