Greener Pastures

Market competition resulting from costly domestic rice remains a key factor driving Thai exporters to seek openings in neighbouring countries where the rice trade is more prosperous. … Exporters say their performance was weak last year, mirroring the country’s overall decline in rice exports, which plunged by 35% to 6.9 million tonnes. Mr [sic] Wanlop said Capital Rice will begin exporting rice from its venture in Cambodia this quarter after a test run went smoothly. The company, the country’s second-biggest rice exporter, is among several Thai firms seeking to enter the rice industry in Cambodia. … Cambodia recently announced it will produce 9.3 million tonnes of rice paddy this year, with 4.6 million tonnes earmarked for domestic consumption. The upshot is that 4.7 million tonnes of paddy or 3 million tonnes of milled rice are for export. All of this gives Capital Rice a chance to process and export rice for Cambodia _ [sic] especially to Europe, where duties are waived on certain items from less-developed countries. Besides Capital Rice, other market leaders such as Asia Golden Rice are making Cambodia a part of their strategy for improved risk management. …

http://www.bangkokpost.com/business/economics/335303/greener-pastures