Rice prices depressed
worldwide
Thai government rice sales may be delayed
By Jon Fernquest 
A variety of factors are at work to depress world rice prices at least temporarily.
The recent devaluation of the Vietnamese currency has made that countries more competitive on world export markets.
The Thai government may have to delay planned sales of rice for export.
In related story, Thai TV for the last two days has featured protests by rice farmers over low rice prices allegedly being offered in the government rice buying program.
factors - the
things that have an effect on an event, a situation or a decision
depress prices - make prices lower
free on board prices - prices that include loading and handling costs ("the Seller owns the goods until they are loaded on the truck (or other vessel) at the Seller's location. Therefore, the selling price includes cost of the goods plus the cost of loading onto the truck or other vessel" Source, also see Wikipedia)
devaluation - when the government reduces the value of the country's currency (which makes exports cheaper and more competitive)
competitive - offering lower price and/or higher quality than others to gain customers
allegedly - claimed but now proven
depress prices - make prices lower
free on board prices - prices that include loading and handling costs ("the Seller owns the goods until they are loaded on the truck (or other vessel) at the Seller's location. Therefore, the selling price includes cost of the goods plus the cost of loading onto the truck or other vessel" Source, also see Wikipedia)
devaluation - when the government reduces the value of the country's currency (which makes exports cheaper and more competitive)
competitive - offering lower price and/or higher quality than others to gain customers
allegedly - claimed but now proven
Economics
Rice tenders receive tepid response
Timing bad as Vietnam releases cheap paddy23/02/2010
Phusadee Arunmas
The government's bid to sell 500,000 tonnes of rice from its stockpiles got off to a slow start yesterday, with only 15 exporters participating in the tender, compared with 30 to 40 previously.
Chookiat Ophaswongse, honorary president of the Thai Rice Exporters Association, said the government's plan to release its rice stocks during this period was badly timed. World rice trading is relatively sluggish after Vietnam recently devalued its dong for second time in three months and Vietnam's new paddy output is due to be released in March, he said.
tenders
- a formal offer to supply goods or services at a
certain price
tepid - lacks energy and enthusiasm
paddy - rice after it has been harvested from the field ข้าวเปลือกs
bid - an attempt to do something ความพยายาม
stockpiles - large amounts of something stored for future use กองสินค้าในโกดัง
release - to allow something to be made available for use เปิดเผย, ปล่อยข่าว
release paddy into the market, release rice stocks - sell
stocks - amounts stored for future use
badly timed - done at the wrong time
sluggish - not performing or reacting as well as usual (เศรษฐกิจ) ที่ซบเซา, moving slowly อย่างช้า
devalued - when the government made the value of the currency or money less
dong - name of the currency or money used in Vietnam
released - made available to the public
tepid - lacks energy and enthusiasm
paddy - rice after it has been harvested from the field ข้าวเปลือกs
bid - an attempt to do something ความพยายาม
stockpiles - large amounts of something stored for future use กองสินค้าในโกดัง
release - to allow something to be made available for use เปิดเผย, ปล่อยข่าว
release paddy into the market, release rice stocks - sell
stocks - amounts stored for future use
badly timed - done at the wrong time
sluggish - not performing or reacting as well as usual (เศรษฐกิจ) ที่ซบเซา, moving slowly อย่างช้า
devalued - when the government made the value of the currency or money less
dong - name of the currency or money used in Vietnam
released - made available to the public
Because of the dong's devaluation, Vietnam's white rice is now quoted at about US$390 per tonne, much cheaper than $520 per tonne for Thai rice.
Mr Chookiat added that new purchase orders for parboiled rice from Africa were also inactive, as African countries have maintained sufficient rice stocks.
devaluation
- when the value of a currency falls and the export goods of
the country become cheaper การลดค่าเงิน
parboiled rice - rice that is boiled until partially cooked ข้าวต้มสำเร็จรูป
maintained - kept at the same level (not allowed to increase or decrease)
sufficient - enough พอเพียง
parboiled rice - rice that is boiled until partially cooked ข้าวต้มสำเร็จรูป
maintained - kept at the same level (not allowed to increase or decrease)
sufficient - enough พอเพียง
The United States Department of Agriculture's latest forecast is that Nigeria will cut its rice imports to only 1.5 million tonnes this year because of higher output, a fall from 2 million to 2.5 million tonnes in previous years, he said.
The world's sluggish rice trading and lower prices are primarily due to the market mechanism, not because of the government's rice selling plan," said Mr Chookiat.
sluggish
- slow
forecast - a statement about what will happen in the future based on information available now พยากรณ์
primarily due to... - mostly because...
market mechanism - supply and demand in markets that sets a price for goods that "clears the market" (sells all the goods)
forecast - a statement about what will happen in the future based on information available now พยากรณ์
primarily due to... - mostly because...
market mechanism - supply and demand in markets that sets a price for goods that "clears the market" (sells all the goods)
The situation has changed. The government should instead delay its tender to wait and see whether the weather phenomenon that is expected to cause a dry spell, particularly in rice-producing countries, will lift prices later on.
The government yesterday opened bids to sell 350,000 tonnes of 5% broken white rice and 150,000 tonnes of Pathum Thani fragrant rice as part of its accelerated plan to sell its massive stockpile of up to 5.6 million tonnes of milled rice bought from farmers to support prices in the previous season.
delay
- to make something happen at a later time than originally planned or
expected เลื่อน
phenomenon - something that exists and can be seen, felt, tasted, etc., especially something which is unusual or interesting ปรากฏการณ์
expected - believe will happen คาดว่า (จะเกิดขึ้น)
spell - a period of time when there is a particular type of weather ช่วงเวลาที่มีอากาศลักษณะใดลักษณะหนึ่่ง
dry spell - a period of dry weather
lift prices - increase prices
massive - very large มหาศาล
stockpile - a large collection of things that may be needed คลังสินค้า, จำนวนสินค้าที่เก็บตุนไว้เป็นจำนวนมาก
support prices - help keep prices high
phenomenon - something that exists and can be seen, felt, tasted, etc., especially something which is unusual or interesting ปรากฏการณ์
expected - believe will happen คาดว่า (จะเกิดขึ้น)
spell - a period of time when there is a particular type of weather ช่วงเวลาที่มีอากาศลักษณะใดลักษณะหนึ่่ง
dry spell - a period of dry weather
lift prices - increase prices
massive - very large มหาศาล
stockpile - a large collection of things that may be needed คลังสินค้า, จำนวนสินค้าที่เก็บตุนไว้เป็นจำนวนมาก
support prices - help keep prices high
Tenders will be held tomorrow and the outcome is likely to be declared on the same day.
Chanchai Rakthananon, president of the Thai Rice Millers Association, also urged authorities to put off the rice sales plan, as a new harvest from the second crop estimated at about 4 million tonnes of paddy is coming out from early March to May.
outcome
- a result ผล
declare outcome - tell the result to the public
urged - advised someone very strongly about what action should be taken วิงวอน
authorities - the government, the people who control and govern some activity ผู้มีอำนาจ เจ้าหน้าที่
put off - not do it now, delay until a future date
harvest - gather in ripe crops เก็บเกี่ยว
declare outcome - tell the result to the public
urged - advised someone very strongly about what action should be taken วิงวอน
authorities - the government, the people who control and govern some activity ผู้มีอำนาจ เจ้าหน้าที่
put off - not do it now, delay until a future date
harvest - gather in ripe crops เก็บเกี่ยว
A source from the rice trading market said limited participation by exporters was probably because they can buy milled rice in the market for less than the average of 16,500 baht per tonne offered in a previous bid. Milled rice was quoted yesterday at 15,000 baht per tonne, up from 14,500 baht per tonne a week ago.
Commerce Minister Porntiva Nakasai said the ministry was prepared to scrap the bid again if the prices proposed are not appropriate.
The ministry late last month abandoned its planned sale of 375,000 tonnes of rice from its stocks as it considered the prices offered by exporters too low.
source
- someone who gives information แหล่งข่าว
participation - being involved in an activity (rather than merely watching it happen)
limited participation - not many companies or people involved in the activity
milled rice - rice that has been prepared in a factory (mill) so that it is ready to sell in stores
ministry - a government department dealing with an area of activity กระทรวง
scrap - to get rid of; to stop using or accepting เลิก, ทิ้ง
proposed - suggested (but not yet chosen or decided upon)
abandoned - left someone and no longer used ที่ถูกละทิ้ง
participation - being involved in an activity (rather than merely watching it happen)
limited participation - not many companies or people involved in the activity
milled rice - rice that has been prepared in a factory (mill) so that it is ready to sell in stores
ministry - a government department dealing with an area of activity กระทรวง
scrap - to get rid of; to stop using or accepting เลิก, ทิ้ง
proposed - suggested (but not yet chosen or decided upon)
abandoned - left someone and no longer used ที่ถูกละทิ้ง
(Source: Rice tenders receive tepid response, Timing bad as Vietnam releases cheap paddy, 23/02/2010, Phusadee Arunmas, link)
