Myanmar (Burma): Ministry ditches reserve rice plans

18.01.2017

The Union Minister for Commerce Dr Than Myint has said that the ministry will not buy reserve rice this year, as local rice prices have become stable.

The government usually buys reserve rice from farmers to avoid a drop in local rice production when local rice prices decline. Then, the government resells reserve rice when local rice prices are unstable, stabilising the price. In addition, reserve rice also has the role of distributing rice to the people in case of natural disasters, and private entrepreneurs buy reserve rice after the rice harvest has ended in order to export them.

Thanks to the scheme, local rice prices have become stable, and additionally, it has helped support rice exports and the distribution of rice to ASEAN member countries in the case of emergency.

In 2015-2016 fiscal year, the country had 7.21 million sown acres and produced around 12.20 million metric tonnes. Till October of the 2016-2017 FY, 7.52 million acres was put under paddy.


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