Thailand to sell 760,000 tonnes rice to Nigeria, others from stockpiles

Thailand’s government has struck preliminary deals to export a total of 760,000 tonnes from its huge stockpiles to several countries in Africa, including Nigeria, the Thai Rice Exporters Association said on Wednesday.

Rice will also be supplied to Mozambique and South Africa, Chukiat Opaswong, honorary president of the association, said by phone from Johannesburg.

Thailand, the world’s second-largest rice exporter, has about 14.5 million tonnes of rice in stockpiles built up under a generous rice subsidy scheme run by a government that was overthrown by the military in May 2014.

The current military government aims to sell off the rice over two years, although industry observers say selling so much in such a short period will be difficult.

Most of the rice going to Africa is parboiled and shipments will start in September, Chukiat said.

The rice would be sold at around $430 a tonne, he said, netting the government more than $325 million.