More parboiled rice to South Africa

       Thai exporters of parboiled rice to South Africa have benefited from a ban on such exports by India.
       A trade mission led by Commerce Minister Porntiva Nakasai is visiting South Africa, which has placed an order of 650,000 tonnes of parboiled rice. The deal's export price is quoted at US$620 (Bt21,100) per tonne, making a total value of Bt13.75 billion.
       With the order, Thailand becomes the world's biggest parboiled rice exporter, with parboiled rice accounting for 55 per cent of the country's total rice exports.
       Porntiva said the ministry would soon propose to the Rice Policy Committee that it release the government's paddy-rice stockpile. The move would support producers of parboiled rice for export.
       "The government must facilitate rice exports, but exporters cannot find paddy rice to produce parboiled rice. The lack of paddy rice supply could halt the Kingdom's exports," he said.
       In addition, the Public Warehouse Organisation also signed a memorandum of understanding with Kwazulu-Natal province, the logistics-promotion zone in South Africa. The contract calls for investigating the possibility of setting up a Thai distribution centre in the country. The South African government has thrown its full support behind the idea, including tax exemptions and a reduction in import inspection and procedures on Thai goods.
       "If successful, it will be Thailand's first distribution centre in the region," Porntiva said.
       Accompanying the trade mission, Thai Rice Exporters Association president Chookiat Ophaswongse said India was likely to extend its rice-export ban until next year's first quarter.
       "India's export ban will benefit Thai parboiled-rice exports," said Chookiat.
       The proportion of the Kingdom's parboiled-rice exports has increased from 40-42 per cent of total rice exports to 55 per cent since India implemented the export ban.
       Total parboiled rice exports amounted to 5 million tonnes last year. Its proportion of total rice exports will increase to 60 per cent in the near future.
       Chookiat added that the prospects for jasmine rice in south Africa was not bright, because of its high price. South Africa imports only about 7,000 tonnes of Thai jasmine rice per year.