Thai rice exports fall due to global competition

By Arvin Donley

Thailand’s rice exports declined sharply in marketing year 2024-25 in response to global competition, especially among white rice producers, according to a report from the US Department of Agriculture’s Foreign Agricultural Service (FAS).

The FAS estimates that Thailand, perennially one of the world’s leading rice exporters, exported 7.5 million tonnes in 2024-25, a 24% decrease from the 9.9 million tonnes shipped the previous year.

The drop was due to “fierce price competition led by India’s return to global markets and larger supplies from Vietnam,” the FAS said.

“Export data for the first half of 2024-25 indicates a decline in white rice exports relative to 2023-24, while parboiled and fragrant rice varieties enjoyed stronger demand and price resilience in premium export markets,” the FAS said.

The FAS forecasts a similar export picture for Thailand in 2025-26, with an identical outgo of 7.5 million tonnes predicted. Even with the sharp decline in exports compared to two years ago, the FAS sees Thailand ranking third in rice exports behind India and Vietnam in the current marketing year.Production is seen dropping slightly in 2025-26 to 20.48 million tonnes, which would still be the fourth largest harvest on record. The FAS noted that “ending stocks are projected to remain strong (between 3 and 4 million tonnes) in both 2024-25 and 2025-26, helping to stabilize prices amid heightened global competition.”

This article has been republished from The World Grain.