Thailand’s Rice Exports Set to Drop Painfully in 2021

A projected drop of 14.4% in Thailand’s rice exports is anticipated for this year, due to a combination of reduced production and increased global competition, as reported by the Foreign Trade Department. The department’s director-general, Ronnarong Phoolpipat, revealed that the estimate of 7.5 million tonnes of rice exports this year was jointly made with the Thai Rice Exporters Association.

This forecast takes into account several influences such as the expected 5.87% decrease in rice production year-on-year, attributable to the El Niño weather conditions. Additionally, the global rice market is set to become more competitive due to heightened production rates.

Ronnarong Phoolpipat also indicated a potential decline in import demand from trade partners, as rice consumption trends are decreasing in China, Japan and Malaysia. This might lead to…