CORRECTED-Thailand agrees to renew rice deal with Indonesia

BANGKOK, March 9 (Reuters) – Thailand’s cabinet on Tuesday approved a draft agreement to resume government-to-government sales of rice to Indonesia after a previous deal expired in 2016, an official said

The memorandum of understanding (MOU) would see Thailand export up to one million tonnes a year of 15% to 25% white rice to Indonesia for four years, government spokeswoman Ratchada Dhanadirek said after a weekly cabinet meeting.

Ratchada did not specify a timeframe for when the MOU would be signed and take effect.

Thailand sold a total 925,000 tonnes of rice under government-to-government contracts to Indonesia under the previous agreement from 2012 to 2016, Ratchada said.

The plan was initiated by Indonesia as it was looking to build its rice reserves to maintain food security, she added.