Thai rice prices slide to 14-month low

Major rice exporter Thailand saw the staple's international value plummet this month, due partly to the government opening its large stockpiles of old rice.
The country's Board of Trade said the export price of Thai long grain, class 1 rice was $389 per ton in early November, the lowest in 14 months.
Thailand harvests multiple rice crops yearly. This year's harvest in the spring-summer dry season was poor due to drought, and the international market price soared. Thai rice was valued at $480 per ton in July. But overplanting and a successful crop in the rainy season are expected to produce around 20 million tons of rice -- roughly two and a half times Japan's forecast for the year.
The Thai cabinet said in early November that the government would buy rice at above-market value to aid farmers. Thailand, which stores the staple to try to regulate supply, decided to open its stockpiles to ensure having space for new rice.
The U.S. has had a bumper rice crop lately, and the market is slack worldwide. Big harvests in South Korea have led to declining rice values and even protests with some farmers dumping excess rice in the streets in a plea for the government to intervene on their behalf.
Falling Thai prices may bring about price declines surrounding Japan's 770,000-ton tax-free rice import minimum-access quota, as well as rice for processing use.

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