BANGKOK 1 January 2014 — The price of rice in 2014 has been predicted not to increase due to an overstock of rice that has put pressure on the market to maintain its current selling price.
Thai Rice Packers Association (TRPA) chairman Somkiat Makyathorn revealed that the price of rice in 2014 should be relatively similar to last year’s price; a 5-kg bag should fetch an average of 100-110 baht per bag.
The government’s overstock of rice has led to an oversupply, which in turn has kept prices unchanged. Moreover, consumers will have a greater choice in their purchases as there would be an array of qualities to choose from.
As for jasmine rice in particular, Mr. Somkiat said that prices should remain relatively the same compared to the previous year of 180 – 220 baht per bag. In addition, packed rice should face fierce competition in the market, with competing discounts between brands to attract more customers.
The price of rice also depends on the government’s rice pledging scheme, which the private sector continues to keep a close watch on whether or not the state will come up with other means to aid Thai farmers or continue with a second round of rice pledging this year.
