Required Report - public distribution

**Date:** 10/16/2007

**GAIN Report Number:** TH7145

TH7145

**Thailand**

**Grain and Feed**

**Weekly Rice Update**

**2007**

**Approved by:**

![](media/image1.wmf)Gary Meyer, Agricultural Counselor

U.S. Embassy

**Prepared by:**

Maysa Kunasirirat, Agricultural Assistant

**Report Highlights:**

The banned export of India's non-basmati rice and tight supplies of
Vietnam benefits Thai rice export situation. Export prices for premium,
medium and low-grade white rice were increased at average of 1 to 5 USD.
Meanwhile, domestic and export prices of broken rice continually surged
and likely to rise further.

Includes PSD Changes: No

Includes Trade Matrix: No

Annual Report

Bangkok \[TH1\]

\[TH\]

**Indicative Prices (Week Ending Oct. 14):**

  ------------- -------------- ------ ------ ------ ------ ------ ------ -------- -------
  Thailand:                                                                       
  Export (FOB)                                                                    
  Prices for                                                                      
  various                                                                         
  grades of                                                                       
  rice                                                                            
  (USD/M.T.)                                                                      

                Exporter                                                 Period   
                Observations                                             Avg.     

                #1             #2     #3     #4     #5     #6     #7     CUR.     PRV.

  F WR 100 B    590            577    \-     556    575    550    550    566      559

  WR 100 B      333            335    \-     335    346    337    335    337      332

  PB 5%         327            345    \-     333    338    338    330    335      334

  WR 5%         327            330    \-     329    340    328    325    330      325

  WR 10%        324            325    \-     323    337    325    320    326      320

  WR 15%        321            320    \-     317    333    321    315    321      316

  WR 25%        315            312    \-     314    320    315    \-     315      309

  WR 35%        312            \-     \-     311    \-     310    \-     311      308

  A 1 SUP       298            \-     \-     299    \-     295    295    297      291

  A 1 SPEC      295            \-     \-     296    \-     \-     292    294      283

  Source:                                                                         
  Average                                                                         
  actual prices                                                                   
  received from                                                                   
  exporters,                                                                      
  Exchange                                                                        
  rate: 33.97                                                                     
  baht/U.S.\$                                                                     
  ------------- -------------- ------ ------ ------ ------ ------ ------ -------- -------

###### Market Tone

The banned export of India's non-basmati rice and tight supplies of
Vietnam benefits Thai rice export situation. Export prices for premium,
medium and low-grade white rice were increased at average of 1 to 5 USD.
However, according to trade sources, despite strong demand from overseas
buyers, export prices will not significantly boost up since prices are
already high. Meanwhile, domestic and export prices of broken rice
continually surged and likely to rise further due to reportedly strong
new enquiries from Africa and scarce supplies.

On October 17, 2007, the Ministry of Commerce will held a tender for the
delivery of 10,280 tons of 15% white rice to Indonesia and 23,870 tons
of 100% white rice grade B to Iran under the Government-to-Government
sales, the Thai Government will have private exporters handle all the
shipments in November. For Indonesia, the winners are required to adjust
5% and 25% grade white rice from 2006/07 intervention stocks to be of
15% grade white rice for the delivery. For Iran, the winners are
required to adjust 5% grade white rice from 2006/07 intervention stocks
to be 100% white rice grade B. The winners are also required to cover
packaging and local transportation costs, including fumigation and
inspection. These stock releases are not going to depress market prices,
as the quantity is not considered significant.

The following are the reported rice exports (as is basis):

  ---------- ----------- ----------- ----------- ------------ ------------
  WEEK       QUANTITY    4-WK AVG    YEAR TO     YEAR AGO     YEAR TO DATE
  ENDING                             DATE                     AS % OF LAST
                                                              YEAR

             (MT)        (MT)        (TMT)       (TMT)        \%

  AUG 26     96,115      93,248      3,368       3,095        8.8

  SEP 2      90,589      94,870      3,459       3,173        9.0

  SEP 9      141,815     105,077     3,600       3,269        10.1

  SEP 16     149,864     119,596     3,750       3,383        10.9

  SEP 23     151,993     133,565     3,902       3,494        11.7

  SEP 30     191,059     158,682     4,093       3,577        14.4

  OCT 7      180,214     168,282     4,273       3,663        16.6

  OCT 14     179,792     175,765     4,453       3,762        18.3
  ---------- ----------- ----------- ----------- ------------ ------------

Note on data: Export figures since March 22, 2002, do not include
fragrant rice. The authority to report fragrant rice exports was moved
from the Thai Board of Trade to the Ministry of Commerce's Office of
Commodity Standards, which does not release official fragrant rice
export data. FAS/BKK will report only official export numbers from the
Board of Trade for non-fragrant and from the Office of Commodity
Standards for fragrant rice when available, but the reader should bear
in mind the difference between the data.

Unofficial exports (excluding fragrant rice) for Oct 8-14, 2007 totaled
179,792 tons, down 422 tons from the previous week's total, and up 4,027
tons from the four-week moving average of 175,765 tons. Export during
Jan. 1 -- Oct 14, 2007 totaled 4,453,384 tons, as compared with
3,762,740 tons in the previous year.

According to the Department of Foreign Trade, Ministry of Commerce,
total rice exports (including fragrant rice) during Jan. 1 -- Sep. 30,
2007, amounted to 6,143,849 tons, up 13.8 percent from 5,399,437 tons in
the previous year.

**Weekly Rice Sales**

Private registered rice export sales for the period of Sep 24-28, Oct
1-7 and Oct 8-14, 2007 are as follows:

  ------------------- ----------------- ----------------- -----------------
  Movement (MT)       Sep 24-28         Oct 1-7           Oct 8-14

  Weekly sales        208,758           202,052           218,535

  4 week sum          764,298           791,832           817,008

  4 week mov. avg.    191,072           197,958           204,252

  Total weekly sales  4,415,253         4,617,305         4,835,840
  ------------------- ----------------- ----------------- -----------------

End of Report.