Thailand Targets Reduced Rice Exports Amid Global Market Shifts
The Thai Commerce Ministry sets a lower rice export target for 2025 due to increased global competition, despite a record-breaking export year.
The Commerce Ministry in Thailand has announced a rice export target of 7.5 million metric tonnes for 2025, a decrease from an estimated 10 million metric tonnes this year.
Arada Fuangtong, director-general of the Department of Foreign Trade, reported a 14% year-on-year increase in rice exports in the first 11 months of 2024, reaching 9.27 million metric tonnes.
By year-end, exports are expected to total 10 million metric tonnes, valued at over US$6 billion.
This surge in exports is driven by a steady demand from importers preparing for Christmas, New Year, and the Chinese New Year.
Thailand's robust rice production and export capabilities underpin its success in meeting global demand.
However, the reduced target for 2025 reflects anticipated challenges from India's resumed rice exports and increased global production due to improved weather conditions, intensifying competition.
The Department of Foreign Trade plans to bolster exports by enhancing trade relations and organizing promotional activities in critical markets such as South Africa and the US, focusing on Thai Hom Mali rice.
Target markets also include Canada and the Philippines, with ongoing government-to-government trade discussions with Indonesia and China.
In the initial ten months of 2024, Thailand exported 8.35 million metric tonnes of rice, experiencing a 20% rise year-on-year, with white rice leading the exports.