The rice harvest in the northeastern region of Thailand was delayed for the MY 2020/21 because of rainfall during the ripening stage.
Thai rice exports in 2020 were revised to below 5.4 million metric tons, which is a 29% decrease from 2019 due to the obvious reasons of insufficient container vessels for shipment and port congestion due to the pandemic.
The MY2020/21 corn production forecast remains unchanged at 5.6 million metric tons. In contrast, the average farmgate prices of Corn between January & November 2020 declined by 2% from the previous year but still above the 5-year average price.
The total Wheat imports were 1.1 million metric tons in the first four months of MY2020/21 that was an 8% downside from last year due to reduced imports of milling, and the economy is still recovering from the lockdown situation.
As far as rice production is concerned, it is expected to increase by 5% from last year due to good weather conditions during the reproductive growth stage.
In October 2020, Thai rice exports increased 14% from the previous month to 445,144 MT, a 50% increase.
The exports received a boost in November 2020 when the white rice export prices became more competitive.
The Thai rice prices were lower by USD 40-45/MT than Vietnamese rice in November 2020.
While in November itself, the country's cabinet approved a budget of 51.6 billion baht (USD 1.7 Billion) for the price guarantee program & other supporting programs for MY2020/2021 main-crop rice production.
The corn production forecast remains unchanged for MY2020/21 at 5.6 million metric tons, a 24% increase from the previous market year. Average farmgate prices of corn between January & November 2020 were steady around 7,650 baht per metric ton.
The wheat imports totaled 1.1 million metric tons in the first four months of MY2020/21, down by 7% from the previous year due to reduced imports. Milling wheat imports totaled 0.4 million metric tons, down 8% from last year.
The Thai economy is expected to face a negative growth rate of 6% for 2020, while the government also expects a slow economic recovery in 2021 at 3-4%.