Rice exporters point out that “weak baht” has a positive effect on Thai rice exports. But should not be too soft because it will make it difficult to set the selling price. suggests that the baht should stay at 35 baht per US dollar This will stabilize both exports and imports. Confident that throughout the year, Thailand’s rice exports exceeded the target of 8 million tons.
Mr. Chookiat Opaswong Honorary Prime Minister The Thai Rice Exporters Association revealed to the “Economic Base” that the baht value today weakened to 37.25 level. The baht per dollar made a new high for the past 16 years, saying that the baht’s depreciation made Thailand more competitive in terms of exports. But in terms of exporting rice, it was at what was initially agreed upon price, but it was still better than the baht appreciation of 33-34 baht per US dollar.
However, when the baht is weak at 37.25 baht per US dollar, if it is too weak, it is not good because it fluctuates, making each price deal more bargaining for buyers, for example, today the baht is at 37 baht per US dollar. The price of rice is 430 US dollars. Buyers may negotiate down to 400 US dollars per tonne. Knowing that the baht will weaken further makes it difficult for exporters to set selling prices.
“As the baht weakens, we as exporters do not feel much. Because if the baht is weak, too much volatility is not good, making it difficult to set the price. What exporters want the baht to be at a stable level is 35 baht per US dollar. As for the government coming out Said that the baht should be at 35 baht per US dollar. must be worried about imports Product costs will increase, more expensive items. But no one can control the money. The US dollar rose because the Fed raised interest rates to suppress inflation in the country. This resulted in the currency of various countries weakening. not only Thai India’s currency is weak as well.”
As for the export of rice for the whole year, the exporters still expect to export 8 million tons. More than the target set 7-7.5 million tons. Partly because the weak baht made it competitive. And India has a tax on exports, making Indian rice more expensive by 30-40 US dollars per tonne. Customers turn to buy more Thai rice. The price of 5% rice in Thailand is 425 US dollars per tonne, and India’s price is 390 US dollars per tonne. From the original price of 345 US dollars per ton. and Vietnamese rice priced at 410 US dollars per tonne.